MRR (monthly recurring revenue)
Also known as: Monthly recurring revenue
Monthly recurring revenue is the predictable subscription revenue a publisher earns each month — active subscribers multiplied by their average monthly price.
It's the core health metric of a subscription business.
Why it matters for publishers
MRR turns a mix of monthly and annual plans, discounts and trials into one comparable number, so you can see whether the business is actually growing. It is also the basis for forecasting, for valuing a title and for judging whether a marketing spend paid off.
How publishers use it in practice
- Normalise annual plans by dividing the annual price by 12 rather than counting the whole payment in one month.
- Break MRR movement into new, expansion, contraction and churned to see what is really driving change.
- Exclude one-off revenue, VAT and payment fees to keep the number honest.
- Review MRR monthly against a simple target; it is the single best health metric for a subscription publisher.
Worked example
1,200 subscribers averaging £9.50 a month = £11,400 MRR, or roughly £136,800 ARR before churn and growth.
Frequently asked questions about mrr (monthly recurring revenue)
- Should trials count towards MRR?
- No. Count a subscriber once the first payment succeeds, and track trial conversion rate separately.
- How is MRR different from cash collected?
- MRR spreads annual payments evenly; cash lands in a lump. Both matter — MRR for growth, cash for runway.