The retention by cohort chart in the Billing Analytics Dashboard can be filtered by subscribers or by Monthly Recurring Revenue (MRR) — viewing this chart by MRR displays revenue retention by cohort.
Merchants can use the revenue retention by cohort chart to gain insights into how their business is doing in retaining the revenue generated from the cohort. Each new subscription is tied to a specific month, known as the cohort, based on when it first became active and started generating positive MRR.
For a given cohort:
The start value refers to the initial amount of recurring revenue that was generated by the subscriptions in the cohort.
Month x refers to the amount of recurring revenue that was generated by the subscriptions in the cohort at the end of x months. For example, “Month 1” for October 2019 refers to the recurring revenue that is remaining at the end of October 2019. The amount of recurring revenue for a cohort can change due to upgrades, downgrades and cancellations.
The shades of blue on the chart refers to how well the cohort is doing compared to the Start Value, with darker blues meaning that the business is retaining a larger portion of the initial recurring revenue of the cohort.