Calculating ARPA (Average Revenue Per Account) is an important metric for any business looking to understand the value of their customers. In FinancialForce, ARPA can be calculated by dividing the total revenue generated by the number of accounts in a given period of time. This calculation can provide valuable insights into the health of your business and help you make informed decisions about pricing, marketing, and sales strategies.
ARPA is a metric used to measure the average revenue generated by each customer account. This metric is important because it helps businesses understand the value of their customers and how much revenue they can expect to generate from each account. By tracking ARPA over time, businesses can identify trends and make informed decisions about pricing, marketing, and sales strategies.
ARPA is typically calculated on a monthly or quarterly basis, and can be broken down by product, region, or customer segment. This allows businesses to identify which areas are generating the most revenue and where they may need to focus their efforts to improve performance.
Calculating ARPA is valuable for any business that wants to understand the value of their customers and how much revenue they can expect to generate from each account. This metric is particularly useful for subscription-based businesses, where revenue is generated over time rather than in a single transaction.
ARPA can also be used to identify areas of the business that may be underperforming. For example, if ARPA is lower than expected in a particular region or customer segment, this may indicate that there are issues with pricing, marketing, or sales strategies that need to be addressed.
Overall, calculating ARPA is a valuable tool for any business looking to understand the value of their customers and make informed decisions about pricing, marketing, and sales strategies. By tracking this metric over time, businesses can identify trends and make data-driven decisions that will help them grow and succeed.
FinancialForce itself isn’t naturally geared towards letting you calculate complex metrics like ARPA. As an alternative, teams typically use products like Arithmix to import data from FinancialForce and build out dashboards.
Arithmix is the next generation spreadsheet - a collaborative, web-based platform for working with numbers that’s powerful yet easy to use. With Arithmix you can import data from systems like FinancialForce, combine it with data from other systems, and create calculations like ARPA.
In Arithmix, data is organized into Tables and referenced by name, not by cell location like a spreadsheet, simplifying calculation creation. Data and calculations can be shared with others and re-used like building blocks, vastly streamlining analysis, model building, and reporting in a highly scalable and easy to maintain platform. Data can be edited, categorized (by dimensions) and freely pivoted. Calculations are automatically copied across a dimension - eliminating copy and paste of formulas.
Arithmix is fully collaborative, giving your entire team access to your numbers and the ability to work together seamlessly.
Calculating metrics like ARPA is simple in Arithmix. Once you've created your free account, you’ll be able to import your FinancialForce data, and use it to create natural language formulas for metrics like ARPA.
Arithmix is designed to give you the power to build any calculations you want on top of your FinancialForce data, while also being easy to use and collaborate on. You can share your dashboards with users inside and outside of your organisation, making it easy to empower your whole team.