# How To Calculate Net Dollar Retention in Timberline | Arithmix

Learn how to calculate net dollar retention in Timberline with this comprehensive guide. Discover the key metrics and formulas needed to accurately measure your business's revenue growth and customer retention. Boost your financial analysis skills and make data-driven decisions with confidence.

Calculating net dollar retention is an important metric for any business looking to measure the success of their customer retention efforts. It allows you to track the amount of revenue you are retaining from your existing customers, as well as identify areas where you may be losing revenue. In this article, we will walk you through the steps to calculate net dollar retention in Timberline.

## What Is Net Dollar Retention?

Net dollar retention is a metric used to measure the amount of revenue a business retains from its existing customers over a given period of time. It takes into account the revenue lost from customers who have churned, as well as the revenue gained from customers who have expanded their use of your products or services. Essentially, it gives you a clear picture of how much revenue you are retaining from your existing customer base.

To calculate net dollar retention, you need to look at the revenue generated by your existing customers in a given period, and compare it to the revenue generated by those same customers in the previous period. This will give you a percentage that represents the amount of revenue you are retaining from your existing customers.

## When Is It Valuable To Calculate Net Dollar Retention?

Calculating net dollar retention is valuable for any business that wants to measure the success of their customer retention efforts. It can help you identify areas where you may be losing revenue, as well as areas where you can focus your efforts to increase revenue from your existing customer base.

Net dollar retention is particularly valuable for businesses that operate on a subscription model, where customers pay a recurring fee for access to your products or services. In this case, it is essential to retain as many customers as possible, as losing customers can have a significant impact on your revenue.

Overall, calculating net dollar retention is a valuable tool for any business looking to measure the success of their customer retention efforts. By tracking this metric, you can identify areas where you can improve your retention efforts, and ultimately increase your revenue from your existing customer base.

## How Do You Calculate Net Dollar Retention in Timberline

Timberline itself isn't naturally geared towards letting you calculate complex metrics like Net Dollar Retention. As an alternative, teams typically use products like Arithmix to import data from Timberline and build out dashboards.

## What is Arithmix?

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 Timberline, combine it with data from other systems, and create calculations like Net Dollar Retention.

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 Net Dollar Retention in Arithmix

Calculating metrics like Net Dollar Retention is simple in Arithmix. Once you've created your free account, you'll be able to import your Timberline data, and use it to create natural language formulas for metrics like Net Dollar Retention.

Arithmix is designed to give you the power to build any calculations you want on top of your Timberline 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.