# ARPU

### How we get these data

ARPU data is gathered from Shopify API App Events to support data-driven decision-making.

### Understand the dashboard

ARPU (Average Revenue Per User) in this context is strictly understood as ARPPU (Average Revenue Per Paying User) - The average revenue a paying customer brings in a month.

**Calculation Logic**

Formula: 

<p align="center"><mark style="color:$info;">ARPU = MRR / Active Subscriptions</mark></p>

#### 1. ARPU&#x20;

The line chart visualizes the fluctuations of your ARPU over the selected time period (Day, Week, Month), with a percentage comparison against the previous 31-day period, allowing you to see how the average spending per user evolves.

<figure><img src="https://3107817457-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2F8KaEyTr3mMTLCU7QQyAU%2Fuploads%2FPy67OJiOmKaGgUjtaSfA%2Funknown.png?alt=media&#x26;token=e9902703-a4a4-4578-b4fc-626d3c287ccc" alt="" width="563"><figcaption></figcaption></figure>

The breakout table shows the exact daily ARPU values, helping you pinpoint specific days where customer spending patterns shifted.

These panels provide a quick historical comparison of your current ARPU against benchmarks from 1, 3, 6, 12, and 24 months ago to identify growth or decline trends in customer value.

#### 2. Plans

This table breaks down your active customer base and revenue contribution by plan tier, helping you identify which specific plans are driving your average revenue per user.

<figure><img src="https://3107817457-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2F8KaEyTr3mMTLCU7QQyAU%2Fuploads%2FBPNL9sALsYRz5xSwLlX8%2Funknown.png?alt=media&#x26;token=f901ea07-b2cb-4c57-9498-75ae26c40c32" alt="" width="563"><figcaption></figcaption></figure>

### How ARPU data can benefit you

* **Refining Pricing Strategy:** ARPU serves as a health check for your pricing. If your ARPU is consistently low, it may indicate that your plan prices are too cheap or that your user base is overly concentrated in the lowest-priced tier.
* **Revenue Optimization:** Increasing ARPU through upselling (moving users to higher plans) or cross-selling (additional features) is usually easier and more cost-effective than acquiring entirely new customers. ARPU helps you track the success of these efforts.