ARPU and ARPPU
Compare revenue per user against revenue per paying user.
About ARPU and ARPPU
ARPU spreads revenue across everyone, while ARPPU only counts payers, and their gap reveals how much free user base supports the business. A rising ARPU may just mean unpaid users dropped, so watching ARPPU and payer ratio together shows whether monetization is truly improving.
Formula
ARPU and ARPPU
ARPU = revenue / active users; ARPPU = revenue / paying users
- payer ratio
- Share of active users who actually pay
Worked example
With the default values below, ARPU and ARPPU returns ARPU (per Active User) of $12.00. Change any input above and every figure here is recalculated in your browser.
Inputs used
- Monthly revenueminimum 0
- 60,000
- Active usersminimum 1
- 5,000
- Paying usersminimum 1
- 1,500
Results
- ARPU (per Active User)
- $12.00
- ARPPU (per Payer)
- $40.00
- Payer to User Ratio
- 0.300
Step by step
- 1Values used
- 2ARPU and ARPPU
- 3ARPU (per Active User)= 12.00
- 4ARPPU (per Payer)= 40.00
- 5Payer to User Ratio= 0.300
Assumptions and limits
- The result is derived only from the 3 inputs listed above. Anything not among them is not part of the calculation.
- In particular, this calculator does not take inflation, tax, fees or charges or compounding frequency into account.
- Figures are rounded for display to 3 decimal places, so totals built from several rounded parts can differ slightly from the unrounded arithmetic.
- This is an estimate for general information and not professional financial, tax or legal advice. See the full disclaimer for the limits that apply to this kind of calculator.
How these calculators are built and tested is described on the Methodology page. If a figure looks wrong, please report it.
Frequently Asked Questions
How is ARPU and ARPPU calculated?
ARPU = revenue / active users; ARPPU = revenue / paying users ARPU spreads revenue across everyone, while ARPPU only counts payers, and their gap reveals how much free user base supports the business.
Why does ARPU and ARPPU matter?
A rising ARPU may just mean unpaid users dropped, so watching ARPPU and payer ratio together shows whether monetization is truly improving.
What values do I need to enter?
This calculator takes 3 inputs: Monthly revenue, Active users, Paying users. The pre-filled defaults are a realistic starting point — replace them with figures from your own environment for a result you can act on.