Retention Targets Planner (NRR/GRR)
Compute required expansion (for a target NRR) and allowable churn+contraction (for a target GRR) using monthly rates.
Targets are only useful if they translate into actionable levers. NRR targets translate into required expansion; GRR targets translate into a maximum combined churn+contraction.
This calculator uses monthly rates and shows implied annualized outcomes to help planning.
Prefer an explanation- Read the guide.
NRR/GRR targets: how to translate targets into expansion and churn goalsRetention & churn hub: cohorts, GRR/NRR, and retention curvesRevenue retention curves: GRR vs NRR over time (how to model)NRR vs GRR: differences, formulas, and how to use both
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Tip: you can type commas (e.g., 10,000).
Example
Using the default inputs, the result is:
4%
- Monthly churn rate (revenue)
- 1.5%
- Monthly contraction rate
- 0.5%
- Target monthly NRR
- 102%
- Target monthly GRR
- 98%
- Current monthly expansion (optional)
- 2%
How to calculate
- Enter current monthly churn and contraction rates (revenue).
- Enter your target monthly NRR and GRR.
- Use outputs to set expansion targets and churn reduction goals by segment.
Formula
Target NRR = 1 + expansion - contraction - churn; Target GRR = 1 - contraction - churn
- Rates are monthly and measured on the same revenue base.
- Target NRR/GRR are for an existing cohort (exclude new customers).
- Annualized rates are compound transformations of monthly targets.
FAQ
Why annualizing monthly NRR/GRR can look extreme-
Because compounding is powerful. A small monthly difference compounds over 12 months, so always sanity-check annualized implied outcomes.
Should I set targets by segment-
Yes. Blended NRR/GRR can hide weak segments. Set targets by plan, channel, cohort, and customer size to make them actionable.
Common mistakes
- Mixing annual and monthly units (annual NRR used as monthly).
- Using blended rates across segments (plan/channel) and hiding weak cohorts.
- Assuming churn reduction and expansion are independent (often correlated).
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Quick checks
- Keep time units consistent (monthly vs annual) across inputs and outputs.
- Segment by cohort/channel/plan before trusting a blended average.
- Use the related guide to avoid common definition and denominator mismatches.