ARPA
Also called: Average revenue per account
ARPA, average revenue per account, is revenue divided by the number of accounts rather than individual users. It is the right denominator when one paying relationship covers several people, such as a family mobile plan, a shared streaming subscription or a household utility contract.
How it is calculated
ARPA = Total revenue in period / Average active accounts in period
Report ARPA alongside users per account; ARPA can rise purely because households consolidated.
Why it matters for ARPU
Choosing the wrong denominator hides the real story. In telco and streaming, account-level and user-level ARPU move in opposite directions surprisingly often.
Related terms
ARPUARPU, average revenue per user, is total revenue in a period divided by the average number of active users in that period.ARPPUARPPU, average revenue per paying user, divides revenue only by users who paid in the period.Monetization rateMonetization rate is the share of active customers who pay anything in a period.Expansion revenueExpansion revenue is additional revenue from customers a business already has: upgrades, add-ons, cross-sell, higher usage or a move to a richer plan.