Metrics · Monetization · Quarterly · %

Upsell Rate

The percentage of existing customers who upgrade to a higher-priced plan or tier within a period.

Formula

Customers upgrading / Total existing customers x 100

How to measure

Divide the count of customers who moved to a higher plan tier during the period by the total customer base at the start of the period.

Why track it

Upsell rate is one of the cheapest levers for revenue growth, since it targets an already-trusting customer relationship.

Example

A company upgrades 40 of its 1,000 existing customers to a higher tier this quarter, a 4% upsell rate.

Upsell Rate — Growth metric · Cofounderbase