Average Revenue Per User (ARPU) Measure

From GM-RKB
(Redirected from average revenue per user)
Jump to navigation Jump to search

An Average Revenue Per User (ARPU) Measure is a B2C revenue-based performance measure (for B2Cs) based on total revenue divided by the number of users.



References

2020

  • (Wikipedia, 2020) ⇒ https://en.wikipedia.org/wiki/Average_revenue_per_user Retrieved:2020-5-15.
    • Average revenue per user (ARPU), sometimes known as average revenue per unit, is a measure used primarily by consumer communications, digital media, and networking companies, defined as the total revenue divided by the number of subscribers.

      The term is used by companies that offer subscription services to clients for example, telephone carriers, Internet service providers, and hosts. It is a measure of the revenue generated by one customer phone, pager, etc., per unit time, typically per year or month. In mobile telephony, ARPU includes not only the revenues billed to the customer each month for usage but also the revenue generated from incoming calls, payable within the regulatory interconnection regime.

      Digital media and social media companies, which rely heavily on ad revenue generated by users with free accounts, pay particularly close attention to their ARPU. Variations in ARPU reflect changes in the companies' ability to generate revenue and heavily impact their stock prices [1] . That provides the company a granular view at a per user or unit basis and allows it to track revenue sources and growth.

      There is a trend by telecommunications and Internet companies and their suppliers to sell extra services to users and a lot of the promotion that is used by the companies talks of increased ARPU for the operators. It typically manifests in the form of value-added services such as entertainment being sold to customers especially in markets where the primary service offered to the customer, such as the telephony or Internet service, is sold at a commodity rate.

2020

2019

2019

  • https://www.thegoodestate.com/facebook-arpu/
    • QUOTE: Facebook defines their Average Revenue per User (ARPU) as “as their total revenue in a given geography during a given quarter, divided by the average of the number of MAUs in the geography at the beginning and end of the quarter”. But how high is actually the Average Revenue per User (ARPU) of Facebook? ...

      ... Most recent Update: In Q3-2019 Facebook reported that the average revenue per user (ARPU) has been 24.96 USD globally.

2006