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Retention

Expansion Revenue

Expansion Revenue is additional revenue generated from existing customers through upsells (moving to a higher tier or adding seats), cross-sells (adding a new product or module), or usage-based growth. It is the primary driver of NRR above 100% and is often the highest-margin revenue a SaaS company generates because the cost of sales is significantly lower than acquiring a new logo. The most effective expansion motions are driven by customer success teams who help customers achieve outcomes and identify natural triggers for expansion.

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Account Expansion →NRR Modeler →
Related Terms
NRR (Net Revenue Retention)GRR (Gross Revenue Retention)Land and ExpandCSM (Customer Success Manager)QBR (Quarterly Business Review)ARR (Annual Recurring Revenue)
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