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Dictionary by pitch.dog
Margins, break-even & unit economics · Core

Average revenue per user

Also called: ARPU

ELI5

Revenue divided by users under the chosen definition and period.

Used in conversation

“How are we defining average revenue per user in this deck?”

Pitch context

You will see “Average revenue per user” in financial models, budgets, board packs and investor materials when the discussion reaches margins, break-even & unit economics.

Why it matters: In margins, break-even & unit economics, different calculation boundaries, periods or accounting treatments can change the number and the decision.

Caution

Calculation, recognition and disclosure can vary by accounting framework, company policy and reporting context.

When the words have to travel

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Sources & evidence · 5

Direct term-level sources and supporting source families.