Insights
SaaS Expansion Revenue Is 40% of New ARR. Model It.
Expansion revenue now accounts for 40% of new ARR across SaaS. For companies above $50M, it's closer to 60%. Yet most FP&A teams model new logo acquisition down to the rep level and treat expansion as a single line called "upsell." Three metrics deserve their own models: NRR by cohort, expansion rate by product line, and time-to-first-expansion. Here's how to build them.