ARPPU

Average Revenue Per Paying User
PerformanceBusiness

ARPPU is the average revenue generated per paying user only, excluding non-paying users from the calculation.

ARPPU exists for freemium and free-to-play businesses where most users never pay. If 95% of a mobile game's users are free and 5% pay, ARPU across the whole base will look small and can mask a perfectly healthy paying-user economy. ARPPU isolates that paying segment so you can judge monetization quality independent of how large the free tier is.

Read ARPU and ARPPU together: a rising ARPPU with a falling ARPU can mean you're monetizing payers better while losing free-user engagement — two different problems that need two different fixes.

ARPPU

ARPPU = Total Revenue ÷ Number of Paying Users

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