# Build an ARR bridge and net revenue retention analysis

A recurring revenue waterfall from new, expansion, contraction, and churn, with retention metrics and commentary.

- Topic: Finance & Accounting
- Framework: RTF
- Level: Standard
- Tags: Finance, Analyze, Plan, Fill-in Template, Interactive
- Source: https://www.thinkwithprompt.com/prompts/build-an-arr-bridge-and-net-revenue-retention-analysis

## Prompt

```text
Help me build an ARR (annual recurring revenue) bridge and retention analysis.

**Data:** [PASTE: customer-level ARR at the start and end of each period, or a list of new, expansion, contraction, and churn movements]
**Periods:** [e.g. "monthly for the last 12 months"]
**Segments to cut by:** [plan, customer size, region, cohort start quarter]
**Definitions we use:** [how we treat reactivations, price increases, FX, multi-year deals - or ask me]

Steps:
1. Classify each customer movement as new, expansion, contraction, churn, or reactivation. Apply the definitions consistently and list them.
2. Build the bridge: Opening ARR + New + Expansion - Contraction - Churn = Closing ARR. Check that it reconciles.
3. Calculate gross revenue retention (GRR), net revenue retention (NRR), and logo churn, trailing 12 months and by segment.
4. Show cohort retention by start quarter if data allows.
5. Isolate price increases from seat or usage growth within expansion.

Return:
- The bridge table by period.
- A metrics table by segment.
- 5 bullets of commentary on what is driving change.
- Data quality issues found and how to fix them.

Use only my data. Where a metric needs data I have not given, mark [ADD DATA].
```

## What to fill in

- e.g. "monthly for the last 12 months"
- plan, customer size, region, cohort start quarter
- ADD DATA

Free to copy and use. From ThinkWithPrompt (https://www.thinkwithprompt.com/), a library of 2,663 curated AI prompts.
