ARPU

Average Revenue Per User -- a carrier's service revenue divided by its subscriber count, quoted as a monthly dollar figure (e.g. $55). It answers "how much is each customer worth per month?" and, multiplied by the subscriber base, drives service revenue. Definitions vary (postpaid phone ARPU, total postpaid ARPU, prepaid ARPU all differ), so it is only comparable across carriers on the same base. Rising ARPU means customers are paying more -- through premium plans, add-ons, or price increases -- while a falling ARPU can signal discounting even as subscriber counts grow.

Related terms

Accounts Payable · Adjusted EBITDA · Adjusted EBITDA Ex-SBC · Average Ticket · Book-to-Bill Ratio · Bookings

Open this term in the app → — no account needed; browse the full glossary while you research.