Okay, so what exactly is the difference between net dollar retention and gross dollar retention and how the heck are they related? Yep, you guessed it. Thread below...

1/ Weighted net dollar retention looks at revenue including upsells, downsells, & churn and lumps it together by month to see how biz is performing over time on a cohort basis. It's widely considered quickest/best way to get snapshot of biz health.

2/ We almost always run WNDR. Are certain cohorts behaving differently than others? Are cohorts growing in revenue over time? This is the # that you see a lot when public SaaS companies are discussed. We're looking for 100%+ and 120%+ gets SaaS investors really excited.

3/ Why look at anything else? Not all WNDR is created equal. You can have 150% WNDR driven by expansion from a few large customers where a lot of other customers churned, or you can have 150% WNDR where everyone expands by 50% and no churn. Second result is probs better.

4/ Difference would come through Gross Dollar analysis bc it gives more insight into who leaves & whether people who leave tend to be more or less valuable than average customer. GDR takes away upsell and looks at how much of your customer base you've kept on $ perspective.

5/ A low GDR on example above would indicate that some people expand, but a lot leave which could mean that maybe there was more of a leaky bucket issue than originally expected (e.g. Case #1 instead of Case #2).

280 characters makes this tough, but finished (for now)