# Revenue per user

Measure revenue contribution per user on your experience.

> **Tracking required**
>
> Track the [Order placed](/reference/event/types/ecommerce/order-placed) event to feed data into this widget.

Revenue per user (ARPU) measures the average revenue generated by a single user over a selected period.

This metric helps you evaluate how effectively your experience converts user engagement into revenue, offering insights into the success of your marketing and personalization strategies.

> **Question: What's the difference between average ticket and revenue per user?**
>
> **Average ticket** is how much a customer spends on average per purchase.
>
> **Average revenue per user (ARPU)** is how much revenue you earn on average per user, regardless of how many purchases they make.
>
> Example: 100 users visit your site. They make 50 purchases totaling $2,000.
>
> - Average ticket: $40 ($2,000 ÷ 50 purchases)
> - ARPU: $20 ($2,000 ÷ 100 users)

## Metrics

![Revenue per user widget](/assets/reference/analytics/experience/revenue-per-user.png)

The chart includes:

1. **Currency**\
   A filter to select orders in a specific currency. Values are never aggregated across currencies.
2. **Revenue per user**\
   The average amount of revenue generated by each user impacted by your experience.
3. **Revenue per user over time**\
   A trend chart showing the average of revenue per user over time.

> **Question: What does the comparison over the last period mean?**
>
> It represents the growth or decline of the metric compared to the previous period.
>
> The *last period* refers to the date filter you selected. For example, if the filter is set to the **last 7 days**, the *last period* will be the **7 days immediately before that range**.

## Interpretation

This chart shows the average revenue each user contributes, helping you assess the financial impact of your experience.

For example, if your experience generated $1,200 from 60 active users, the revenue per user is calculated as $1,200 divided by 60 users, resulting in an ARPU of $20. This means each user generated an average of $20 in revenue during the selected period.

We calculate this metric using the formula:

```math
Revenue \space per \space user = \frac{total \space revenue}{total \space active \space users}
```

### What those numbers tell you

Here are some common insights you can get from this widget:

- If the revenue per user increases after launching your experience, it may indicate that personalized content is encouraging users to spend more per visit or that it increased conversion rate.
- If the revenue per user remains stable while the number of impacted users grows, it shows that your experience is reaching more people without changing their individual spending behavior.
- If the revenue per user decreases while sessions remain steady, it might mean users are still engaging but purchasing cheaper items or not converting on your experience.
- When filtering by segments, the revenue per user can reveal which groups generate the most value. For example, new visitors may have a lower revenue per user, while repeat visitors or logged-in users might consistently show higher revenue per user, guiding where to focus growth strategies.

## Explore

- [Events](/reference/event/overview#event-types): Learn how to track user events for analytics and personalization.
- [Audiences](/explanation/audience): Understand how to delivery content to specific groups of users.