ARPU (average revenue per user)
ARPU is the average revenue each customer generates in a period: total revenue ÷ number of customers. Used to judge the quality of affiliate traffic.
ARPU (average revenue per user) is the revenue of a period divided by the number of customers in that period. If 400 customers generated 20 000 € in a month, the ARPU is 50 €.
ARPU, LTV and payouts
ARPU is a snapshot of one period; LTV is the total a customer brings over their whole life. Together they tell an advertiser how much they can afford to pay per customer. A subscription with an ARPU of 20 € a month and an average life of 10 months has an LTV of about 200 €, so a 60 € CPA still leaves room for profit.
Per affiliate
Comparing ARPU by affiliate shows traffic quality better than the number of conversions. Two affiliates can bring 100 customers each, but if one has an ARPU of 80 € and the other 15 €, they are not worth the same payout.
In iGaming
Operators usually look at the NGR per player, or the average deposit, as their ARPU.
In RastroAff
Recurring revenue reports show MRR, active customers, churn and LTV per affiliate. For iGaming, player value reports show deposits and NGR per player and per affiliate.