NDR — Net Dollar Retention
Definition: Revenue retained from existing customers including upsells and downgrades, net of churn. NDR above 100% means the install base is growing on its own — the single best leading indicator of a healthy SaaS business.
Example
A 125% NDR means $100M of last year's revenue becomes $125M this year before adding a single new logo.
When you'll hear it
NDR shows up most often in board meetings, quarterly business reviews, and strategy off-sites. When someone uses it, they're usually referring to net dollar retention — and they expect the room to already know what that means.
FAQs
What does NDR stand for?
NDR stands for Net Dollar Retention.
What does NDR mean in business and finance?
Revenue retained from existing customers including upsells and downgrades, net of churn. NDR above 100% means the install base is growing on its own — the single best leading indicator of a healthy SaaS business.
Where will I hear NDR used at work?
NDR comes up most often in board meetings, quarterly business reviews, and strategy off-sites. It's used as shorthand for net dollar retention, so people assume you already know the term.