Because of that, many Wicked Reports users find it very useful.
Oftentimes, you will notice that the MRR report inside Wicked Reports does not match the numbers your CRM is giving you.
First, let's understand how Wicked Reports calculates MRR.
Each CRM/Payment Processor handles subscriptions differently.
Because of this, we had to come up with a solution that would accurately represent MRR, regardless of CRM/Payment Processor.
This is how we calculate MRR:
We calculate New MRR by looking back to the previous month and seeing if there was an active subscription for each individual customer.
If there was NOT an active subscription in the previous month for that customer, they would be included in the "New MRR from new customers" in our reporting.
If a customer does have a subscription for the previous month, they would simply be included in the "Total MRR" for the month, shown below.
To see if a customer is still active, we again look back at the previous month to see if there was an active subscription for each customer. If there was, and in the most recent month, there is NOT an active subscription for that customer, then we can safely assume that this customer has cancelled their subscription, and they would be placed in the "Lost MRR due to churn" category of the report, shown below.
When looking up active subscriptions inside CRMs, it can be difficult to get a true understanding of customers who have an active subscription and have also paid in the current and previous month.
Furthermore, active subscriptions cannot accurately be measured by looking at tagging.
Due to these factors, hopefully you can now understand how we calculate MRR and why there is often a difference in what Wicked Reports is showing you, and what your CRM/Payment Processor is showing you.