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Karnivesh

Simplifying finance....ย โ€ขย 20d

For years, growth meant adding users. Today, what matters more is how much value each user generates. Thatโ€™s where ARPU (Average Revenue Per User) quietly becomes the most important metric. Streaming and subscription businesses have learned this the hard way. Millions of users donโ€™t help if pricing is weak, churn is high, or margins donโ€™t scale. What stands out to me ๐Ÿ‘‡ โ€ข ๐Ÿ“Š ARPU reflects pricing power, not popularity โ€ข ๐Ÿ” Low churn often matters more than new sign-ups โ€ข ๐Ÿ’ฐ Small ARPU improvements compound massively at scale โ€ข โš ๏ธ Ad-supported tiers boost reach but can dilute value ๐Ÿ“Œ Key insight: Sustainable subscription businesses optimise revenue per user before chasing volume. ๐Ÿ‘‰ For a deeper breakdown with real examples and numbers, refer to the attached link to the full blog.

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