What is account expansion ?
Account expansion is the growth of revenue from existing customers through upsells, cross-sells, or seat additions.
Account expansion refers to increasing revenue from existing customers by selling additional products, upgrading their plan, or adding more users. It is a key driver of NRR above 100% and reduces reliance on new customer acquisition.
Example: A customer starts on a 10-seat plan at $500/month. After 6 months, they expand to 25 seats, growing their monthly spend to $1,250, an account expansion of $750/month.
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