120%+
Best-in-class (enterprise)
100–110%
Healthy range (SMB)
<90%
Contraction — growth headwind
ARR BandCustomer SegmentMedian NRRTop QuartileBottom QuartileRating
SMB (under 100 employees) — higher gross churn, lower expansion ceiling
Under $1MSMB88%102%72%Below breakeven
$1M–$5MSMB92%106%78%Near breakeven
$5M–$20MSMB95%108%80%Stable
$20M–$50MSMB98%112%84%Near healthy
$50M–$100MSMB102%116%86%Expanding
$100M+SMB105%120%88%Healthy
Mid-Market (100–999 employees) — expansion via seat growth and module adoption
Under $1MMid-Market95%110%78%Stable
$1M–$5MMid-Market102%118%86%Expanding
$5M–$20MMid-Market108%124%90%Healthy
$20M–$50MMid-Market112%128%94%Healthy
$50M–$100MMid-Market114%130%96%Healthy
$100M+Mid-Market118%136%100%Strong
Enterprise (1,000+ employees) — land-and-expand compounds on sticky installed base
Under $1MEnterprise105%122%88%Healthy
$1M–$5MEnterprise110%128%92%Healthy
$5M–$20MEnterprise115%132%96%Strong
$20M–$50MEnterprise122%140%104%Best-in-class
$50M–$100MEnterprise126%148%108%Best-in-class
$100M+Enterprise130%155%110%Best-in-class
Mixed / Broad market — blended across segments
Under $1MMixed92%108%76%Near breakeven
$1M–$5MMixed98%114%82%Near healthy
$5M–$20MMixed104%120%88%Healthy
$20M–$50MMixed108%124%92%Healthy
$50M–$100MMixed112%128%94%Healthy
$100M+Mixed118%138%100%Strong
Sources: OpenView SaaS Benchmarks 2024, Bessemer State of the Cloud 2024, SaaStr Annual Survey 2024. NRR = (Beginning ARR + Expansion − Churn − Contraction) / Beginning ARR, trailing 12 months.

Why SMB and enterprise NRR diverge structurally

SMB companies face 15–25% annual gross churn — business closures, budget cuts, low switching costs. The best SMB SaaS companies offset this with aggressive upsell, reaching 105–115% NRR. Enterprise companies with land-and-expand motions sustain 120–145% NRR because seat expansion, module adoption, and price escalators compound on a sticky installed base. A company at 130% NRR doubles revenue from its existing base every 3.5 years with zero new customer acquisition.