Metrics

ACV

Annual Contract Value

Definition

Annual Contract Value (ACV) is the average annualized revenue per customer contract, excluding one-time fees. It's commonly used in B2B SaaS to measure the size of deals and compare across contract lengths.

📌 Example

A customer signs a 3-year deal worth $90,000. The ACV is $30,000/year, even though the full contract value is $90K.