B2B Revenue Glossary
Definitions and 2026 benchmarks for every metric that matters. No jargon. Just the formulas and numbers your pipeline runs on.
16 Terms
With formulas and 2026 benchmarks
Blended CAC
Why aggregating all acquisition costs into a single metric is the most dangerous lie in your data stack.
(Ad Spend + MarTech) / CustomersLTV:CAC Ratio
The North Star of B2B unit economics. Why 3:1 is the floor, 5:1 is elite, and >8:1 means you're under-investing.
LTV / CACPipeline Velocity
The 4-variable formula that reveals how fast revenue moves through your funnel every single day.
(Opps × ACV × Win Rate) / Cycle LengthNet Revenue Retention
Why NRR matters more than new acquisition for MSBs. The metric that makes your customer base a compounding asset.
(Start ARR + Expansions − Churn) / Start ARRMQL → SQL Rate
The definitive measure of sales and marketing alignment. Fix the hand-off friction to unlock hidden pipeline.
(SQLs / MQLs) × 100Account-Based Marketing (ABM)
Why ABM outperforms inbound on every quality metric — and the 3-tier framework to run it without an enterprise budget.
Target Accounts → Multi-threaded OutreachWin Rate
The most underestimated Pipeline Velocity lever. Doubling win rate has the same revenue impact as doubling lead volume.
(Closed Won ÷ Total Opportunities) × 100Churn Rate
The silent destroyer of LTV:CAC ratios. A 5-point churn reduction can increase LTV by 60% across your entire customer base.
(Customers Lost ÷ Starting Customers) × 100Cost Per Lead (CPL)
CPL tells you the price of attention — but Cost Per Qualified Lead tells you the price of revenue. The difference exposes channel quality.
Total Channel Spend ÷ Leads GeneratedMRR & ARR
MRR is the pulse of your business. ARR is how investors value it. Learn the five MRR movements and how expansion MRR changes the growth equation.
ARR = MRR × 12CAC Payback Period
The number of months to recover acquisition cost. Under 12 months is healthy — and every month shorter means more capital free for growth.
CAC ÷ (ACV × Gross Margin %)Intent Data
First- and third-party signals that tell you which accounts are actively researching your category — before they contact you.
First-Party + Third-Party Behavioral SignalsIdeal Customer Profile (ICP)
Your ICP is not a demographic — it's a set of conditions that predict success. A tight ICP is the single highest-leverage input to pipeline efficiency.
Firmographic + Technographic + Behavioral CriteriaFunnel Leak Detector
End-to-end visitor-to-won conversion rate. The single metric that benchmarks your entire GTM engine in one number.
(Closed-Won ÷ Total Visitors) × 100Annual Contract Value (ACV)
ACV determines which acquisition and retention benchmarks apply to your business — and it's a direct multiplier in the Pipeline Velocity formula.
Total Contract Value ÷ Contract Length (Years)Revenue Operations (RevOps)
The operating discipline of treating the full commercial journey — from first touch to expansion — as a single instrumented process.
Sales + Marketing + CS Ops (unified)What's the problem you're solving today?