Measures the percentage of customers who renew their maintenance contracts.

What it Measures ?

How many contracts got renewed.

Relevant StakeHolders 

Sales, Account Managers

In-depth Use Case / Real-world Example

Maintenance Contract Renewal Rate tracks how many customers choose to renew their maintenance or service contracts after the initial term. For example, if 200 out of 250 maintenance contracts are renewed, the renewal rate is 80%. This KPI is important for assessing the strength of customer relationships and the value of the service offering. In manufacturing, where ongoing maintenance and support are often part of the sales offering, high renewal rates indicate that customers find continued value in the service contracts.