Whether you're managing SaaS subscriptions, memberships, or ongoing services, tracking recurring revenue in HubSpot is key to measuring growth. But it’s more than just financial management, it’s about leveraging insights to align teams for growth and revolutionized your marketing strategy to inspire others.
This article will guide you through setting up, automating, and optimizing recurring revenue tracking in HubSpot to maximize efficiency and long-term success.
Key Takeaways
- Setting up recurring revenue properties in HubSpot is crucial for accurate financial tracking.
- Automating recurring revenue properties enhances efficiency and ensures data accuracy.
- Using HubSpot’s reporting tools and analytics enhances MRR insights and boosts marketing strategies.
Why Tracking Recurring Revenue Matters
Recurring revenue is key to building a sustainable and growing business. Whether it comes from monthly recurring revenue (MRR) with subscriptions or long-term service contracts, this model provides both stability and room to scale.
Key Benefits of Recurring Revenue Tracking HubSpot
- Automate revenue tracking & eliminate manual data entry.
- Forecast revenue trends & optimize upselling strategies.
- Reduce churn risk with AI-driven renewal insights.
Set Up Recurring Revenue in HubSpot
To start tracking recurring revenue, HubSpot requires customized properties that capture essential details about each deal.
Create Recurring Revenue Properties
- Log in to your HubSpot account.
- Navigate to Reporting > Reports > Sales > Forecast & Revenue > Revenue.
- Select Click Create Properties to auto-generate the revenue properties.
After following these three steps the following recurring revenue properties will be added to your account:
- Recurring Revenue Amount: Tracks the monthly revenue per deal.
- Recurring Revenue Deal Type: Categorizes deals as New Business, Renewal, Upgrade, or Downgrade.
- Recurring Revenue Inactive Date: Records when the revenue stops.
- Recurring Revenue Inactive Reason: Notes the reason for cessation (e.g., Churned, Downgrade).
Good to Know: HubSpot’s default setup ensures these properties are consistent across deals, enabling accurate tracking of your recurring revenue without manual adjustments.
Add Values to Recurring Revenue Properties
Populating recurring revenue properties with precise data is crucial for reliable insights.
- Go to the Deals section in your HubSpot account.
- Select a deal and at the top click Actions > View All Properties.
- Click the pencil icon to add values to these properties as needed based on the recurring revenue event.
- Save changes to ensure updates reflect in reports.
Tip: Regularly audit your deals to verify that all recurring revenue fields are up to date, especially for deals marked "Closed Won."
Automate Recurring Revenue Tracking
Automation is a game-changer for businesses managing a high volume of subscriptions or service contracts. Here are the step you should follow to automate your recurring revenue properties in HubSpot:
- Access Automation > Workflows in HubSpot.
- Create a workflow triggered by deal changes, such as transitioning to "Closed Won" or "Churned."
- Set actions for example assign tasks to sales teams or trigger email campaigns targeting at-risk customers.
- Activate the workflow for seamless updates.
Recommendation: Use automation tools alongside HubSpot’s revenue analytics to maintain data consistency and reduce manual errors.
Analyze Monthly Recurring Revenue with HubSpot
HubSpot’s revenue analytics tool enables you to dive deep into your monthly recurring revenue (MRR) trends.
Navigate the Revenue Reports
To effectively analyze your recurring revenue, start by navigating to Reporting > Reports > Sales > Forecast & Revenue > Revenue in your HubSpot account. Here, you’ll find tools to gain insights into your business’s revenue performance.
HubSpot categorizes recurring revenue into three main types:
- New Recurring Revenue: This includes deals classified as new business or upgrades.
- Existing Recurring Revenue: Renewals or ongoing contracts fall under this category. These deals reflect revenue from maintaining existing customer relationships.
- Lost Recurring Revenue: This metric highlights churned deals, downgrades, or deals with an inactive date and reason. It’s a critical area to monitor for identifying revenue leakage.
The top section of the report displays a chart where you can visualize total new, existing, and lost revenue by month.
Tip: Regularly review your revenue reports, segmented by deal pipelines or stages, to spot growth opportunities and ensure your strategies are data-driven and aligned with your business goals.
Tips to Increase Recurring Revenue in HubSpot
#1 Start Small
Begin by setting up simple properties and workflows to track recurring revenue efficiently. As your business grows, gradually expand your tracking systems to include more complex processes and analytics.
#2 Leverage AI Tools
Take advantage of AI-driven solutions and create content with HeyGen's AI and HubSpot Content Agent to supercharge your marketing efforts.
#3 Collaborate Across Teams
Foster collaboration between sales, marketing, and customer success teams by sharing recurring revenue insights. With centralized customer data in HubSpot, teams can access the same up-to-date information, enabling seamless collaboration to create a more unified customer experience.
Boost Revenue with LinkedIn Integration
Recurring revenue tracking in HubSpot becomes even more powerful when integrated with LinkedIn insights. The integration of HubSpot with LinkedIn Sales Navigator provides an enriched CRM experience by connecting customer data with valuable LinkedIn insights. Together, HubSpot and LinkedIn insights create a seamless approach to building meaningful relationships and driving sustained growth.
Conclusion
Effective recurring revenue tracking in HubSpot is a strategic necessity for businesses seeking sustainable growth. By setting up tailored properties, automating updates, and analyzing MRR through revenue analytics, you can make data-driven decisions that drive success.
Ready to take the next step? Start tracking recurring revenue today and unlock your business’s full potential with HubSpot!
Frequently Asked Questions
What is the best chart to use for visualizing recurring revenue trends over time?
The best chart for visualizing recurring revenue trends over time is a bar chart. Bar charts provide a clear comparison of new, existing, and lost revenue across months or years, making it easy to identify trends and spot areas of growth or concern in recurring revenue.
How does HubSpot help with recurring revenue tracking?
HubSpot simplifies recurring revenue tracking by providing tools to categorize revenue into three main types: new, existing, and lost. With its revenue analytics tool, users can filter data by deal pipelines, date ranges, or deal types, and visualize trends through intuitive charts and tables.
What is the difference between Monthly Recurring Revenue (MRR) and Annual Recurring Revenue (ARR) in HubSpot?
Monthly Recurring Revenue (MRR) tracks the revenue generated from subscriptions or recurring deals each month, while Annual Recurring Revenue (ARR) represents the projected revenue over a year. HubSpot’s tools allow businesses to track MRR for short-term insights and use ARR for long-term forecasting, ensuring a balanced view of financial performance.
What’s the best method to forecast recurring revenue in HubSpot?
The most reliable method for forecasting recurring revenue in HubSpot is combining quantitative and qualitative approaches. Use HubSpot’s revenue analytics tool to project future revenue based on Closed Won deals and historical data. Supplement this with qualitative insights, such as market trends or customer feedback, to account for external factors that may impact revenue.
How can deal pipelines enhance revenue tracking in HubSpot?
Deal pipelines in HubSpot add an extra layer of clarity to revenue tracking by allowing users to segment data based on specific deal stages. This helps businesses analyze where revenue is being generated, identify bottlenecks, and prioritize deals that contribute to recurring revenue.
