> ## Documentation Index
> Fetch the complete documentation index at: https://docs2.zenskar.com/llms.txt
> Use this file to discover all available pages before exploring further.

# MRR product waterfall

## MRR product waterfall

The **monthly recurring revenue (MRR) product waterfall** report provides a granular view of how different products contribute to your company's monthly recurring revenue over a specified period. This report is an essential tool for finance teams, product managers, and leadership to understand revenue trends, identify top-performing products, and accurately forecast revenue streams.

By breaking down MRR by product and over time, it helps to visualize the "waterfall" effect of how each product's contribution changes month-to-month due to new subscriptions, usage, renewals, or churn.

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## Understanding the report

<Image align="center" border={true} src="https://files.readme.io/76af44d099488481c43f73de7f0663c289216d6efe8addec1b3b16a640675ae2-image.png" className="border" />

The report is structured as a time-series table.

* **Columns:** Each column represents a specific month in time, from August 2024 to April 2025.
* **Rows:** Each row details a specific product or a component of a product's MRR.

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## Key components and definitions

The report provides a detailed breakdown of how different product types are calculated and represented in the MRR:

* **Loans Processed:** This typically represents revenue from a transactional or usage-based product. Its value may fluctuate each month based on customer activity. In the provided example, the value for "Loans Processed" starts at `140,821.33` in August 2024 and changes to `181,217` in April 2025.
* **Long Subscription:** This represents a standard recurring subscription with a fixed value. The example shows a consistent MRR of `1,333.33` from January 2025 onwards, indicating a stable recurring revenue stream.
* **Short Subscription:** Similar to the long subscription, this also represents a fixed recurring revenue component. Its value remains constant at `3,000` throughout the entire period, from August 2024 to April 2025.
* **\[All] Tokens (Prepaid with Entitlements) - Prepaid Subscription:** This specific line item isolates the fixed, recurring fee associated with a prepaid subscription model that includes an initial set of tokens or entitlements. The value remains constant at `443.85` from August 2024 to April 2025, representing the recurring fee for the prepaid plan itself.
* **\[All] Tokens (Prepaid with Entitlements) - Token Entitlements (and Overages):** This row captures the variable revenue generated from the usage of tokens. This includes any overages where usage exceeds the initial entitlements. The value fluctuates, as seen with `82.95` in August 2024 and `69.66` in November 2024, reflecting the variable nature of usage-based revenue.

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## Technical details and use cases

The report is generated by aggregating revenue data based on Zenskar's configured products, contracts, and billing events. It provides a quick and accurate way to:

* **Analyze revenue contribution:** Instantly see which products are the biggest drivers of MRR.
* **Forecast revenue:** Track monthly changes to help in financial planning and forecasting.
* **Monitor product health:** Identify growth or decline in specific product lines.
* **Track usage-based revenue:** Clearly see how variable usage components (like "Loans Processed" or "Token Entitlements") impact the total monthly revenue.
