Adoption
Adoption is the extent to which entitled capability is actually used, measured against what the customer bought rather than against a generic activity benchmark.
Adoption only means something relative to entitlement. An account using two of two purchased modules is fully adopted; an account using two of nine is at risk, and a raw login count cannot distinguish them. This is why adoption measurement depends on entitlements existing as structured data.
Breadth and depth behave differently. Breadth, how many entitled capabilities are touched, predicts renewal. Depth, how heavily one capability is used, predicts expansion. Collapsing both into a single adoption score discards the distinction that would tell you which play to run.
Where it breaks
Adoption is reported as logins per month, so a low-frequency, high-value integration user is flagged as at risk.
Related terms
- Customer health score
- A health score is a predictive model of renewal likelihood built from observed signals, and it is only a model if it has been validated against actual renewal outcomes.
- Entitlement
- An entitlement is a specific right a customer has purchased, seats, usage volume, feature access, service level, expressed structurally rather than in contract prose.
- Expansion revenue
- Expansion revenue is additional revenue from existing customers through seat growth, tier upgrade, usage increase or new product attachment.
- Time to value
- Time to value is the elapsed time from contract signature to the customer’s first realised outcome, measured against a defined outcome, not against go-live.
Field notes on this
- Read NRR with GRR
NRR can combine base retention with concentrated expansion. Pair it with GRR and a cohort bridge, then investigate the causes separately.