Recurring revenue & contract metrics · Working
Average contract value
Also called: average ACV
ELI5
Mean contract value across an eligible set of contracts.
Used in conversation
“The draft mentions average contract value, but the scope and jurisdiction are still unclear.”
Pitch context
You will see “Average contract value” in go-to-market plans, sales forecasts, account reviews and commercial proposals when the discussion reaches recurring revenue & contract metrics.
Why it matters: It helps a reader interpret recurring revenue & contract metrics without confusing the measure, decision, role or evidence being discussed.
Sources & evidence · 2
Supporting source families. This entry is an editorial synthesis rather than a quotation from one canonical glossary.
- U.S. Small Business Administration — Write your business planSupporting source family · primary · checked 2026-08-16
- IFRS Foundation — IFRS GlossarySupporting source family · primary · checked 2026-08-16