ACV (Annual Contract Value): The annualized value of a contract, normalizing multi-year deals to a single year. Aggregated, it is the average ACV of new contracts signed in the period.
Also known as: ACV
Formula
ACV = (Total Contract Value - One-time fees) / Contract term in yearsAverage ACV = Sum of ACV for all deals / Number of deals Computable definition
The canonical formula in the GASP formula grammar. The MCP server compiles it to SQL over the datasets listed below.
avg(field.acv where field.contract_event_type = 'new_contract') Unit: currency
Notes: ACV is recorded on the contract event (CEL). One-time fees are excluded by definition.
Data requirements
Grain: Per event, aggregate monthly · Frequency: Daily sync · Aggregation: aggregate (month) · Staged: no · Main source: Billing.
| Field | Dataset | Type |
|---|---|---|
acv | contract_event | decimal |
contract_event_type | contract_event | string |
event_date | contract_event | date |
Example SQL (Postgres)
SELECT (SELECT AVG(acv) FROM contract_event WHERE event_date >= :period_start AND event_date <= :period_end AND contract_event_type = 'new_contract') AS acv Access: recommended
sensitivity tier confidential,
access scope owner-scoped.
Guidance your policy engine enforces.
From an agent: with the GASP MCP server, call
lookup_metric({ "name": "ACV (Annual Contract Value)" }) or generate_query({ "metric": "ACV (Annual Contract Value)", "adapter": "<your adapter JSON>" }).
What It Tells You
Deal size and customer segment. Important for CAC analysis and go-to-market strategy.
Related Metrics
Connected in the GASP relationship graph.
Downstream: what this drives
- ACV drives New MRR (Core)
- ACV drives ARPA (Core)
- ACV measures Customer (Entity)
- ACV measures Subscription (Entity)