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Average Revenue (AR) can be defined as revenue per unit of output. Therefore, from the aforementioned equation, it can be said that AR is the rate at which output is sold, where rate refers to the price of the product. Hence, it can be said that AR is nothing, but price of the product.
BREAKING DOWN 'Average Revenue Per Unit-ARPU'. This measure is most often used in the telecommunications sector to survey the amount of revenue generated per cell-phone user, for example.The values of the measures obtained can be used as a comparison between companies.EFINITION of 'Average Revenue Per Unit-ARPU'. A measure of the revenue generated per user or unit. Average revenue per unit allows for the analysis of a company's revenue generation and growth at the per-unit level, which can help investors to identify which products are high or low revenue-generators. Next Up.