ACV: Annual Contract Value

ACV (Annual Contract Value) is the annualised value of a single customer contract, used to size deals and segment sales teams.

What is ACV?

ACV is per-deal; ARR is per-company. Sales orgs typically split SMB, mid-market, and enterprise teams by ACV bands.

Frequently Asked Questions

What is the difference between ACV and TCV?
ACV is annualised. TCV (Total Contract Value) is the full multi-year value.