D2D glossary / Security, fiber, pest and energy terms
What is RMR in alarm sales?
RMR: RMR is recurring monthly revenue: the monthly monitoring fee a home security customer pays. Alarm companies are valued on it, so rep commission is tied to the monthly rate and the contract.
An alarm company earns little on the equipment and most of its money on years of monthly monitoring. Each new account adds to its recurring monthly revenue, and that total is what the company is worth.
That is why security pay plans look the way they do. Commission usually rises with the monthly rate, the length of the agreement and the customer's credit score, and falls or is charged back when a customer cancels early. An account that stays is the product you are really selling.
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RMR: quick answers
What is RMR in alarm sales?
RMR is recurring monthly revenue: the monthly monitoring fee a home security customer pays. Alarm companies are valued on it, so rep commission is tied to the monthly rate and the contract.