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One of the most important and the most challenging metrics to achieve for a business is exponential growth. Sustained exponential growth gives potential investors an idea of how well a company is doing. To measure the potential growth of a business, it is essential to determine the concept of a month-over-month growth rate.
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Answers to Frequently Asked Questions
Year-over-year (YOY) growth is a metric that compares a specific value—such as revenue or traffic—from the current year to the same period in the previous year. It shows whether your business is improving, stable, or declining over time.
YOY growth is calculated using this formula:
((Current Value – Previous Value) ÷ Previous Value) × 100
This gives you the growth rate as a percentage.
In 2025, accurate performance tracking is crucial due to rapidly changing market trends. YOY growth provides a long-term perspective, helping businesses identify real progress beyond short-term spikes or dips.
You can use it to track revenue, customer acquisition cost (CAC), website traffic, profit margins, user growth, or even employee headcount—any metric with consistent time-based data.
Yes, this tool is entirely free. Simply enter your current and previous values, and the calculator will instantly compute your year-over-year growth.
YOY compares data from the same month or quarter across two years, while MoM compares consecutive months. YOY provides a clearer view of long-term trends by accounting for seasonal fluctuations.
Absolutely. Many marketers use YOY growth to measure results across campaigns, organic traffic, conversions, and customer retention, especially for quarterly or annual reporting.
You can explore more insights in our blog on growth KPIs or try other tools like our SEO ROI Calculator.