> ## Documentation Index
> Fetch the complete documentation index at: https://docs.upstackdata.com/llms.txt
> Use this file to discover all available pages before exploring further.

# Cost per Order Cancelled: Track Wasted Ad Spend

> Track cost per cancelled order to measure wasted ad spend on your Shopify store. Identify channels driving cancellations and optimize acquisition efficiency.

<Tip>
  Cost per Order Cancelled measures the average advertising spend associated with orders that were subsequently cancelled—helping you identify wasted ad spend.
</Tip>

## Formula

<Info>
  **Cost per Order Cancelled** = **Channel Spend** ÷ **Orders Cancelled**
</Info>

### Formula Components

| Metric               | Definition                                                                 |
| -------------------- | -------------------------------------------------------------------------- |
| **Channel Spend**    | Total advertising spend across all connected ad platforms                  |
| **Orders Cancelled** | Count of Shopify orders with cancelled status tracked by the Upstack pixel |

| Metadata        |                         |
| --------------- | ----------------------- |
| **Type**        | Currency                |
| **Data Source** | [Upstack Pixel](/pixel) |
| **Aggregation** | Ratio                   |

***

## Example

Your Shopify store spent **\$20,000 on ads** in Q1 and had **80 orders cancelled** out of 2,000 total orders.

| Month     | Ad Spend     | Orders Cancelled | Cost/Order Cancelled |
| --------- | ------------ | ---------------- | -------------------- |
| January   | \$6,000      | 22               | \$272.73             |
| February  | \$7,000      | 28               | \$250.00             |
| March     | \$7,000      | 30               | \$233.33             |
| **Total** | **\$20,000** | **80**           | **\$250.00**         |

***

## How It Works

Upstack calculates Cost per Order Cancelled by dividing your total advertising spend across all channels by the number of cancelled orders tracked by the pixel. This represents the ad dollars "lost" to cancelled orders—giving you insight into how cancellations impact your true customer acquisition cost and overall marketing efficiency.

***

## When to Use

| Scenario                         | Action                                                       |
| -------------------------------- | ------------------------------------------------------------ |
| Evaluating true acquisition cost | Add to Cost per Purchase to see full acquisition picture     |
| Channel quality analysis         | Compare across channels to find those driving cancellations  |
| Fraud detection                  | Spike in cancellation costs may indicate fraudulent orders   |
| Policy optimization              | High values may signal need for stricter checkout validation |

***

## Related Metrics

| Metric                                                                       | Relationship                                         |
| ---------------------------------------------------------------------------- | ---------------------------------------------------- |
| [Cost per Purchase](/reference/metrics/funnel/conversions/cost-per-purchase) | Acquisition cost before accounting for cancellations |
| [Conversions](/reference/metrics/funnel/conversions/conversions)             | Total attributed conversion events                   |
| [Purchases](/reference/metrics/funnel/conversions/purchases)                 | Count of tracked purchase events                     |

[See all Attributed Conversions metrics →](/reference/metrics/funnel/conversions)