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The average refund amount issued per new customer order.

Formula

NC Refund Per Order = New Customer Refunds ÷ New Customers

Formula Components


Example

Your store processed 847 new customer orders in February with $2,965 in refunds: Compare this to your Returning Customer Refund Per Order of $2.18—new customers cost 60% more in refunds per order.

How It Works

This metric divides total new customer refunds by total new customer orders—not just refunded orders. This gives you the average refund liability per first-time buyer transaction, helping you understand acquisition quality and the true cost of acquiring new customers after accounting for returns.

When to Use


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