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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

MetricDefinition
New Customer RefundsTotal refund dollars from first-time buyers
New CustomersCount of orders from first-time buyers
Metadata
TypeCurrency
Data SourceShopify
AggregationRatio

Example

Your store processed 847 new customer orders in February with $2,965 in refunds:
MetricValue
New Customer Refunds$2,965
New Customer Orders847
NC Refund Per Order$3.50
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

ScenarioAction
Evaluating acquisition channelsIdentify campaigns driving higher new customer refund rates
Comparing NC vs RC behaviorNew customers typically have higher refund rates than repeat buyers
Assessing product-market fitHigh values may indicate targeting issues or unmet expectations
Budgeting for returnsFactor into CAC and payback period calculations

MetricRelationship
New Customer RefundsNumerator: total NC refund dollars
New CustomersDenominator: NC transaction count
New Customer Refund %Percentage of NC orders refunded
Returning Customer Refund Per OrderCompare new vs returning customer refund behavior
Refund Per OrderOverall refund per order across all customers
See all Adjustments metrics →