Refund Per Order: Average Refund Amount Per Order

The average refund amount issued per order.

Formula

Refund Per Order = Refund Amount ÷ Orders

Formula Components

Metric	Definition
Refund Amount	Total dollar value of all refunds issued
Orders	Total number of completed orders

Metadata
Type	Currency
Data Source	Shopify
Aggregation	Ratio

Example

Your store processed 2,450 orders in February with $8,575 in total refunds:

Metric	Value
Refund Amount	$8,575
Order Count	2,450
Refund Per Order	$3.50

How It Works

Refund Per Order divides total refund dollars by total orders—not just refunded orders. This gives you the average refund liability per transaction, helping you understand the true cost of returns across your entire order base.

When to Use

Scenario	Action
Tracking return cost	Compare against Net AOV to understand refund impact on margins
Evaluating product quality	Higher values may signal product issues or unmet expectations
Assessing sizing guides	Apparel brands should track this alongside return reasons
Comparing campaigns	Identify traffic sources with higher post-purchase refunds

Metric	Relationship
Refund Amount	Numerator: total refund dollars
Orders	Denominator: transaction count
Refund %	Percentage of orders refunded
Net AOV	Order value after refunds—compare to gauge refund impact

See all Adjustments metrics →

Refund %New Customer Refunds

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​Formula

​Formula Components

​Example

​How It Works

​When to Use

​Related Metrics

Formula

Formula Components

Example

How It Works

When to Use

Related Metrics