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Returning customer discount amount as a percentage of returning customer gross revenue.

Formula

Returning Customer Discount Gross Rate = ( Returning Customer Discounts ÷ Returning Customer Gross Revenue ) × 100

Formula Components

MetricDefinition
Returning Customer DiscountsTotal dollar value of discounts applied to repeat buyer orders
Returning Customer Gross RevenueTotal revenue from returning customers before adjustments
Metadata
TypePercentage
Data SourceShopify
AggregationRatio

Example

Your returning customers generated $145,000 in gross revenue with $11,600 in loyalty discounts:
MetricValue
Returning Customer Gross Revenue$145,000
Returning Customer Discounts$11,600
RC Discount Gross Rate8.0%

How It Works

This metric divides returning customer discount dollars by returning customer gross revenue, then multiplies by 100. It measures how much repeat buyer revenue is offset by loyalty or promotional discounts. High rates may indicate over-reliance on discounts to drive repeat purchases, cutting into retention margins.

When to Use

ScenarioAction
Loyalty program evaluationAssess whether loyalty discounts are eroding repeat-purchase profitability
Margin analysisMonitor discount impact on your most valuable customer segment
New vs. returning comparisonBenchmark against NC Discount Gross Rate for acquisition vs. retention balance
Retention strategyIdentify if repeat customers can be retained with smaller discounts

MetricRelationship
RC Discount %Related percentage metric for returning customers
RC DiscountsTotal discount amount for returning customers
NC Discount Gross RateCompare retention vs. acquisition discount rates
Discount AmountTotal discounts across all customers
See all Adjustments metrics →