The tax collected from returning customers expressed as a percentage of their total revenue.
Returning Customer Tax % = Returning Customer Tax Collected ÷ Returning Customer Total Revenue × 100
| Metric | Definition |
|---|
| Returning Customer Tax Collected | Total tax collected from returning customer orders |
| Returning Customer Total Revenue | Total revenue generated by returning customer orders |
| Metadata | |
|---|
| Type | Percentage |
| Data Source | Shopify |
| Aggregation | Ratio |
Example
Your store collected $2,450 in tax from returning customers who generated $35,000 in total revenue:
| Month | RC Tax | RC Revenue | RC Tax % |
|---|
| January | $2,450 | $35,000 | 7.00% |
| February | $2,680 | $38,200 | 7.02% |
| March | $2,310 | $33,750 | 6.84% |
How It Works
This metric divides the tax collected from returning customers by their total revenue, then multiplies by 100. It reflects the effective tax rate applied to repeat customer orders. Geographic and product mix differences can cause this rate to vary over time.
When to Use
| Scenario | Action |
|---|
| Analyzing tax burden | Compare tax rates between new and returning customers |
| Geographic pricing review | Identify if repeat buyers skew toward high or low tax regions |
| Tax compliance monitoring | Track effective tax rate trends over time |
| Margin analysis | Factor tax percentage into profitability calculations |
| Metric | Relationship |
|---|
| Returning Customer Tax Collected | Numerator in this calculation |
| Returning Customer Tax Per Order | Tax divided by order count |
| New Customer Tax % | Same metric for first-time buyers |
