New customer COGS as a share of their net revenue—shows the true cost ratio after discounts and refunds.
| Metric | Definition |
|---|
| New Customer COGS | Cost of goods sold for first-time buyer orders |
| New Customer Net Revenue | Net revenue from new customers after discounts and refunds |
| Metadata | |
|---|
| Type | Percentage |
| Data Source | Shopify, Upstack Costs |
| Aggregation | Ratio |
Example
Your new customers generated $42,400 in net revenue with $18,340 in product costs:
| Segment | COGS | Net Revenue | COGS/Net Rate |
|---|
| New Customers | $18,340 | $42,400 | 43.3% |
| Returning Customers | $24,680 | $65,100 | 37.9% |
How It Works
This metric divides New Customer COGS by New Customer Net Revenue. It’s typically higher than the gross rate because discounts and refunds reduce the denominator. Use this for true profitability analysis after accounting for all adjustments.
When to Use
| Scenario | Action |
|---|
| True acquisition cost | See COGS burden after discounts are applied |
| Margin reality check | Understand actual first-order profitability |
| Discount impact | Compare to gross rate to see discount effect |
| CAC payback | Use with NC revenue for payback analysis |
| Metric | Relationship |
|---|
| New Customer COGS | Numerator—product costs |
| New Customer Net Revenue | Denominator—after-adjustment revenue |
| COGS Net Rate | All-customer comparison |
| Returning Customer COGS Net Rate | Repeat buyer comparison |
