Average variable cost per order—shows the per-transaction burden of handling, gateway, shipping, and other operational fees.
| Metric | Definition |
|---|
| Variable Costs | Handling + Gateway + Shipping + Other costs |
| Total Orders | Number of orders placed |
| Metadata | |
|---|
| Type | Currency |
| Data Source | Shopify, Upstack Costs |
| Aggregation | Ratio |
Example
Your store had $18,421 in variable costs across 1,842 orders:
| Metric | Value |
|---|
| Variable Costs | $18,421 |
| Total Orders | 1,842 |
| Variable Costs Per Order | $10.00 |
How It Works
Divides total Variable Costs by order count. This metric helps you understand the fixed-cost-like burden of per-order operational fees. Add this to COGS Per Order to see the total cost per transaction before margin.
When to Use
| Scenario | Action |
|---|
| Unit economics | Calculate per-order profit after all costs |
| Pricing floors | Ensure AOV covers COGS + Variable Costs per order |
| Cost optimization | Identify which variable costs are highest |
| Break-even analysis | Factor into minimum order value |
| Metric | Relationship |
|---|
| Variable Costs | Total costs (numerator) |
| Total Orders | Order count (denominator) |
| Variable Costs % | As percentage of revenue |
| COGS Per Order | Product cost per order (add for total) |
