CM1 per Order measures the average gross margin (revenue minus COGS) per order—the product-level profitability before fulfillment and marketing.
CM1 per Order = CM1 ÷ Orders
| Metric | Definition |
|---|
| CM1 | Total gross margin |
| Orders | Count of orders |
| Metadata | |
|---|
| Type | Currency |
| Data Source | Shopify, Upstack Costs |
| Aggregation | Average |
Example
Your Shopify store has $90,000 CM1 from 1,000 orders.
| Component | Value | Calculation |
|---|
| CM1 | $90,000 | Gross margin |
| Orders | 1,000 | Order count |
| CM1 per Order | $90 | $90,000 ÷ 1,000 |
How It Works
CM1 per Order shows gross margin contribution per transaction. This is AOV adjusted for product costs—more actionable than revenue-based AOV for profitability analysis.
When to Use
| Scenario | Action |
|---|
| Product mix | Promote higher-margin products |
| Bundle strategy | Build bundles that improve CM1 per order |
| Discount analysis | Track margin impact of promotions |
| Cross-sell optimization | Add-ons should increase CM1 per order |
| Metric | Relationship |
|---|
| CM1 | Total gross margin |
| CM2 per Order | After fulfillment |
| AOV | Revenue per order |
| CM1 % | Margin rate |
