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Fulfillment cost metrics track the expenses of getting orders to customers—handling, shipping, and other fulfillment operations.
Data Source: Shopify, Upstack Costs
Metrics: 15

Metrics in This Group

How These Metrics Relate

Fulfillment costs impact contribution margin at the CM2 level:
  • Total Fulfillment Cost = Handling Cost + Shipping Cost + Other Fulfillment Cost
  • CM2 = CM1 − Fulfillment Costs (contribution margin after fulfillment)
  • Compare Shipping Revenue vs Shipping Cost to find shipping margin

Choosing the Right Metric

  • Fulfillment optimization: Use Total Fulfillment Cost to track total burden
  • Shipping margin: Compare Shipping Cost vs Shipping Revenue collected
  • Per-order economics: Use Per Order metrics for unit economics
  • Customer profitability: Compare New vs Returning fulfillment costs