RAAD (Net): Net Revenue After Ad Spend

RAAD (Net) measures net order revenue minus advertising spend—the most conservative revenue after ad spend calculation.

Formula

RAAD (Net) = Net Order Revenue − Ad Spend

Formula Components

Metric	Definition
Net Revenue	Order revenue after discounts and refunds
Ad Spend	Total advertising spend across platforms

Metadata
Type	Currency
Data Source	Shopify, Meta Ads, Google Ads
Aggregation	Sum

Example

Your Shopify store generated $180,000 net revenue and spent $25,000 on ads.

Component	Amount	Calculation
Net Revenue	$180,000	After discounts/refunds
Ad Spend	$25,000	Advertising cost
RAAD (Net)	$155,000	$180,000 − $25,000

How It Works

RAAD (Net) uses net revenue after discounts and refunds. This is the most conservative RAAD calculation, showing realized revenue minus ad costs. It’s the closest to actual cash impact.

When to Use

Scenario	Action
Conservative analysis	RAAD (Net) shows actual realized revenue after ads
Profitability planning	Use for cash flow projections
Comparing to gross RAAD	See discount/refund impact
Setting targets	Plan against net revenue goals

Metric	Relationship
RAAD (Total)	Total revenue minus ad spend
RAAD (Gross)	Gross revenue minus ad spend
Net Revenue	Revenue base after adjustments

See all Performance metrics →