New Customer RAAD: First-Order Revenue After Ad Spend

New Customer RAAD measures new customer order revenue minus advertising spend—what remains from first-order revenue after paying for ads.

Formula

NC RAAD = NC Total Order Revenue − Ad Spend

Formula Components

Metric	Definition
NC Total Revenue	Total revenue from new customer orders
Ad Spend	Total advertising spend across platforms
customer_type = new_customer	Filters to first-time buyers

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

Example

New customers generated $80,000 revenue and you spent $25,000 on ads.

Component	Amount	Calculation
NC Revenue	$80,000	First-time buyer revenue
Ad Spend	$25,000	Advertising cost
NC RAAD	$55,000	$80,000 − $25,000

How It Works

NC RAAD shows how much new customer revenue remains after advertising costs. Positive NC RAAD means your acquisition spend is justified by first-order revenue. Compare to RC RAAD to see retention value.

When to Use

Scenario	Action
Measuring acquisition ROI	Positive NC RAAD validates acquisition spend
Comparing segments	NC RAAD vs RC RAAD shows retention impact
Budget planning	Set acquisition budgets against NC RAAD
Channel optimization	Compare NC RAAD across channels

Metric	Relationship
RC RAAD	RAAD from returning customers
RAAD (Total)	Overall revenue after ad spend
CAC	Cost per new customer

See all Performance metrics →