> ## Documentation Index
> Fetch the complete documentation index at: https://docs.upstackdata.com/llms.txt
> Use this file to discover all available pages before exploring further.

# Returning Customer RAAD %: Repeat Order Revenue Retention Rate

> Track returning customer RAAD percentage for your Shopify store. Measure what share of repeat order revenue remains after ad spend.

<Tip>
  Returning Customer RAAD % measures what share of repeat order revenue remains after subtracting ad spend—showing retention profitability as a margin.
</Tip>

## Formula

<Info>
  **Returning Customer RAAD %** = ( **Returning Customer Total Revenue** − **Ad Spend** ) ÷ **Returning Customer Total Revenue** × 100
</Info>

### Formula Components

| Metric                                                                                                     | Definition                       |
| ---------------------------------------------------------------------------------------------------------- | -------------------------------- |
| [**Returning Customer Total Revenue**](/reference/metrics/orders/revenue/returning-customer-total-revenue) | Revenue from repeat buyer orders |
| [**Ad Spend**](/reference/metrics/advertising/blended/blended-spend)                                       | Total advertising spend          |

| Metadata        |                                                                                             |
| --------------- | ------------------------------------------------------------------------------------------- |
| **Type**        | Percentage                                                                                  |
| **Data Source** | [Shopify](/sources/catalog/shopify), [Advertising Platforms](/sources/catalog/facebook-ads) |
| **Aggregation** | Ratio                                                                                       |

***

## Example

Your Shopify store generates **\$100,000** from returning customer orders and spends **\$15,000** on ads.

| Component                     | Value     | Calculation          |
| ----------------------------- | --------- | -------------------- |
| Returning Customer Revenue    | \$100,000 | Repeat order sales   |
| Ad Spend                      | \$15,000  | Marketing cost       |
| RAAD Amount                   | \$85,000  | \$100,000 − \$15,000 |
| **Returning Customer RAAD %** | **85%**   | \$85,000 ÷ \$100,000 |

***

## How It Works

Returning Customer RAAD % shows how profitable your repeat customer revenue is relative to ad spend. Repeat customers typically have higher RAAD % because no acquisition cost is needed—they're already customers.

***

## Benchmarks

| Rating       | Range     |
| ------------ | --------- |
| Excellent    | > 85%     |
| Good         | 70% – 85% |
| Moderate     | 50% – 70% |
| Needs Review | \< 50%    |

Returning customer RAAD % should be significantly higher than new customer RAAD % since no acquisition cost is incurred.

***

## Related Metrics

| Metric                                                                                         | Relationship                   |
| ---------------------------------------------------------------------------------------------- | ------------------------------ |
| [Returning Customer RAAD](/reference/metrics/orders/performance/returning-customer-total-raad) | Absolute amount                |
| [RAAD %](/reference/metrics/orders/performance/total-raad-percent)                             | Overall revenue retention rate |
| [New Customer RAAD %](/reference/metrics/orders/performance/new-customer-total-raad-percent)   | First-order retention rate     |

[See all Performance metrics →](/reference/metrics/orders/performance)