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Gateway Cost Per Order measures the average payment gateway processing fee charged per order by payment processors like Stripe, PayPal, or Shopify Payments.

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Formula

Gateway Cost Per Order = Gateway Cost ÷ Orders

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Formula Components

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Example

Your store processed 1,247 orders in January with a total Gateway Cost of $3,999: With a typical fee structure of 2.9% + $0.30, an average order value of $100 results in roughly $3.20 per order in gateway fees.

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How It Works

Gateway Cost Per Order divides total payment processing fees by the number of orders. This metric helps you understand the fixed and variable components of your payment costs on a per-transaction basis. Higher AOV orders typically have higher absolute gateway costs but lower costs as a percentage of revenue.

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When to Use

See all Transaction Cost metrics →