Ecommerce
Average Order Value Calculator
Calculate average revenue generated by each ecommerce order.
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Ecommerce Unit Economics Calculators
Connect order value, discounts, shipping, returns, acquisition, and margin to the contribution created by each order.
Reviewed 2026-06-18 · CalcPilot Editorial Team
Decision brief
How these metrics work together
Revenue per order is not contribution per order. Ecommerce economics depend on product cost, discounts, payment fees, fulfillment, shipping subsidy, returns, support, and acquisition cost.
Interactive tools
Calculators in this decision system
Ecommerce
Gross Merchandise Value Calculator
Calculate gross merchandise value from order count and average order value.
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Repeat Purchase Rate Calculator
Calculate the percentage of customers who made more than one purchase.
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Cart Abandonment Rate Calculator
Measure the percentage of initiated shopping carts that did not become purchases.
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Discount Calculator
Calculate the sale price after applying a percentage discount.
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Shipping Cost Per Order Calculator
Calculate average outbound shipping spend for each fulfilled order.
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Ecommerce Return Rate Calculator
Calculate the percentage of sold items that customers returned.
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Profit Margin Calculator
Find the percentage of revenue left after costs and understand how efficiently a sale creates profit.
Calculate nowBuild an order-level contribution model
Start with net merchandise revenue after discounts and refunds. Subtract product cost, pick and pack, payment fees, packaging, shipping subsidy, expected return processing, and other costs that scale with the order.
Keep gross margin and contribution margin separate. Gross margin may exclude fulfillment and acquisition; contribution makes the near-term economics of order growth clearer.
Treat conversion levers as tradeoffs
Discounts may raise conversion and average units while reducing contribution per order. Free shipping may increase checkout completion while shifting cost to the merchant. Calculate the required volume or retention lift before making the incentive permanent.
Cart abandonment is not a single problem. Unexpected fees, delivery time, trust, payment failure, comparison shopping, and low intent require different remedies. Segment the rate before redesigning the entire checkout.
Measure the customer after the first order
A first order can be intentionally low-margin when retained customer value supports it, but that claim needs cohort evidence. Track repeat rate, time to second order, return behavior, support cost, and contribution by acquisition source.
Use realized rather than list price, and reconcile marketing-reported revenue with refunds and cancellations. The durable growth metric is incremental contribution and cash, not gross sales alone.
Deep dives
Editorial guides for this topic
Margin vs. Markup: Formulas, Differences, and Pricing Examples
Understand the difference between profit margin and markup, convert between them, and avoid common pricing mistakes.
Read the guide →ROI vs. ROAS: How to Measure Marketing Returns Correctly
Learn when to use ROI or ROAS, what each metric includes, and how margin changes the break-even return on ad spend.
Read the guide →Common questions
Frequently asked questions
What costs belong in ecommerce contribution margin?
Include product cost and the costs that scale with the order, such as payment fees, fulfillment, packaging, shipping subsidy, expected returns, and variable support.
Can a discount increase profit?
Yes if the incremental volume, basket size, retention, or inventory benefit outweighs the lower contribution per order. Model the required lift before launching.
Is average order value the same as profitability?
No. AOV measures revenue per order. A larger basket can still have poor contribution if it contains low-margin items, heavy discounts, or expensive shipping.
How should returns be included?
Use expected return rate and the net cost of refunds, reverse logistics, processing, lost product value, and customer support, ideally by product and acquisition cohort.
Editorial scope: This page connects related formulas; it does not replace professional financial, tax, legal, or accounting advice. Review our calculation methodology and editorial standards.