CM1 per Order: Gross Margin per Order

Track CM1 per order for your Shopify store. Measure the average gross margin per order before fulfillment costs.

CM1 per Order measures the average gross margin (revenue minus COGS) per order—the product-level profitability before fulfillment and marketing.

Formula

CM1 per Order = CM1 ÷ Orders

Formula Components

Metric	Definition
CM1	Total gross margin
Orders	Count of orders

Metadata
Type	Currency
Data Source	Shopify, Upstack Costs
Aggregation	Average

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Example

Your Shopify store has $90,000 CM1 from 1,000 orders.

Component	Value	Calculation
CM1	$90,000	Gross margin
Orders	1,000	Order count
CM1 per Order	$90	$90,000 ÷ 1,000

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How It Works

CM1 per Order shows gross margin contribution per transaction. This is AOV adjusted for product costs—more actionable than revenue-based AOV for profitability analysis.

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When to Use

Scenario	Action
Product mix	Promote higher-margin products
Bundle strategy	Build bundles that improve CM1 per order
Discount analysis	Track margin impact of promotions
Cross-sell optimization	Add-ons should increase CM1 per order

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Related Metrics

Metric	Relationship
CM1	Total gross margin
CM2 per Order	After fulfillment
AOV	Revenue per order
CM1 %	Margin rate

See all Contribution Margin metrics →