> ## 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.

# 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.

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

## Formula

<Info>
  **CM1 per Order** = **CM1** ÷ **Orders**
</Info>

### Formula Components

| Metric                                                       | Definition         |
| ------------------------------------------------------------ | ------------------ |
| [**CM1**](/reference/metrics/orders/contribution-margin/cm1) | Total gross margin |
| [**Orders**](/reference/metrics/orders/counts/orders)        | Count of orders    |

| Metadata        |                                                                      |
| --------------- | -------------------------------------------------------------------- |
| **Type**        | Currency                                                             |
| **Data Source** | [Shopify](/sources/shopify), [Upstack Costs](/sources/upstack-costs) |
| **Aggregation** | Average                                                              |

***

## 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 |

***

## 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.

***

## 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    |

***

## Related Metrics

| Metric                                                                       | Relationship       |
| ---------------------------------------------------------------------------- | ------------------ |
| [CM1](/reference/metrics/orders/contribution-margin/cm1)                     | Total gross margin |
| [CM2 per Order](/reference/metrics/orders/contribution-margin/cm2-per-order) | After fulfillment  |
| [AOV](/reference/metrics/orders/aov/aov)                                     | Revenue per order  |
| [CM1 %](/reference/metrics/orders/contribution-margin/cm1-percent)           | Margin rate        |

[See all Contribution Margin metrics →](/reference/metrics/orders/contribution-margin)