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Refund Rate Calculator

Calculate the percentage of orders that were refunded.

Free business calculator

Refund Rate Calculator

Calculations and What-If scenarios run in your browser. Borkish does not require you to submit these values to calculate the result.

What the Refund Rate Calculator measures

Refund rate can reveal product, expectation or fulfillment issues. Measure ecommerce performance, order economics, marketplace costs and store growth without spreadsheets.

The result becomes more useful when every input follows the same definition and reporting period. That keeps comparisons between campaigns, products, customers and time periods meaningful.

When to use this calculator

  • Use the Refund Rate Calculator to review store economics using order, revenue and customer data.
  • Compare product or marketplace performance using the same reporting period.
  • Model how changes in conversion, fees or order value affect the business.

Formula

Refund Rate = (Refunded Orders ÷ Total Orders) × 100

Percentage results are most useful when the numerator and denominator come from the same population and reporting period.

How to use this calculator

  1. Refunded OrdersUse the value from the same reporting period or scenario as your other inputs.
  2. Total OrdersUse the value from the same reporting period or scenario as your other inputs.
  3. Complete the required inputsThe result updates automatically as the values become valid.
  4. Compare the resultUse a previous period, target or relevant internal benchmark before making a decision.

Worked example

Using the demonstration values — Refunded Orders = 20, Total Orders = 500 — the calculator returns 4%. The example shows how the formula behaves; replace the demonstration data with your own before using the result for planning.

How to interpret the result

Refund rate can reveal product, expectation or fulfillment issues. Use these calculators for store planning, product economics, checkout performance and marketplace decision-making.

Check the definition of Refunded Orders, Total Orders, the attribution or accounting rules behind those inputs, and any important costs or outcomes that the formula does not include.

Common mistakes to avoid

  • Using Refunded Orders and Total Orders from different reporting periods or definitions.
  • Ignoring marketplace, payment or fulfilment costs when they materially affect the result.
  • Using order and customer counts from different periods.

Frequently asked questions

What does this calculator do?

Calculate the percentage of orders that were refunded.

Where should I get the input values?

Use your own advertising platform, ecommerce system, accounting report, CRM, analytics platform or forecast — whichever source is authoritative for the metric. Keep all inputs on the same basis and date range.

Is there one good result I should target?

Usually not. A useful target depends on your margins, acquisition model, operating costs, channel, market and business goals. Your own historical performance is often a better starting benchmark than a generic number.

Can I use this for forecasting?

Yes. Enter forecast values to model a scenario, but treat the output as an estimate based on those assumptions rather than a prediction of future performance.

For formulas, rounding and limitations, see our Calculator Methodology.
Decision path

What to calculate next

Refund rate can reveal product, expectation or fulfillment issues. A single metric rarely explains the whole decision, so compare this result with the related cost, conversion, margin or growth metrics below before acting on it.

Keep reporting periods and metric definitions consistent when moving between calculators. That makes the comparison more useful than treating each result as a standalone benchmark.

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