What do Orders a month and Revenue per order mean?

Orders a month is how many orders the forecast expects in an average month. It comes from last year's orders, grown at your pace today, plus your planned events. Revenue per order is net revenue divided by those orders. Net revenue is your sales after discounts, returns and VAT. Example: €30.000 of net revenue from 600 orders is €50,00 per order. Both sit on the What the forecast assumes card, with four more drivers.

MER, the marketing efficiency ratio, is net revenue for each euro of marketing. €40.000 of net revenue on €10.000 of marketing is a MER of 4,00. Higher is better. The forecast spends last year's ad budget at this year's level, so MER follows last year's pattern.

Return rate is returns as a share of gross revenue, on the day of each refund. Gross revenue is what customers paid, before returns and VAT come off. €1.000 of returns on €20.000 of gross revenue is 5,0%. Product costs is what your goods cost you, as a share of net revenue. €9.000 of product costs on €30.000 of net revenue is 30,0%. It uses the unit cost that applies on each day, including changes you scheduled. For both, lower is better.

CM2 margin is the share of net revenue left after product costs, shipping and payment fees, before marketing. If €30.000 of net revenue leaves €12.000, the CM2 margin is 40,0%. Higher is better.

Each tile compares the next 12 months with the last 12, and a green chip is good news. Click a tile to change that driver in What if.