# Return Rate — % of orders returned

Every return has double cost: you lose the outbound fulfillment, pay the return logistics, and the product margin is destroyed. With high return rates, NCM can turn negative even if all other numbers look good.

## Where to find it

Shopify: Orders, filter by "Refunded" or "Cancelled" for the month, divided by total orders for the month. Tiendanube: "Devoluciones" report under Estadísticas.

## If it's off

A 25% return rate with 15% NCM can eliminate more than 40% of effective margin depending on reverse logistics cost. Categories like fashion and electronics can have returns up to 30%.

## LATAM Benchmarks

| Status | Range |
|---|---|
| Healthy | < 8% for accessories/home · < 15% for fashion |
| Alert | 8–18% depending on category |
| Critical | > 25% in any category |

## How to improve it

"Not what I expected" returns are reduced with better product information: size charts, multi-angle photos, product-in-use video. This investment has direct ROI in reduced reverse logistics.

Related metrics: [Purchase Frequency](https://www.uniteconomicscalculator.com/en/glossary/purchase-frequency.html) · [Annual Churn](https://www.uniteconomicscalculator.com/en/glossary/annual-churn-rate.html) · [Fulfillment Rate](https://www.uniteconomicscalculator.com/en/glossary/fulfillment-cost-rate.html)

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