Refund Rate

Percentage of transactions that result in refunds

Refund Rate = (Number of Refunds ÷ Number of Transactions) × 100%

Refund Rate reflects the proportion of sales that are refunded to customers. High refund rates can impact profitability and customer satisfaction.

Monitoring refund rates helps in identifying issues with product quality, fulfillment, or customer service. It is important for maintaining financial health.

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