# DTC - Subscription

<details>

<summary>Blended Average Order Value</summary>

Calculation: Total Gross Sales divided by the Total Orders for the Period.

*💡 Total Orders Represents both First-Time and Returning customer orders.*

**Definition**: This approach represents, on average, how much a customer pays for an order in this segment on Shopify during the time period. This is a useful metric to start to understand overall unit economics to the business as well as a starting point for granular analysis into Customer Lifetime Value (LTV).

*💡 Since Gross Sales is used as an input here, this represents the average price paid for an order before any discounts, refunds, shipping income or Taxes.*

</details>

<details>

<summary>Orders (First Time)</summary>

**Calculation**: n/a

**Definition**: This represents all orders within the first month within the One-time (OTP) segment - meaning that these customers have no prior purchases in another month in either OTP or Sub segment within Shopify.

*💡 These could have been repeat purchasers from Wholesale or Amazon, but for simplicity of attribution, they are treated as first time in DTC.*

All orders in that first month within the segment are considered first-time, meaning there can be more than one order per one first-time customer

</details>

<details>

<summary>Orders (Returning)</summary>

**Calculation**: n/a

**Definition**: Similar to First-Time Orders, these represent returning customers in the OTP segment. These returning customers signify that Shopify has recorded at least one other purchase from this customer in the history of your store and this order took place not in the first month that the customer purchased.

</details>

<details>

<summary>AOV (Gross Sales Per Order) - First-Time</summary>

**Calculation**: Total Gross Sales from First-Time OTP orders in the period divided by Total First-Time Orders for the period.

**Definition**: This metric represents the average price paid per First-Time order in the OTP segment for the given period (e.g.,, month of July). Note: because this metric utilizes Gross Sales in its numerator, it represents the average price paid *before* any discounts, returns, refunds or taxes are considered.

</details>

<details>

<summary>AOV (Gross Sales Per Order) - Returning</summary>

**Calculation**: Total Gross Sales from Returning OTP orders in the period divided by Total Returning Orders for the period.

**Definition**: This metric represents the average price paid per Returning order in the OTP segment for the given period (e.g.,, month of July). Note: because this metric utilizes Gross Sales in its numerator, it represents the average price paid *before* any discounts, returns, refunds or taxes are considered.

</details>


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