Revenue

Gross Ordered Revenue

The value of everything customers ordered in a period, at the price they ordered it, before cancellations, refunds or any cost.

Formula

Gross ordered revenue is the top of the Amazon profitability waterfall. It is the figure Seller Central presents as sales, and it is the only place that headline number is useful, because everything below it is a subtraction.

It is not money you keep. Some of those orders will be cancelled before shipping and some will be refunded after. A margin calculated on gross ordered revenue is inflated before a single cost is counted.

Where it sits in the waterfall

  1. 1Gross Ordered Revenue
  2. 2Gross Shipped Revenue
  3. 3Net Product Revenue
  4. 4Net Revenuecheckpoint
  5. 5Product Margincheckpoint
  6. 6Channel Margincheckpoint
  7. 7Growth Margincheckpoint
  8. 8Net Operating Profitcheckpoint

See the whole waterfall worked through.

Our guide walks all eight steps with real numbers: How to calculate Amazon net margin.

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