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Definition
New customer rate is the share of orders in a period that came from customers who had not ordered before. It shows how much of the revenue depends on finding new buyers rather than selling to existing ones.
New customer rate = orders from new customers / all orders in the periodExample with made-up numbers: Of 1,000 orders in a month, 800 came from customers who had never ordered before. New customer rate = 800 / 1,000 = 80 percent.
How to use it
The result depends on what counts as new. A first order ever is the strict version. A first order in the period is looser and gives a higher rate. Write down which one you use, and which source decides it, such as the store's customer records or the analytics tool.
Read it with the repeat rate and the blended CAC. A high new customer rate with a rising blended CAC means each new buyer costs more. A low rate can be healthy for a store with loyal customers, as long as the repeat rate is also strong.
