Purpose
This measure is used to identify anomalies in return behavior, which may indicate issues related to product quality, fulfillment, or pricing and positioning. Monitoring return rates helps business users detect areas where corrective actions may be required.
Business Context
Return Rate measures the proportion of shipped quantities that are returned. Elevated return rates can signal operational inefficiencies, customer dissatisfaction, or misaligned pricing and product positioning. Tracking this metric across products, customers, or regions supports targeted investigation and continuous improvement.
Definition
The measure calculates the returned quantity as a share of the net shipped quantity over the Agent’s filtered scope. Returned quantities are identified by negative quantity values, which are treated as returns.
Business Formula
Return Rate (%) = Sum of Returned Quantity / Sum of Net Shipped Quantity
Agent Expression
SUM(IF(Quantity < 0, - Quantity, 0)) / NULLIF(SUM(IF(Quantity > 0, Quantity, 0)),0)