Net chargeback rate calculator
What deductions cost you after recoveries.
Formula
Net chargeback rate % = (net deductions ÷ net revenue) × 100
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Net chargeback rate
1.24%
of net revenue lost to deductions
Worked example
$51,000 of deductions surviving after recoveries, against $4,100,000 in net revenue, lands at 1.24%. Set that beside a 2.00% gross rate and your dispute process is clawing back roughly a third of what gets assessed.
When you reach for this
The figure that belongs in the P&L conversation. Gross tells you what was assessed; net tells you what you kept losing after the disputes closed.
How to read the number
This is the number to trend over quarters. Compliance work should bend the gross rate down and the recovery rate up, and both show up here before they show up anywhere else.
Metrics that travel with it
Questions operators ask about this metric
How does the net rate differ from the gross rate?
Gross counts everything the retailer assessed. Net counts what you failed to recover. The gap between them measures your dispute operation rather than your compliance.
When is a deduction final enough to count?
When the filing window closes or the retailer denies the appeal. Counting an open dispute as a loss overstates this rate; counting it as recovered overstates your win rate.
Should recoveries land in the period assessed or the period repaid?
Match them to the assessment period wherever you can. Recoveries arrive months after the deduction, so booking them on receipt smears cause and effect across quarters.
Why does my net rate sit so close to my gross rate?
Either the team is not disputing, or the documentation cannot support the disputes it files. Dispute win rate by dollars will tell you which of the two you have.
Stop calculating this by hand
Every number on this page comes out of data you already have — orders, shipments, inventory, deductions. Endless keeps those in one source of truth instead of four exports, so the metric updates on its own and agents watch it for you.