---
title: About revenue
slug: nc1a0009
canonical_url: https://docs.coveo.com/en/nc1a0009/
collection: coveo-for-commerce
source_format: adoc
---
# About revenue

Some charts on the [dashboards](https://docs.coveo.com/en/256/) in the [**Advanced Reports**](https://platform.cloud.coveo.com/admin/#/orgid/usage/advanced-reports/) ([platform-ca](https://platform-ca.cloud.coveo.com/admin/#/orgid/usage/advanced-reports/) | [platform-eu](https://platform-eu.cloud.coveo.com/admin/#/orgid/usage/advanced-reports/) | [platform-au](https://platform-au.cloud.coveo.com/admin/#/orgid/usage/advanced-reports/)) page of the [Coveo Administration Console](https://docs.coveo.com/en/183/) use the _revenue_ [metric](https://docs.coveo.com/en/263/).

Expand the following sections to learn how the revenue metric is calculated based on the tracking method you use:

**Event protocol**
<details><summary>Details</summary>

The sum of the [gross](https://docs.coveo.com/en/nc1a0009#gross-revenue) `[revenue](https://docs.coveo.com/en/l29e0540#revenue-monetary-values)` (from the `transaction` property) from every product sold in each [purchase events](https://docs.coveo.com/en/l39m0327/).

```txt
SUM (gross revenue)
```

</details>

**Coveo UA**
<details><summary>Details</summary>

The sum of the [gross](https://docs.coveo.com/en/nc1a0009#gross-revenue) `[revenue](https://docs.coveo.com/en/l29e0540#revenue-monetary-values)` (from the `transaction` property) from every product sold in each [purchase events](https://docs.coveo.com/en/l39m0327/).

```txt
SUM (gross revenue)
```

</details>

The revenue [metric](https://docs.coveo.com/en/263/) is calculated as either [_net_](#net-revenue) or [_gross_](#gross-revenue) revenue.
The **Top selling products** charts display net revenue figures.
All other reported revenue [metrics](https://docs.coveo.com/en/263/) use gross revenue, unless otherwise stated.

## Net revenue

Net revenue represents the revenue [attributed](https://docs.coveo.com/en/m7l98577/) to each product within a purchase event, excluding taxes, shipping costs, and discounts.

It's calculated by multiplying the product's base price by the quantity of units sold, as in the following formula:

```text
product net revenue = product base price * quantity
```

## Gross revenue

_Gross_ revenue represents the revenue [attributed](https://docs.coveo.com/en/m7l98577/) to each product within a purchase event, scaled to match the total gross transaction amount, which may include taxes, shipping costs, and discounts.

Rather than distributing these extra costs across products directly, gross revenue is calculated using a _gross factor_.
The gross factor is a scaling ratio based on the relationship between gross and net revenue at the transaction level.

The following formula is used to calculate the gross revenue:

```text
Gross revenue = net revenue * gross factor
```

The gross factor is calculated as follows:

```text
Gross factor = gross transaction amount / net transaction amount
```

Where:

* **Gross transaction amount**: The total amount of the transaction logged by the associated purchase event, including taxes, shipping costs, and discounts.

* **Net transaction amount**: The sum of the net revenue of all products sold in the transaction.

## Example

A customer makes a purchase containing the following products:

[%header,cols="4"]
|===
|Product
|Base price
|Quantity
|Product net revenue

|A
|$25
|1
|$25

|B
|$10
|4
|$40

|C
|$40
|3
|$120
|===

The transaction's total net revenue is $185. The total amount logged by the associated purchase event is $200, which includes $15 in taxes, shipping, or other adjustments.

The gross factor is calculated as follows:

```text
Gross factor: 200 / 185 = 1.081081
```

When calculating gross revenue, the gross factor is applied to each product's net revenue:

[%header,cols="5"]
|===
|Product
|Net revenue
|Gross factor
|Gross revenue
|Adjustment

|A
|$25
|1.081081
|$27.03
|+$2.03

|B
|$40
|1.081081
|$43.24
|+$3.24

|C
|$120
|1.081081
|$129.73
|+$9.73
|===

This results in a total gross revenue of $200, which matches the transaction total.