Ecommerce KPIs are key performance indicators that can be used to determine the success of the business and also direct e commerce business owners to the best Product and Marketing of the E-commerce business. Every online seller must monitor the online business growth, sales, and all customer support targets. That’s important for businesses to help them determine their performance, and to track whether the results meet the goals of the company. These ecommerce metrics are used by businesses in order to analyze data and gain more insights into the functions of the company
Here are the most Important KPI’s that every online seller should track :
- Average Order Value (AOV)
the AOV lets you know how much your customers typically spend on one order. actual data regarding how much revenue each customer is generating.
AOV = Total Revenue / Number of orders.
- Gross Profit
. the amount of profit after subtracting the costs of production and distribution.
Gross Profit = Total Cost of Goods Sold – Total amount of sales
- Conversion Rate (CR)
Conversion Rate = (Total Number of Visitors on the Website / Total Number of Conversions) x 100
- Shopping Cart Abandonment Rate (CAR)
how many visitors are adding products to the shopping cart but don’t purchase them
- Shopping Cart Conversion Rate (CCR)
how many visitors actually complete the checkout process by purchasing the products.
CCR = (Total Conversions / Total Number of Visitors) x 100
- Cost of Goods Sold (COGS)
How much it costs to sell your product. For example, manufacturing costs, employee wages, overhead costs, and all other costs directly associated with distribution and production.
- Customer Lifetime Value (CLV)
It tells you the worth of each customer to your business.
CLV = (Customer’s Annual Profit Contribution x Average Number of Year as Customer) – the Initial Cost of Customer Acquisition
- Churn Rate
9. Customer Acquisition Cost (CAC)
how much you’re spending to acquire a new customer. You can measure it by analyzing your marketing spend and how it breaks down per customer.
CAC = Costs Spent on Acquiring Customers / Number of Customers Acquired
- Repeat Purchase Rate (RPR)
the number of customers that return to your online store in order to make another purchase.
RPR = Purchases from Repeat Customers / Total Purchase
- Revenue per Click (RPC)
the average revenue for each click on all of your pay-per-click campaigns.
RPC = Revenue / Total Number of Clicks
- Time Between Purchases
It shows how long a customer goes before making a purchase from you again..
- Revenue Per Visitor
if your income for the last month was $10,000, and you received 100,000 visitors on your online store, your revenue per visitor will be $0.1 per visitor.
Revenue per visitor = Total income / number of visitors over a specific period of time
14. Net Profit Margin
that measures store’s profitability. It’s the margin of profit you generate after making all the deductions, including taxes, operational expenses, and others.
Net profit margin = (Revenue – cost)/ revenue
15. DPQ – Digital Presence Quality
Website Traffic
Bounce Rate
Average Session per visitor
Number of followers in each social platform
Number of subscribers ( on website, blog, YouTube etc.)
Number of Mobile app installs
Email Open Rate
Email Click-Through Rate (CTR)
16. DAQ – Digital Advertising Quality
Pay-Per-Click (PPC)
Cost Per Conversion (CPC) – converting to customer
Conversion by Device Type
Customer Retention Rate
Marketing revenue attribution
tracks how much revenue your marketing is generating.one can split it to different channels , such as content marketing or influencer marketing.
Traffic to Lead Ratio
Lead to Customer Ratio
17. DRQ – Digital Relations Quality
Customer satisfaction (CSAT) Score
(You can measure this significant ecommerce KPI by customer responses to your surveys )
Net Promoter Score (NPS)
how likely are customers to recommend your brand to someone in their circle. There are three categories of people:
Promoters = respondents giving a 9 or 10 score
Passives = respondents giving a 7 or 8 score
Detractors = respondents giving a 0 to 6 score
NPS = % of Promoters – % of Detractors
Average Complaint Resolution Time
the amount of time it takes for your customer support to resolve a customer issue
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