10 essential metrics to follow in ecommerce

What helps you measure and monitor metrics (also known as “KPI”)? The answer is very simple: You can’t improve what you don’t measure!

There are 5 types of metrics:

• sale: Measures the situation of income and conversions for a certain period of time, from a certain channel.
• Marketing: They are closely related to sales, because it shows you to what extent the marketing efforts, the advertisements included on various channels have an impact on sales.
• Customer Service: Suggests to what extent your brand meets customer expectations.
• Production: Predictably, these intra -lines are related to the production process and the supply chain.
• Management de Pratic: Offers a perspective on the team’s performance and on the execution of specific tasks. Each project within your company has different objectives and processes. These metrics reveal how well each team works to achieve pre -established goals.

Here are the 10 most important metrics in ecommerce:

1. The conversion rate. Conversion is the main objective of any type of activity, because it transforms simple visitors from the site into customers. This is in the form of a percentage and is calculated by dividing the total number of visitors with the total number of conversions (usually buys, but it can also mean the unloading of an application, an ebook, etc.). In Romania, the average conversion rate in electronic commerce is Sub 2%.

2. Visits against recurring visits to the site. New visits are users who access you for the first time. Attention, in the case of people who access the 2 site on different accounts (example: from the service laptop and the personal one) will be recorded as 2 users, although in reality it is one. Recurring visitors have had access to the site previously, except for the fact that if at least 2 years have passed since the last access, Google will record them as new users.

3.. It is the percentage of people who leave the site after visiting only one page on the site or who have embarked on a single action on the respective page. Ideally, this rate is as low as possible. If it is great, over 60%, it can mean that visitors do not find what they were looking for or quickly looking for, but they are not interested in exploring more. A high refusal rate can also be the result of a low load speed or an unattractive design.

4. The average time spent on the site It gives you clues to the interest of users on the site, regardless of the page on which it is located. Not to be confused with the average time spent on the page.

5. The average value of the shopping basket. It is the average amount that customers spend when they place an order in your online store. You are interested that it is the biggest possible to collect more money, of course. It refers only to the orders that have been made, no matter the value of the shopping baskets that have been abandoned. Which leads us to the following problem:

6.. It is one of the major problems of e-commerce stores. This indicates the frequency with which users happen to add products to the basket without completing, however, the order. According to an analysis Baymard Institute This rate is about 69%. This can happen because the check-out process is complicated or too long.

7. Customer acquisition cost (CAC): CAC shows you how much the purchase of a new customer costs you. This is measured taking into account the sales and marketing expenses relating to the number of new customers.

8. Customer satisfaction score. It is usually measured with the help of the polls, through questions such as: “How satisfied are your experience satisfied?”. The answer is usually a large -scale scale from 1 to 10 or 1 to 5, with the possibility of completing the details that motivate the choice of the answer in a text box.

9. Following of social media. The number of appreciation and follower from Facebook, Instagram, because not Twitter, Snapchat, Pinterest or Tik-Tok is a KPI that evaluates how much the brand is. It is a KPI useful only to the extent that these followers have a certain degree of involvement. For this there is another KPI, called involvement of social mediaWhich measures how active interacts fans with the brand on social networks. This is the reason why we think that the purchase of ready Facebook pages, which already have a number of followers is not only lacking in ethics, but also useless. We are interested in followers to be truly involved in business history.

10. Investment recovery rate (ROI). The ROI is the percentage that shows how much of the amount invested in a specific action returns in the form of profit. Basically it is the indicator that shows you objective whether an investment were profitable or not. The calculation formula is roi = (income obtained from the investment – investment)*100/investment.

After establishing which indicators are useful for you, their measurement and monitoring should become a constant exercise. Perhaps not even daily, but preferably weekly and without monthly exceptions. More important: these metrics must generate actions! Not just to look at them.

What is relevant for you to measure? Don’t you know for sure? We can help you find out!

Sign up for the Facebook group