7 Key Ecommerce Metrics For Better Sales

7 Key Ecommerce Metrics For Better Sales


Ecommerce store owners have access to an ocean of information.

Day-to-day, weekly-to-month sales totals are shown below. Items purchased in total cost. An empty shopping cart. Discounted prices. Dropouts from the funnel — the list goes on and on.

However, you don't want to get lost in the avalanche of information at your fingertips.

With these seven ecommerce indicators in hand, you'll have no trouble keeping tabs on your store's progress.

Conversion Rate

It's the percentage of individuals who visit your online store or page to buy something.

The weekly conversion rate would be 1 percent if 1,000 individuals came to your store and only 10 bought something.

Obviously, the higher your conversion rate, the more money you'll make.

However, the typical ecommerce conversion rate in the United States is significantly lower than you may imagine - between 2% and 3%.

According to WordStream, Google Shopping Ads may be a better option.

Web Traffic

Now that your optimized conversion rate, it's time to start attracting more customers.

Web traffic measurement comes into play here.

A 1% conversion rate, or 10 purchases for every 1,000 visitors, is a good starting point for this discussion. After optimization, let's say this rate rises to 5%—50 sales for every 1,000 visitors.

As a result, we may assume that if you attracted 10,000 visitors to your website, you would see a tenfold increase in sales.

Even if this isn't a guarantee, you need to ensure that people know about your internet store or page to increase your sales chances.

If you want to increase the number of visitors to your website, you can:

  • Promote your products and services on social media.
  • Optimize your website/store for search engines to help visitors find you on the internet.
  • More people will subscribe to your newsletter due to your efforts to increase the number of subscribers.

Customer Lifetime Value (CLV)

The entire amount you receive from an average customer over the course of their lifetime is known as the "customer lifetime value" or "CLV."

For instance, your CLV would be $180 if a typical customer made six purchases of $30 each throughout their lifetime. More people will subscribe to your newsletter due to your efforts to increase the number of subscribers.

The second thing to remember is that you must still deduct your purchase costs from this total.

You should use your CLV as a guide to determine how much you can spend on new clients and how far you should go to keep the ones you already have.

You can improve your average order value (we'll get to that in a minute) and build customer loyalty by focusing on increasing the CLV of your online store.

Opt-in Rate in Email

It's no secret that email marketing is still one of the most effective ecommerce methods, even in this day and age of social media.

Sumo estimates the average email opt-in rate as 1.95 percent, based on over 3.2 billion sessions.

Getting as many individuals on your email list as possible, even if they don't buy your products immediately, is similar to driving traffic to your website.

People that sign up for your newsletter care enough about your brand to receive updates on your products and services, unlike regular visitors to your website/page. As a result, they're more likely to purchase shortly.

In exchange for your target audience's email addresses and contact information, you can entice them into signing up for your newsletter.

First-time members, for example, can receive a discount on their next purchase if you provide them with a special offer (such as a coupon or code).

The Director Marketing Association (DMA) reported in their 2019 marketer email study that an average return of $42 can be expected for every $1 spent on email marketing.

Shopping Cart Abandonment Rate

Shopping Cart Abandonment Rate - Dropship USA

This indicator measures the number of customers who begin their shopping experience at your store but abandon it before making a purchase.

Those looking through the windows are undecided consumers who are contemplating a purchase but have not made up their minds yet.

This happens more often than you might expect.

The Baymard Institute estimates that 69.82% of customers abandon their shopping carts.

You should do everything possible to improve your desertion rate, even if it's close to this standard.

  • Customers can shop more easily if the shopping experience, especially the checkout process, is simplified.
  • Remarketing can be used to entice previously disinterested customers back to your store. Ads and follow-up emails can be part of this strategy.

Customer Acquisition Cost

This is only half of the story, as vital as it is to expand your consumer base.

If you're spending an average of $30 to acquire a customer, but your average order value is only $25, your business is still losing money.

In this case, it's essential to know how much it costs to get a new customer.

Everything from marketing and sales charges to the cost of paying your employees and maintaining your website is included in your CAC.

Your CAC can be calculated by source or by looking at the total (e.g., different traffic channels like search engines, social media, or email lists).

You can lower your CAC by doing the following:

Boost your sales by increasing the number of people who convert to paying customers.

  • Optimize your advertising to save money on each new consumer you bring in.
  • Invest in non-traditional forms of marketing, such as search engine optimization (SEO) and social media promotion.
  • Invest in customer referral marketing to get your current customers to suggest their friends and family to your business.

Average Value of Order

If you're running an online store, you want customers to spend as much money as possible there.

Average order value refers to the average price of each transaction done in your store.

Divide the total sales value by the number of carts to arrive at yours.

By keeping tabs on your average order value, you may establish benchmarks and learn how to persuade customers to spend more money with each purchase.

To improve this measure, consider the following suggestions:

  • Complementary products that enhance the utility of the initial purchase should be offered as an upsell.
  • Customers will get a slight discount on each item if they buy them as a package rather than individually.
  • To encourage clients to spend more, offer free shipping on purchases over a particular amount.


Do not succumb to the deluge of information.

Keep an eye on these seven e-commerce KPIs to stay on top of everything going on in your company.

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