Retail is undergoing a massive shift due to mobile devices and shopping from personal computers such that an ever increasing number of retail stores are either teetering on the brink of bankruptcy or have already gone under. Why? Consumers spend more and more time on mobile devices discovering, researching and purchasing products. Here are some numbers to consider:
From 2014-2015 online sales grew by 23%.
From 2015-2016 online sales grew by 15.6%.
From 2016-2017 online sales grew by 14%
According to Forrester Research, which tracks various metrics to predict customer engagement trends, by 2022, online shopping will account for 17% of all retail sales.
No surprises there as even at a brick and mortars stores customers will use their mobile devices to discover, compare and ever purchase competitors products.
To develop their online business presence in order to increase sales, marketers in the e-commerce field need to ensure they are tracking web conversions and measuring the right KPIs. Here are 44 essential metrics every business engaging in e-commerce should be measuring.
Business Sustainability Metrics
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Sales Revenue
Customer acquisition cost (CAC) |
Amount of revenue gained from inbound marketing.
Cost to acquire a customer. |
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Average order value |
Average revenue per business transaction. |
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Customer lifetime value (LTV) |
Predicted sales amount over the entire future relationship with your business. |
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Percentage of returning customers |
Percentage of people who come back and buy more after making the initial purchase. |
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Sales conversion rate |
Percentage of visitors who convert into customers. |
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Revenue generated from marketing campaigns (marketing ROI) |
Calculate how much revenue is generated for all marketing activity |
Website Engagement Metrics
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Site availability |
Determine if you can access a website by going to its URL and view the site’s content as expected |
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YoY traffic changes |
Compare the number of visitors for one period to the same period the previous year |
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Time on site |
Measure how much time visitors spend on your website |
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Number of pages visited |
Measure how many pages a visitor views per session |
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Sales conversion rate |
Calculate the percentage of website visitors who become your customers |
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Average order value |
Calculate how much revenue each order brings to your business |
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Orders by session |
Measure how many orders each session (visit) brings to your business |
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Shopping cart abandonment rate |
Calculate the ratio of the number of abandoned shopping carts to the number of initiated transactions |
Customer/User Experience Metrics
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Pageviews per user |
Measurement of how easy/engaging is the website. |
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Page abandonment |
Measurement of how many visitors leave a page before completing the desired action. |
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New users/repeat users by pages |
Measure how many new visitors your website pages get versus the number of repeat visitors. |
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Bounce rate |
Calculate the percentage of visitors to a particular website who navigate away from the site after viewing just one page. |
Loyalty Metrics
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Customer lifetime value (CLV) |
Predict how much profit a customer will bring over the entire relationship with your business |
| Repeat purchase rate | Percentage of current customers that come back to shop again |
Paid Search Advertising Metrics
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Spend |
Amount of money spent on advertising for a given date range. |
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Clicks |
Measurement of times users click on your ad. |
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Impressions |
Quantity of users saw your ad. |
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Click-through rate (CTR) |
Number of clicks divided by the number of impressions. |
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Cost per click (CPC) |
Average cost for a single click (calculated by dividing the total cost of your clicks by the total number of clicks). |
| Conversions | Measure how many times a click turned into a business result – be it sign-up, a sale, orother action taken by the user). |
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Conversion rate |
Number of conversions divided by the number of clicks. |
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Cost per conversion |
Measurement of the price for this form of marketing per conversion. |
Social Media Advertising Metrics
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Network referrals |
Measurement depicting the contribution of discrete social networks to traffic. |
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Social media conversions |
Measure conversion by social networks to understand which ones bring the most valuable shoppers. |
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Clicks |
Quantity of users clicking on your ad and being referred to your landing page or sales funnel. |
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Frequency |
Means for determining posting schedule to prevent annoying your audience. |
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Relevance score |
Calculation of how successfully your current ads are performing. |
Email Metrics
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Open rate |
Calculation of the percentage of email recipients who open a given email. |
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Click-through rate |
Calculation of the percentage of email recipients who clicked on links in a given email. |
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Conversion rate |
Calculation of how many people that clicked-through completed a business transaction. |
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Bounce rate |
Calculation of the percentage of emails were attempt at delivery failed. |
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List growth rate |
Calculation of the rate your email list is growing. |
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Email forwarding rate |
Calculation of the percentage of people who forwarded email. |
Ready to see the above key performance indicators for your e-commerce business grow and start doing more business transactions? Ariel Sheen will help develop your Facebook and Google ad and content marketing campaigns to help brands engaging in e-commerce increase their ad and search ranking performances. Scale your business faster with his marketing services by contacting me now.