In e-commerce business it is difficult to analyze the market, there are multiple factors involved but the final decision is based on metrics. Metrics describe each parameter including critical factors, so it is easy to understand the store’s performance and push up those lower factors. There are enormous metrics available to inspect, but a small number of them displayed the actual status of your business, and it will definitely help you to increase those metrics if you identified them on time. Let’s have a look at which metrics should be monitored all the time to improve your store’s trade.
Look up your CRO
Conversion rate is the backbone while tracking customer’s behaviors. Through CRO we identify how many visitors actually make a purchase. It is on top priority while considering e-commerce metrics. There are many tools available regarding analytic checks, although you can do it by yourself, simply taking the number of conversions dividing by the number of total visitors.
Your site is technically surrounded with small micro conversions and move towards macro-conversion from a purchase point of view. Conversion is varied page to page when a visitor goes through category page for some products that will be a micro-conversion because it’s a narrow way and probably a sale.
Another important aspect is email marketing, online businesses sustain through good customer relationship. It’s a direct approach to engage your customers. Many eCommerce stores drive their sale up to 10% increase with emails. This is ideal for marketing as it doesn’t need traffic like other social media platforms. Create your email list from previous and existing customers. Try to get many as you can, it is not important to keep only customers. Once they subscribe to your email, keep a good interaction with them through promotional deals and turn them as your customer.
Know Your CLV (customer lifetime value)
CLV is a value check matric to classify how much you earn from a consumer over the customer lifetime. Like the possible earning is about $30 via four times through customer lifetime, your CLV is $120. CLV is important when you want to calculate how much you spend to attain a consumer and how much you need more to hold them.
Maintain Customer Acquisition Cost (CAC)
Acquire new customers, must cost something. These costs will be treated at customer acquisition cost CAC. When it comes to your business profit, your acquisition cost will be below from your CLV. Once you maintain this cost-profit average will be raised from every new consumer. In e-commerce business, it is hard to balance CAC, but later on, you can gradually increase your sale. In order to maintain your marketing budget, it is preferred to utilize free marketing like social media, content marketing, and email marketing.
Once your e-commerce starts generating valuable leads and most of your visitors are more possibly turn into a customer. Then there is no need to expend lots of money on campaigns and marketing purpose. Instead of marketing, start investing in the advancement of the store and make it a reliable source for online shopping