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Online Metrics Tools
Every successful business is driven by metrics.
Metrics are powerful tools that tell you where you’ve been and to where you’re headed.
Here are the most widely used metrics that every entreprenour should know by heart.
Average Order Value (AOV)
- An average dollar amount that customers spend when they make a purchase
- AOV = ($total revenue) / (#) orders placed
Increase Average Order Value Tactics
- Cross-sell
- Up-sell
- Offer complementary products
- Free shipping with a minimum purchase
- Coupons
Sales Conversion Rate
- How many visitors make a purchase
- = ( # of sales) / ( # of users) x 100%
Maintain High Conversion Rates
- Buy a .com domain (.org domain erodes trust)
- Add detailed contact information
- Ensure your search tab function matches what people search for
Repeat Customer Rate (RCR)
- The percentage of customers who return to make a second purchase
Improve Repeat Customer Rates
- Exceptional customer service
- Implement loyalty programs
- Send out relevant newsletters
Shopping Cart Abandonment
- Percentage of people who added items to the shopping cart but did not complete the purchase
Limit Shopping Cart Abandonment
- Speed matters
- Be transparent with all costs and fees upfront
- Have clear return policy in place
Email Bounce Rates
- Undeliverable email
- Email Bounce Rates = (Total # of bouns emails) / (Number of emails sent) *100
Keep Email Bounce Rates Low
- If you haven’t sent an email to your subscribers in last six month, send subscription reconfirmation email first
- Do not use purchased email lists
- Avoid sending out spammy content
Growth Rate
- The rate at which your email list is growing
- Growth Rate = (Total Number of Subscribers) – (Unsubscribers) / (Total Number of Email Addresses on Your List)
Email List Tactics
- Build out your email list
- Add content that increases your trustworthiness
- Personalize – avoid robot-looking emails
Open Rate
- How many recipients view your email
- A healthy open rate is in the 20% – 40% range
- Open Rate = (Emails opened) / (Emails Sent) – (Bounces)
Open Rate Tactics
- Get personal
- Create an engaging subject line
- Avoid spam (4-letter) words
Clickthrough Rate
- The percentage of email recipients who clicked on the content given in the email
- Clickthrough Rate (%)= (Total Clicks / # of Delivered Emails) * 100
Clickthrough Rate Tactics
- Mobile-friendly
- Show your product in use
- Add reviews
Conversion Rate
- The percentage of email recipients who clicked on a link and completed the action that was promoted
- Conversion Rate (%) = ( # of people who completed the desired action) / (# of total emails delivered) * 100
Conversion Rate Tactics
- Provide facts
- Tell your brands story
- Include coupons
Blog: Bounce Rates
- Great: 20% to 30% – meets the needs of its users and engages the audience
- Mediocre: 30% to 50% – provides good info but not incentives to stick around
Low Bounce Rate Tactics
- Provide focused and relevant content with the right keywords
- Keep paragraphs short and easy to understand
- Avoid popups