When you start to understand how your different metrics relate, you can start to make better predictions.
For example, if you know your Average Orders per Month and Average Order Value you can estimate how your total sales would change when they change. Lets say you have 1,000 orders per month with an AOV of $100.
- Your total sales are $100,000 per month
- If you can get 100 more orders per month, that's an extra $10,000 total sales
- Or if you boost AOV to $105, that's an extra $5,000 total sales
- Or both, (pulls out a calculator...) that's $15,500
This sort of knowledge of how the metrics relate can make it easier to plan which ones to work on.
Is this change likely to increase the number of people visiting and buying? That'll improve the Average Orders per Month.
Or will customers be placing larger orders? That could boost Average Order Value.
It also opens up more possibilities. Everyone talks about boosting Average Order Value but once it's highly optimized, it can be hard to squeeze more out of it. But if total sales is your goal, there are other metrics that could take your attention.
Average Orders per Month, Average Order Value, and more metrics are included in Repeat Customer Insights.
Eric Davis
Learn what your customers are actually doing instead of just guessing
One of the best ways to build a sustainable business starts by getting your customers to come back. Mastering that simple process can be difficult, but builds a lifelong business.
Repeat Customer Insights can help you understand your customer's behavior. With its collection of behavior reports, you can see what they're actually doing instead of guessing and having your efforts fall flat.