Essential eCommerce KPIs

72 Essential Ecommerce KPIs You Must Know

By Tanya | Last Updated on May 21st, 2024 9:57 am

In the fast-paced world of eCommerce, understanding and leveraging Key Performance Indicators (KPIs) is crucial for driving sales, enhancing customer satisfaction, and optimizing operations. This comprehensive guide delves into 72 vital eCommerce KPIs, offering insights on setting and utilizing these metrics for business growth. By integrating effective workflow automation tools, businesses can streamline processes, making monitoring and achieving KPIs more efficient.

Understanding Key Performance Indicators (KPIs)

A key performance indicator (KPI) is a measurable value that shows how effectively a company is achieving its key business objectives. Organizations use KPIs to evaluate their success at reaching targets. Essentially, KPIs provide a way for businesses to monitor progress and determine where they stand in terms of achieving their strategic goals. By analyzing these indicators, companies can make informed decisions to improve performance and enhance their operations. KPIs vary between companies and industries, depending on their priorities or performance criteria, but fundamentally, they are the critical metrics that keep an organization's strategy on track. For eCommerce ventures, selecting a few pertinent KPIs aligned with their goals is essential, avoiding the confusion of tracking too many metrics.

The Importance of KPIs in eCommerce

Setting KPIs enables businesses to identify areas needing improvement and strategize accordingly.

  1. Track Performance: KPIs allow eCommerce businesses to measure their online store's performance against set goals, helping identify areas of success and those needing improvement.
  2. Customer Insights: They provide valuable insights into customer behavior and preferences, enabling businesses to tailor their offerings and marketing strategies to meet customer needs better.
  3. Inventory Management: KPIs help in efficiently managing inventory by tracking sales trends, popular products, and stock levels, ensuring optimal stock availability without overstocking.
  4. Marketing Optimization: By analyzing KPIs related to marketing campaigns, businesses can understand which strategies are most effective, allowing for the optimization of marketing spend and efforts.
  5. Financial Health: KPIs related to revenue, profit margins, and cost of customer acquisition give a clear picture of the eCommerce business's financial health, guiding strategic financial planning and decision-making.

Comprehensive List of 72 eCommerce KPIs

Dive into our extensive compilation of 72 eCommerce KPIs, designed to empower your online business with data-driven insights.

Sales Metrics

  1. Conversion Rate
  2. Significance: The conversion rate is a critical indicator of how effectively a website turns visitors into buyers. It reflects the quality of the user experience, product appeal, and effectiveness of marketing efforts.
    Calculation: Conversion Rate = (Number of Sales / Number of Visitors) x 100
    Improvement Strategies: Enhance website usability, streamline the checkout process, and utilize targeted marketing strategies to attract qualified traffic.

  3. Cost of Goods Sold (COGS)
  4. Significance: COGS helps businesses understand the direct costs associated with producing or purchasing the goods they sell, which is essential for pricing strategies and profitability analysis.
    Calculation: COGS = Opening Inventory + Purchases During the Period - Closing Inventory
    Improvement Strategies: Negotiate better terms with suppliers, improve inventory management, and optimize production processes to reduce costs.

  5. Gross Profit
  6. Significance: Gross profit measures the efficiency of production and pricing strategies. It's a fundamental metric for assessing the financial health of a business.
    Calculation: Gross Profit = Total Sales - COGS
    Improvement Strategies: Increase prices where possible, reduce direct costs, and focus on high-margin products.

  7. Sales Volume
  8. Significance: Tracking sales volume over time helps businesses understand market demand, seasonal trends, and the effectiveness of sales and marketing efforts.
    Calculation: Sales Volume = Number of Units Sold During a Specific Period
    Improvement Strategies: Implement promotional campaigns, expand distribution channels, and enhance product offerings.

  9. Average Order Value (AOV)
  10. Significance: AOV provides insights into consumer buying behavior and helps businesses strategize upselling and cross-selling techniques.
    Calculation: AOV = Total Revenue / Number of Orders
    Improvement Strategies: Bundle products, offer discounts on minimum spend thresholds, and personalize product recommendations.

  11. Shopping Cart Abandonment Rate (CAR)
  12. Significance: A high CAR indicates issues with the checkout process or pricing strategies, affecting overall sales.
    Calculation: CAR = (1 - (Number of Completed Transactions / Number of Shopping Carts Created)) x 100
    Improvement Strategies: Simplify the checkout process, offer multiple payment options, and address hidden costs upfront.

  13. Customer Acquisition Cost (CAC)
  14. Significance: CAC helps businesses assess the efficiency of their marketing efforts in attracting new customers.
    Calculation: CAC = Total Marketing and Sales Costs / Number of New Customers Acquired
    Improvement Strategies: Optimize marketing campaigns, leverage organic marketing channels, and improve sales conversion rates.

  15. Customer Lifetime Value (CLV)
  16. Significance: CLV estimates the total revenue a business can expect from a single customer, highlighting the importance of customer retention.
    Calculation: CLV = (Average Purchase Value x Purchase Frequency) x Customer Lifespan
    Improvement Strategies: Enhance customer service, implement loyalty programs, and personalize marketing efforts.

  17. Churn Rate
  18. Significance: The churn rate indicates how well a business retains its customers, which is crucial for long-term success.
    Calculation: Churn Rate = (Number of Customers Lost During a Period / Number of Customers at the Start of the Period) x 100
    Improvement Strategies: Address customer feedback, improve product quality, and engage with customers through regular communication.

  19. Purchase Frequency
  20. Significance: This metric helps businesses understand how often customers return to make a purchase, indicating customer loyalty and satisfaction.
    Calculation: Purchase Frequency = Total Number of Orders / Unique Customers
    Improvement Strategies: Encourage repeat business through email marketing, exclusive offers, and loyalty rewards.

  21. Revenue per Visitor (RPV)
  22. Significance: RPV provides insights into the value each site visitor brings, helping to gauge the effectiveness of online marketing and site design.
    Calculation: RPV = Total Revenue / Number of Visitors
    Improvement Strategies: Optimize website design for conversions, target high-value customer segments, and improve product offerings.

  23. Repeat Purchase Rate (RPR)
  24. Significance: RPR measures customer loyalty and the effectiveness of retention strategies.
    Calculation: RPR = (Number of Customers Who Made More Than One Purchase / Total Number of Customers) x 100
    Improvement Strategies: Deliver exceptional post-purchase experiences, implement targeted re-engagement campaigns, and offer incentives for repeat purchases.

  25. Inventory Levels
  26. Significance: Proper inventory management ensures that businesses can meet demand without overstocking, affecting cash flow and storage costs.
    Improvement Strategies: Implement inventory management software, forecast demand accurately, and establish reorder points.

  27. Product Affinity
  28. Significance: Understanding which products are frequently purchased together can inform cross-selling strategies and product development.
    Improvement Strategies: Analyze sales data to identify patterns, create bundled offers, and promote related products on product pages and during checkout.

  29. Competitive Pricing
  30. Significance: Competitive pricing ensures that a business's offerings remain attractive to price-sensitive customers without sacrificing profitability.
    Improvement Strategies: Monitor competitor pricing strategies, implement dynamic pricing tools, and emphasize value over price in marketing communications.

  31. Hit Rate
  32. Significance: The hit rate helps businesses understand the effectiveness of their sales team and strategies in converting prospects into customers.
    Calculation: Hit Rate = (Number of Sales / Number of Prospects) x 100
    Improvement Strategies: Train sales teams, refine sales pitches, and improve lead qualification processes.

By focusing on these sales metrics, eCommerce businesses can identify opportunities for growth, optimize their operations, and build stronger relationships with their customers. Implementing targeted strategies to improve these KPIs will contribute to increased sales, higher profitability, and sustained business success.

Marketing Metrics

    These metrics are essential for eCommerce businesses to gauge the effectiveness of their marketing strategies, optimize their online presence, and enhance engagement with their target audience.

  1. Website Traffic
  2. Website traffic measures the overall visibility and appeal of your eCommerce site, indicating successful marketing efforts and a strong brand presence. High traffic volumes can result from optimized SEO practices, engaging content marketing, and active social media use.

  3. Mobile Site Traffic
  4. With the increasing use of smartphones for internet browsing, mobile site traffic is crucial for understanding mobile user engagement. A mobile-friendly website, improved page load times on mobile devices, and mobile-specific ads can enhance traffic from mobile users.

  5. Blog Traffic
  6. Blog traffic gauges the effectiveness of content marketing strategies in attracting and engaging readers, vital for building brand authority. Producing high-quality, relevant content regularly and promoting posts on social media can increase blog visitors.

  7. Average Session Duration
  8. This metric reflects the quality of your content and user engagement by indicating how long visitors stay on your site. A well-designed website and compelling content can improve average session durations.

  9. Bounce Rate
  10. A high bounce rate may suggest that your website isn't meeting visitor expectations, possibly due to irrelevant content or poor user experience. Enhancing landing page content and improving page load speed are considerations for reducing bounce rates.

  11. Pageviews per Session
  12. The number of pages a visitor views in a single session helps understand site engagement. Clear calls-to-action, related content recommendations, and optimized site navigation can encourage more pageviews per session.

  13. Clicks
  14. Total clicks on links or buttons provide insights into user interest and the effectiveness of your CTAs. Strategic placement of links and A/B testing of CTA designs are considerations for increasing clicks.

  15. Average Click-Through Rate (CTR)
  16. CTR measures the effectiveness of ads or emails in compelling recipients to click through to your website. Writing compelling ad copy and using engaging visuals can enhance CTR.

  17. Email Open Rate
  18. The percentage of recipients who open an email reflects the effectiveness of your subject lines and sender reputation. Crafting compelling subject lines and optimizing send times can influence open rates.

  19. Email CTR
  20. Email CTR measures the effectiveness of email content in driving recipients to take action. Including clear CTAs and personalizing email content are considerations for improving email CTR.

  21. Email Conversion Rate
  22. This metric shows the percentage of email recipients who complete a desired action, indicating the overall success of email marketing campaigns. Targeting emails based on user behavior and offering exclusive deals can influence email conversion rates.

  23. Unsubscribes
  24. Tracking unsubscribes helps understand subscriber content alignment. Segmenting your list for more targeted content and allowing subscribers to choose their preferences can manage unsubscribe rates.

  25. Subscriber Growth Rate
  26. The rate at which the subscriber list is growing indicates the effectiveness of lead generation efforts. Offering incentives for subscriptions and creating valuable lead magnets can support subscriber growth.

  27. Social Media Engagement
  28. Engagement metrics on social platforms indicate content resonance with your audience. Posting engaging content and responding to comments are considerations for enhancing social media engagement.

  29. Social Media Followers
  30. The number of followers reflects your brand's reach on social media platforms. Consistent posting of valuable content and leveraging social media ads can increase followers.

  31. Traffic Source
  32. Identifying where website traffic originates helps understand which marketing channels are most effective. Analyzing traffic source data can inform resource allocation and channel-specific strategies.

  33. PPC Traffic Volume
  34. Traffic generated from pay-per-click campaigns measures the effectiveness of these campaigns in driving website visits. Optimizing ad copy, targeting, and keywords are considerations for increasing PPC traffic volume.

  35. Organic Rankings
  36. Search engine rankings for relevant keywords indicate the effectiveness of SEO efforts. Conducting keyword research and optimizing website content can improve organic rankings.

  37. Core Web Vitals
  38. These metrics measure website usability and performance, affecting user experience and SEO rankings. Optimizing loading times and ensuring interactivity can enhance core web vitals.

  39. Backlinks
  40. The number of external sites linking to your website can boost site authority and improve SEO rankings. Creating high-quality content and engaging in guest blogging are considerations for increasing backlinks.

  41. Reviews
  42. Customer reviews influence purchasing decisions and affect brand reputation. Encouraging satisfied customers to leave reviews and responding to feedback can manage and leverage reviews effectively.

  43. Revenue from Marketing
  44. Quantifying the direct revenue generated from marketing efforts highlights the ROI of marketing activities. Tracking and analyzing revenue attribution can inform marketing spend optimization.

  45. Share of Voice (SOV)
  46. SOV measures your brand's market presence compared to competitors, indicating brand awareness. Increasing content production and engaging in PR activities are considerations for boosting SOV.

    By closely monitoring and considering these marketing metrics, eCommerce businesses can significantly enhance their online presence, engage more effectively with their target audience, and drive increased sales and revenue.

Customer Service Metrics

In the competitive landscape of eCommerce, understanding and optimizing customer service metrics is crucial for maintaining a positive relationship with customers and ensuring their loyalty. These metrics offer insights into the effectiveness of customer service operations and highlight areas for improvement.

  1. Measuring Customer Satisfaction (CSAT) Score: CSAT Score is a direct reflection of how satisfied customers are with your service or product. It's typically measured by asking customers to rate their satisfaction on a scale, often from 1 to 5 or 1 to 1

  2. Formula: (Number of Satisfied Customers / Total Number of Respondents) x 100

  3. Determining Net Promoter Score (NPS): NPS assesses the likelihood of customers recommending your brand, serving as a gauge of customer loyalty and satisfaction.

  4. Formula: (% of Promoters - % of Detractors) x 100. Promoters (score 9-10), Passives (score 7-8), and Detractors (score 0-6) are categorized based on their response to how likely they are to recommend the brand.

  5. Calculating Average Resolution Time: This metric quantifies the efficiency of your customer service team by measuring the time taken to resolve customer issues.

  6. Formula: Total Time Taken to Resolve Issues / Total Number of Resolved Issues

  7. Tracking Return Rate: The Return Rate indicates the percentage of products returned by customers, which can signal dissatisfaction with the product or service.

  8. Formula: (Number of Items Returned / Number of Items Sold) x 100

  9. First Response Time Measurement: This metric measures the time it takes for your customer service team to respond to a customer inquiry for the first time, reflecting the responsiveness of your customer service.

  10. Formula: Total Time of First Responses / Total Number of Inquiries

  11. Counting Chat Sessions: The total number of customer service chat sessions initiated gives insight into the volume of customers preferring chat as their communication channel.
  12. Monitoring Active Queries: Active Queries represent the total number of unresolved customer inquiries at any given time, indicating the backlog and efficiency of your customer service team.
  13. Customer Service Email Count: This metric tallies the number of customer service emails received, offering a perspective on the volume of customers seeking assistance via email.
  14. Customer Service Phone Call Count: Similar to email count, this metric counts the number of customer service calls received, highlighting the demand for voice support.
  15. Customer Service Chat Count: By counting the number of live chat sessions initiated, businesses can gauge the preference for real-time online support among their customer base.
  16. Calculating Escalation Rate: The Escalation Rate measures the percentage of customer issues that require intervention from higher support tiers, indicating the complexity of issues and the effectiveness of the first-line support.

  17. Formula: (Number of Issues Escalated / Total Number of Issues) x 100

Optimizing these customer service metrics involves not just monitoring and analyzing the data but also implementing strategies for improvement. By focusing on these metrics, eCommerce businesses can enhance their customer service experience, leading to increased customer satisfaction, loyalty, and ultimately, business success.

Manufacturing Metrics

In the manufacturing sector, precise metrics are essential for optimizing production processes, ensuring product quality, and maintaining a competitive edge. Here's an expanded look at key manufacturing metrics, including formulas where applicable, to help businesses monitor and improve their manufacturing operations.

  1. Cycle Time: This metric measures the time required to produce a single unit from start to finish. Lower cycle times indicate more efficient production processes.
  2. Formula: Cycle Time = Production End Time - Production Start Time

  3. Throughput:Throughput refers to the total quantity of products produced over a specific period. It's a critical measure of production efficiency and capacity utilization.
  4. Formula: Throughput = Total Units Produced / Total Time

  5. Overall Equipment Effectiveness (OEE): OEE is a comprehensive metric that evaluates how effectively manufacturing equipment is utilized. It combines availability, performance, and quality metrics for a holistic view of equipment productivity.
  6. Formula: OEE = (Availability x Performance x Quality) / 100

  7. Overall Labor Effectiveness (OLE): Similar to OEE, OLE measures the productivity of the workforce by assessing availability, performance, and quality from a labor perspective.
  8. Formula: OLE = (Availability x Performance x Quality) / 100

  9. Projected Customer Demand: This metric forecasts the expected demand for products, helping manufacturers plan production volumes accordingly. Accurate demand forecasting is crucial for optimizing inventory levels and reducing waste.
  10. Formula: Projected Customer Demand = Historical Sales Data + Market Analysis

  11. First Time Yield (FTY): FTY indicates the percentage of products manufactured correctly without needing rework or correction. High FTY rates signify efficient production processes and high-quality output.
  12. Formula: FTY = (Number of Units Produced Correctly on First Attempt / Total Units Produced) x 100

  13. Scrap Rate: The scrap rate measures the percentage of products that are unusable and must be discarded. A lower scrap rate reflects higher efficiency and material utilization.
  14. Formula: Scrap Rate = (Number of Scrap Units / Total Units Produced) x 100

  15. Non-compliance Incidents: This metric tracks the number of times manufacturing processes fail to meet regulatory standards or internal quality benchmarks. Fewer non-compliance incidents indicate better compliance with quality and safety standards.
  16. Formula: Non-compliance Incidents = Total Number of Non-compliance Events Recorded

  17. Manufacturing Cost per Unit: This metric calculates the cost involved in producing a single unit, encompassing material, labor, and overhead costs. Understanding this cost is vital for pricing strategies and profitability analysis.
  18. Formula: Manufacturing Cost per Unit = Total Manufacturing Costs / Total Units Produced

  19. Overtime Rate: The overtime rate measures the proportion of hours worked beyond the standard work schedule. High overtime rates can indicate capacity constraints or inefficiencies in production planning.
  20. Formula: Overtime Rate = (Total Overtime Hours / Total Regular Hours) x 100

By closely monitoring these manufacturing metrics, businesses can identify bottlenecks, inefficiencies, and areas for improvement in their production processes. Implementing changes based on these insights can lead to enhanced productivity, reduced costs, and improved product quality, ultimately contributing to greater competitiveness and profitability in the manufacturing sector.

Project Management Metrics

Project management metrics are essential tools for assessing the performance and success of projects. They offer insights into various aspects such as time management, cost efficiency, and overall project health. Here's a detailed look at these metrics, including formulas for their calculation:

  1. Hours Worked: This metric represents the cumulative amount of time team members have spent working on a project. It's crucial for tracking effort and productivity.

  2. Budget: This metric involves comparing the actual project costs against the planned or budgeted costs, providing a snapshot of financial performance.
  3. Formula: Budget Variance = Planned Budget - Actual Costs

  4. Return on Investment (ROI): ROI calculates the profitability of the project, showing the financial return relative to its cost.
  5. Formula: ROI = [(Net Profit / Project Cost) x 100]

  6. Change Request Count: Tracks the number of changes requested after the project scope was defined, indicating project flexibility and scope management.
  7. Formula: Direct count of approved change requests.

  8. Cancellation Count: Measures the number of projects that were started but not completed, offering insights into project selection and initiation processes.
  9. Formula: Direct count of canceled projects within a specified time frame.

  10. Cost Variance (CV): This metric shows the difference between what was budgeted for the project work performed and what was actually spent, indicating whether the project is over or under budget.
  11. Formula: CV = Budgeted Cost of Work Performed (BCWP) - Actual Cost of Work Performed (ACWP)

  12. Schedule Variance (SV): SV measures the difference between the planned progress and the actual progress, highlighting whether project tasks are ahead or behind schedule.
  13. Formula: SV = Budgeted Cost of Work Performed (BCWP) - Budgeted Cost of Work Scheduled (BCWS)

  14. Cost Performance Index (CPI): CPI assesses the cost efficiency and financial effectiveness of the project, showing the value of work done for every unit of expense.
  15. Formula: CPI = Budgeted Cost of Work Performed (BCWP) / Actual Cost of Work Performed (ACWP)

  16. On-time Project Milestone Completions: Evaluates the percentage of project milestones completed on or before their scheduled dates, reflecting the project's adherence to its timeline.
  17. Formula: On-time Completion Rate = (Number of On-time Milestones / Total Milestones) x 100

  18. Billable Utilization: This metric calculates the proportion of time spent on billable project activities versus total available time, indicating the efficiency of resource allocation towards revenue-generating work.
  19. Formula: Billable Utilization = (Billable Hours / Total Available Hours) x 100

KPIs for Comprehensive Analysis

These metrics offer insights into how well a company listens to its customers and the extent of its product's market reach.

  1. Customer Feedback Loop: This KPI assesses how efficiently and effectively a company gathers, analyzes, and acts upon customer feedback. It's crucial for continuous improvement, customer satisfaction, and product or service innovation. The effectiveness of the feedback loop can be measured by tracking changes in customer satisfaction scores, repeat purchase rates, or the implementation rate of feedback-driven improvements.
  2. Market Penetration Rate: This metric quantifies the degree to which a company's product or service is used in the target market compared to the total estimated market. High penetration rates indicate strong market presence and brand dominance, which are critical for long-term success and growth.
  3. Formula: Market Penetration Rate = (Number of Customers Using the Product / Total Target Market Size) x 100

By focusing on these KPIs, businesses can ensure they are not only meeting the current needs of their market but are also positioned to adapt and grow based on customer feedback and market demands.

How to use KPIs for Business Success

  1. Track Performance: KPIs allow eCommerce businesses to measure their online store's performance against set goals, helping identify areas of success and those needing improvement.
  2. Customer Insights: They provide valuable insights into customer behavior and preferences, enabling businesses to tailor their offerings and marketing strategies to meet customer needs better.
  3. Inventory Management: KPIs help in efficiently managing inventory by tracking sales trends, popular products, and stock levels, ensuring optimal stock availability without overstocking.
  4. Marketing Optimization: By analyzing KPIs related to marketing campaigns, businesses can understand which strategies are most effective, allowing for the optimization of marketing spend and efforts.
  5. Financial Health: KPIs related to revenue, profit margins, and cost of customer acquisition give a clear picture of the eCommerce business's financial health, guiding strategic financial planning and decision-making.

eCommerce KPI Examples

For an eCommerce business aiming to enhance operational efficiency and customer engagement, selecting the right KPIs is crucial. Here are two examples illustrating how specific KPIs can align with distinct business objectives:
Objective: Boosting Average Order Value by 10% To achieve this, you might focus on KPIs that encourage customers to purchase more per transaction.

Key metrics could include:

  • Upsell Success Rate: Measures the effectiveness of upselling strategies in increasing the average order value.
  • Cross-sell Conversion Rate: Tracks how often customers purchase additional, complementary items when they buy a primary product.

Objective: Elevating Customer Retention by 15% For businesses looking to improve customer loyalty and repeat purchases, relevant KPIs could be:

  • Customer Retention Rate: Indicates the percentage of customers who continue to buy over a specific period.
  • Repeat Purchase Ratio: Measures the proportion of customers who have made more than one purchase within a given timeframe.

Automating eCommerce Workflows for Efficiency and Growth

Incorporating automation tools like Appy Pie can significantly enhance the efficiency of monitoring and achieving these KPIs, enabling businesses to focus on growth and customer satisfaction.


In conclusion, understanding and leveraging the right KPIs is essential for eCommerce success. By focusing on key metrics across sales, marketing, customer service, manufacturing, and project management, businesses can gain valuable insights into their operations. Incorporating automation tools like Appy Pie Connect further streamlines this process, enabling more efficient monitoring and achievement of KPIs, ultimately driving growth and enhancing customer satisfaction.
For those looking to dive deeper into optimizing their digital tools, explore our guide on "Critical KPIs For Your App and How to Track Them." This resource offers targeted advice for app developers and marketers on identifying and tracking the most impactful metrics to ensure your app's success.

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