Applying Metrics to an Ecommerce Platform Design

 

Lots of waves can be made about the next big idea, how online traffic is going viral, and how everyone is flocking to the latest idea. Eventually, however, performance comes down to quantifiable measurements. Did the venture actually produce any real results or was it all smoke and mirrors? Metrics differentiate real successes in online business versus those promising the stars but delivering dust.

Marketing is notoriously fluid and ambiguous, something that didn’t change that much in concept from the pre-Internet days. It’s a bit like a certain baseball-themed movie; make things happen with these tools or presence and “they” the customers will come. However, the Internet did provide one key additional element that was present before. It gives firms and companies the ability to actually track 24/7 people’s activity online. Whether through cookies or other tools, quantifiable metrics are possible. It started with web page visitor trackers, but the ability to measure real behavior expanded far beyond those cute little counters at the bottom of a website.

Today’s ecommerce technology performance is measured through multiple metrics, built on key data counts as well as results. Ultimately, one metric alone doesn’t tell a story, which is one of the reasons why Rokt firmly believes in a holistic approach to ecommerce design. It should be an approach that utilizes multiple metrics, tracking different points of digital customer contact ranging from initial engagement to completion of each call to action until a sale is fully executed.

Very effective metrics applied by different Rokt designs include:

• Average transaction value or ATV – 

A trend-smooth approach that removes the glitter of outliers and focuses on the overall performance of an eCommerce campaign across an extended period of time.

• Value per transaction or VPT – 

This particular metric combines primary sales performance as well as the value of return customers and average order size in terms of value. The three elements help create an overall product performance or marketing performance for that product online. In short, it’s a very objective measurement of how well a given channel is working, or not, including repeated demand from key customers.

• Geospatial performance – 

Not all sales come from one location. The fact is, there is a lot of data hidden in sales numbers associated with where customers are and why they buy versus other customers. Understanding these aspects can help fine tune ecommerce sites, especially those that are responsive to a given customer based on seasonal timing, past buying practice, and geographical differences. Rokt helps provide a comprehensive means to take advantage of this metric proactively.

The powerful use of ecommerce technology metrics doesn’t come in just producing them alone. The translation of what they mean for decision-making going forward helps set one ecommerce player apart from another. It’s the fundamental reason why brands that partner with Rokt regularly realize notable advantages versus other choices online. By optimizing how to make offers and when to do so based on real-time customer performance metrics, businesses are able to utilize Rokt's tools a bit like a crystal ball, they can see future potentials and take advantage of them before the competition.

Digital Marketing E-Commerce Marketing Technology