Default Image

Months format

Show More Text

Load More

Related Posts Widget

Article Navigation

Contact Us Form

404

Sorry, the page you were looking for in this blog does not exist. Back Home

How To Track Your Online Shop’s Performance

     

    Tracking your online shop or eCommerce store’s performance is crucial. For one, making proper decisions and determining if your business is doing the right thing becomes possible. This all helps in making your eCommerce business more efficient and successful.

    One way to track your online shop’s performance is to look at one’s metrics. Your online shop’s metrics are quantifiable measurements that can include your sales conversion rate, customer acquisition cost, or website traffic, among others.


    Online Shop



    In this article, you’ll learn how to track your online shop’s metrics and performance. .


    👉 1. Track Your User Experience Metrics


    You should track your eCommerce user experience (UX) metrics to assess your online shop’s performance. If you don’t know what eCommerce UX is, it simply aims to offer online store visitors a consistent, smooth, and efficient shopping experience. Thus, with proper UX, it can be easier for shoppers to buy from your online shop and do so repeatedly.

    Likewise, here are some examples of UX metrics that you can try to measure:

    · Page views

    · Load time 

    · Bounce rate

    · Session length

    · Device type

    · Visitor navigation path

    · Unique visitors

    · User error rate

    · Task success rate

    · Task level satisfaction

    · Test level satisfaction

    · Time-on-task

    To improve your website's UX, you can also check its ‘core web vitals.’ These are three things Google looks at: how quickly the page responds when a user first clicks on something, how long it takes for the largest part of the page to load, and how much the page shifts around while it's loading.

    If you have a Shopify store and want to fix your core web vitals, you can seek assistance from Google core web vitals consultants to start. They’ll know how to audit your site and make necessary changes for the sake of UX.


    👉 2. Track Your Website Traffic


    Web traffic means web users who visit a site. You can track it through visits, at times called ‘sessions.’ Tracking this metric makes it easier to know your online store’s effectiveness in attracting your target audience.

    There are many reasons to track your online shop’s website traffic, such as the two below:

    → · It Helps You Know Your Site’s Engagement Level

    Monitoring web traffic through analytics is crucial to know prospects' actions through your site. This emphasizes whether they engage with your call-to-action (CTA) or if they’ve not succeeded in finding essential resources, among others.

    Understanding how prospects engage with your CTA or where they encounter difficulties in finding essential resources on your site can help you tailor your strategies to serve customers better. Therefore, investing in web analytics is crucial if you want to improve your online presence and stay ahead of the competition.

    → · It Helps You Enhance Customer Experience

    You can use the data you obtained from tracking your web traffic to improve customers’ experience while they’re visiting. This helps increase your conversion rate and determine if a specific change increases customers' duration on your online store’s website.  

    Likewise, here are some ways to measure your web traffic:

    → · Use An Analytics Tool

    There are online tools that allow you to measure web traffic. Some enable you to use a code that you can place into your site to track web traffic. This is ideal for knowing everything you need about your traffic and allows you to lay out custom reports.

    Similarly, there are paid tools that can measure a site’s engagement through web traffic and those that measure specific kinds of user behaviors.

    → · Determine The Duration Of Web Page Visits

    Knowing the duration of visits on your eCommerce page can help improve your online store’s content on its website. If you have long blog posts that visitors spend less time on, they likely don’t read the whole post. To solve this issue, knowing which pages visitors spend more time on is crucial. This can help you create content that looks similar to those pages.


    👉 3. Track Customer Lifetime Value


    One of the most crucial metrics in identifying your online store’s performance is the customer lifetime value (CLV). It involves how much money you can gain from a customer over their life. 

    To compute CLV, calculate the typical order value by dividing total revenue by how often customers buy your product. After that, try to measure customers’ purchasing frequency by dividing the number of entire orders by the number of unique customers over a specific time, such as a year. 

    Then, determine the customers’ value by multiplying their average order value by purchase frequency. Lastly, multiply the typical customers’ lifespan by their value to know the CLV.

    The CLV formula may vary depending on the business model, industry, and other factors. Ultimately, you should measure CLV, as it’s often treated as an afterthought compared to other metrics.


    👉 4. Track Your Customer Acquisition Cost


    Customer acquisition cost (CAC) is the amount your eCommerce business spends to obtain a new customer. Calculating CAC isn’t just about marketing and advertising costs. It also includes the following expenses that help obtain and retain customers:

    · Labor cost

    · Product cost 

    · Shipping cost 

    · Inventory upkeep

    · Technical cost

    · Publishing cost

    Suppose you want to measure your total cost per acquisition. In that case, you can add all expenses spent on obtaining new customers across a specific time and divide them by how many customers you’ve acquired over that time.


    Customer acquisition cost


    Likewise, if you want to reduce CAC, there are some steps to take like the following:

    · Retain your customers

    · Shorten your sales cycle

    · Improve your site’s accessibility for better conversions

    · Keep adjusting your customer acquisition strategy

    · Find more affordable business niches

    Eventually, identifying your CAC is crucial because these expenses can determine the success of your online store’s business. Knowing these costs is ideal to improve your operations for a higher return on investment.


    Final Thoughts


    Tracking your online shop’s performance is crucial for several reasons. It helps you know if your eCommerce business is on the right track or if you need to conduct adjustments to address issues.

    One way to track your online shop’s performance is to measure it against a set of metrics. There are various metrics that you can consider, and some of them are UX metrics, website traffic, CLV, and CAC.


    No comments:

    Post a Comment