Co-Authored by Holistic Email Marketing’s Kath Pay
“Always trust your gauges.”
Aviation pilots in training have these words of wisdom hammered into them. Pilots also use visual reference, but only as a supplement to what their gauges indicate, and when visuals become undependable, external tools become that much more important.
Metrics are the business equivalent, used instead by managers as success gauges for every aspect of their company. There are financial metrics like revenue, income, EBITDA, and other metrics specialized to each industry. And of course, there are plenty of qualitative data that managers use to evaluate employee performance.
Each industry has its own metrics—for example, Software as a Service companies track things like monthly recurring revenue, churn, free trial signups, and activation rates.
eCommerce companies, however, have a much different set of metrics to live and die by. But what are they? What are the gauges they live and die on? We’ll be covering what we feel are the most important metrics for eCommerce companies.
Here’s what it includes:
- The 10 most critical metrics for eCommerce businesses
- The basic definition of each metric, with backgrounds on how they work
- Why each matter and why you should be tracking them