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...
One way to tell if your Shopify store sales are sustainable is to look at your Repeat Sales Percentage. It measures how much of your total sales are coming from repeat customers. 10% means only 10% of your sales are from repeat customers, 75% means three-quarters. All of your store's...
We've had a bit of nice weather here for the past four days. Sunny days, temps in the 70s, and general all-around nice feeling days. During that time I managed to squeeze in some caulking around the exterior of the house. It was a project I've been needing to do...
Finding your best customers and keeping them is a simple, yet powerful retention strategy. A really useful outcome of using RFM analysis is that it can tell you exactly who they are. With a 1 to 5 scoring model, like what my Shopify app uses, customers scored with 555 are...
As I'm writing this (Thursday 14th), I got an email from a US-only store to remind me to change my clocks for daylight savings. The daylight savings that happened last Sunday in the US. So either someone screwed up the timing of the email (should have been last week), screwed...
You can use your Average Order Value to check for acquisition performance. Say customers acquired via your Shopify Online Store have an AOV of $100, Facebook Ads $95, and Amazon $75. That makes it really easy to compare the channels e.g. compare their costs vs value. If you also measure...
I recently finished a 500 page book and felt very meh about it. It wasn't bad book. It was rather entertaining at times, but the reason I read it was to learn about business and marketing. Of those it only had a couple of good ideas. Ones could have easily...
If your resources are limited, there are two types of customers you should be targeting with your marketing and advertising: Customers who are most likely to come back and buy again Customers who spent the most per-order The first one is part of customer segmenting and customer loyalty. The second...
Stores use their Average Lifetime Value to figure out how much each customer is "worth" to them. Ignoring all the variety of ways it's calculated, it can still lead you a bit astray. The problem with Lifetime Value calculations is that they require a customer's full lifetime to be accurate....
An often missed metric for Shopify stores is the Average Orders per Customer. It's a simple to understand metric: about how many orders does a customer place over their lifetime? If you have an Average Orders per Customer of one, that means none of your customers buy a second time....
Each tip includes a way to improve your store: customer analysis, analytics, customer acquisition, CRO... plus plenty of puns and amazing alliterations.