If you want to manage your b2b eCommerce platform effectively, there are certain metrics you need to be paying close attention to. There’s no point in monitoring metrics which have little or no impact on the long-term success of your online shop. What you need to know are the metrics which matter most and help you achieve your business goals. As a matter of fact, this article will help you to know about 5 important B2B eCommerce metrics.
In order to understand whether your marketing spend and strategy is working, there are customer metrics you need to understand.
The Average Order Value (AOV) is a measure of how much your customers typically spend on a single order from you. Once you understand this you’ll be able to monitor whether your AOV is going up or down over time, enabling you to focus your strategy accordingly.
The Customer Lifetime Value (CLV) is another key metric. This helps you view customers not through the value of a single sale, but through the amount of revenue they will produce for your company over the entire course of your relationship with them.
Finally, your Customer Retention Rate (CRR) is a key metric, since repeat customers are essential to any business.
If you understand and monitor these customer metrics you can have a clear idea where your business is failing and succeeding. This will help you develop effective strategies to improve your performance or to double down on things which are working well.
Website Visitor Actions
Looking at how many web hits you get is not going to help you understand whether you’re offering your customers what they want. You need to pay close attention to what visitors do after coming to your website. If they drop off quickly, identify whether there are problems with page load speed and usability. Are your ads directing the right people to your site and helping them to understand what you offer? How many pages do visitors view? How long do they stay on those pages? Where do they go when they leave?
In order to increase orders, observe visitor actions and try to understand what is causing them to leave without placing an order.
Cart Abandonment Rate
Are you keeping an eye on your shopping Cart Abandonment Rate? Whilst cart abandonment will happen for many reasons you can do nothing (distraction, customers researching products etc), there could be some things which are putting people off completing their order. Do you add unexpected additional fees or high shipping costs? Do you offer a guest checkout option? Is your checkout process too long?
There are many reasons your Cart Abandonment Rate could be high and this is a key metric you need to track in order to improve online sales.
You also need to monitor your bounce rate – the percentage of visitors to a particular website who leave the site after viewing only one page. Can you take steps to improve it? Is it going up or down over time?
If your website has a high bounce rate, this could indicate a variety of serious problems occurring with your user experience.
If you’re not monitoring your conversion rates you’re missing out on a key metric. You need to understand the number of people who took the action you wanted them to take (crucially sales) on your website. Your conversion rate is affected by all the other metrics on this list, so if it’s low for your particular industry, you need to dig into underlying problems in your eCommerce website structure, user experience and design.
These are 5 essential B2B metrics which you need to track in order to help you generate revenue and achieve your business goals. If you have any questions, let us know and we will help you to figure out. If you are a beginner and looking for a tool that involves some of these elements at the same time then check out Grit Global. A Magento b2b website that offers you multiple channels, flexibility in creating customizing catalogs, prices as well as Comprehensive Inventory Management Features. You will not have to worry and do tasks on your own with this genius invention. Let this be a part of your journey ahead.