{"id":25338,"date":"2023-04-23T11:57:39","date_gmt":"2023-04-23T06:27:39","guid":{"rendered":"https:\/\/www.instamojo.com\/blog\/?p=25338"},"modified":"2023-04-24T06:25:50","modified_gmt":"2023-04-24T00:55:50","slug":"ecommerce-kpis-across-business-stages","status":"publish","type":"post","link":"https:\/\/www.instamojo.com\/blog\/ecommerce-kpis-across-business-stages\/","title":{"rendered":"Top eCommerce KPIs across different business stages"},"content":{"rendered":"<p>As an eCommerce D2C brand, one of your aims will be to attract new customers. To do this, you&#8217;ll want to get data about your customers so that you can make good decisions about how to market to them in the future.<\/p>\n<p>The first step is finding the right key performance indicators (or KPIs) for your business.<\/p>\n<p>At the D2CTech conference, Ankur Sharma, CPO and cofounder of Instamojo held a masterclass where he discussed the most important KPIs businesses at different stages should prioritize. Here\u2019s a highlight from this session:<\/p>\n<div class=\"cs-embed cs-embed-responsive\"><iframe loading=\"lazy\" title=\"Workshop with Ankur Sharma, CPO &amp; Co-founder, Instamojo\" width=\"1200\" height=\"675\" src=\"https:\/\/www.youtube.com\/embed\/dMEhRj5yGyc?feature=oembed\" frameborder=\"0\" allow=\"accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share\" allowfullscreen><\/iframe><\/div>\n<p>In this article, we&#8217;ll look at the most important eCommerce KPI&#8217;s that brands at different stages of business growth should be tracking based on the masterclass.<\/p>\n<h2 dir=\"ltr\"><strong>What are eCommerce KPIs?<\/strong><\/h2>\n<p dir=\"ltr\">Key Performance Indicators (KPIs) are metrics used to measure and track the success of an online business. eCommerce KPIs typically focus on the online store or website.<\/p>\n<p dir=\"ltr\">These are the main reasons why KPIs are important for your business and should be tracked on a regular basis:<\/p>\n<ul>\n<li dir=\"ltr\" aria-level=\"1\">\n<p dir=\"ltr\" role=\"presentation\">Know how well your business is doing<\/p>\n<\/li>\n<li dir=\"ltr\" aria-level=\"1\">\n<p dir=\"ltr\" role=\"presentation\">Do a solid profit-loss evaluation and know if business goals are being met<\/p>\n<\/li>\n<li dir=\"ltr\" aria-level=\"1\">\n<p dir=\"ltr\" role=\"presentation\">Understand which marketing activities drive higher ROI<\/p>\n<\/li>\n<li dir=\"ltr\" aria-level=\"1\">\n<p dir=\"ltr\" role=\"presentation\">Evaluate what is working for your business and what is not<\/p>\n<\/li>\n<\/ul>\n<p dir=\"ltr\">Measuring KPIs will give your business a reality check from time to time and will help you take the right action for your business.<\/p>\n<h2 dir=\"ltr\"><strong>Which KPIs should you prioritize for your business?<\/strong><\/h2>\n<p dir=\"ltr\">Choosing KPIs can be daunting and overwhelming. When you do a quick Google search, you\u2019ll find huge lists of metrics to track for your eCommerce business. The truth is that each business is unique. So the KPIs they should be tracking will also be unique.<\/p>\n<blockquote>\n<p dir=\"ltr\">\u201cIf you track too many metrics, you run into the risk of not tracking anything properly. That\u2019s why you should have a few handy metrics for your eCommerce business which can be considered the \u2018Bible KPIs\u2019.\u00a0 It\u2019s important to choose KPIs wisely. Too many KPIs can lead to an overdose of data and is hard to grasp.\u201d &#8211; Ankur Sharma, CPO and cofounder of Instamojo<\/p>\n<\/blockquote>\n<p dir=\"ltr\">Choose KPIs that matter according to these factors:<\/p>\n<ul>\n<li dir=\"ltr\" aria-level=\"1\">\n<p dir=\"ltr\" role=\"presentation\">Business goals<\/p>\n<\/li>\n<li dir=\"ltr\" aria-level=\"1\">\n<p dir=\"ltr\" role=\"presentation\">Growth stage of your business<\/p>\n<\/li>\n<li dir=\"ltr\" aria-level=\"1\">\n<p dir=\"ltr\" role=\"presentation\">Your niche<\/p>\n<\/li>\n<li dir=\"ltr\" aria-level=\"1\">\n<p dir=\"ltr\" role=\"presentation\">The complexity of the KPIs<\/p>\n<\/li>\n<\/ul>\n<h2 dir=\"ltr\"><strong>Top D2C eCommerce KPIs for each business stage<\/strong><\/h2>\n<p dir=\"ltr\">Here is a detailed breakdown of KPIs to measure and analyze based on different business stages. You\u2019ll also get some expert tips on how to improve business performance based on these KPIs.<\/p>\n<h3 dir=\"ltr\"><strong>KPIs for early business stages<\/strong><\/h3>\n<p dir=\"ltr\">Early stage businesses have just gotten off the ground and are figuring out how to gather more market share. You will also be testing of your products are well-accepted and how they fit the market. These businesses are characterized by less than 1 lakh sales per month (approximately).<\/p>\n<p dir=\"ltr\">The KPIs that matter the most for early-stage businesses are social media followers and website traffic.<\/p>\n<h4 dir=\"ltr\"><strong>Social media followers<\/strong><\/h4>\n<p dir=\"ltr\">When starting out, businesses must focus on building an active and engaging <a href=\"https:\/\/www.instamojo.com\/blog\/how-to-effectively-use-social-media-to-launch-your-business-successfully\/\" target=\"_blank\" rel=\"noopener\">social media profile<\/a>. Tracking social media followers on the platforms that matter to your business indicates how many people (in your <a href=\"https:\/\/www.instamojo.com\/blog\/define-target-audience-ecommerce\/\">target market<\/a>) know about your new business. Social media is a great way to keep potential customers engaged.<\/p>\n<blockquote>\n<p dir=\"ltr\">Related read:<a href=\"https:\/\/www.instamojo.com\/blog\/instagram-content-ideas-for-small-business\/\" target=\"_blank\" rel=\"noopener\"> Instagarm content ideas for your business<\/a><\/p>\n<\/blockquote>\n<p dir=\"ltr\"><strong>Tips:\u00a0<\/strong><\/p>\n<ul>\n<li dir=\"ltr\" aria-level=\"1\">\n<p dir=\"ltr\" role=\"presentation\">Use hashtags to reach the right audience<\/p>\n<\/li>\n<li dir=\"ltr\" aria-level=\"1\">\n<p dir=\"ltr\" role=\"presentation\">Host giveaways or other contests<\/p>\n<\/li>\n<li dir=\"ltr\" aria-level=\"1\">\n<p dir=\"ltr\" role=\"presentation\"><a href=\"https:\/\/www.instamojo.com\/blog\/influencer-marketing-guide\/\" target=\"_blank\" rel=\"noopener\">Influencer marketin<\/a>g: Collaborate with the right influencers<\/p>\n<\/li>\n<\/ul>\n<h4 dir=\"ltr\"><strong>Tools to use:<\/strong><\/h4>\n<ul>\n<li dir=\"ltr\" aria-level=\"1\">\n<p dir=\"ltr\" role=\"presentation\">Instagram analytics: The Instagram app has many in-built features that shows details about your audience like demographics and location.<\/p>\n<\/li>\n<li dir=\"ltr\" aria-level=\"1\">\n<p dir=\"ltr\" role=\"presentation\">Social media analytics tools liek Buffer and Sprout Social<\/p>\n<\/li>\n<\/ul>\n<h4 dir=\"ltr\"><strong>Website traffic<\/strong><\/h4>\n<p dir=\"ltr\">Initially, it\u2019s very important to track how many people are landing on your website. This is the first key metric for the success of an online business. With traffic comes conversions, which means more leads, sales, and revenue.<\/p>\n<p dir=\"ltr\"><strong>Tip to improve website traffic:<\/strong><\/p>\n<p dir=\"ltr\">Use an offline method of promoting your business like\u00a0 using a QR code on your business<\/p>\n<p dir=\"ltr\">Image<\/p>\n<h4 dir=\"ltr\"><strong>Tools to use<\/strong><\/h4>\n<p dir=\"ltr\">Google Analytics is a free tool to track your eCommerce website metrics. Once you have it set up, you can easily monitor and compare your website traffic over time.<\/p>\n<h3 dir=\"ltr\"><strong>KPIs for mid-size businesses<\/strong><\/h3>\n<p dir=\"ltr\">After a few years (or months), businesses get more revenue per month (typically 1-10 lakh per month) and are in the mid-stage.<\/p>\n<p dir=\"ltr\">The top eCommerce KPIs to track at this stage are repeat purchases and conversion rates.<\/p>\n<h4 dir=\"ltr\"><strong>Repeat purchases<\/strong><\/h4>\n<p dir=\"ltr\"><a href=\"https:\/\/www.instamojo.com\/blog\/how-to-increase-repeat-customers-5-proven-ways-for-customer-retention\/\" target=\"_blank\" rel=\"noopener\">Repeat purchases<\/a> is how often customers come back and buy from your website. Also known as customer retention, this KPI shows the level of trust your customers have in your brand. This is a key to the long-term growth of your business because acquiring new customers is much more expensive than bringing in repeat sales.<\/p>\n<h4 dir=\"ltr\"><strong>Tools to use:<\/strong><\/h4>\n<p dir=\"ltr\">A Customer Management tool (CRM) will allow you to get an overview of the number of times a customer hs made a purchase from your store. Some popular CRM tools include Salesforce and Hubspot.<\/p>\n<p dir=\"ltr\">If you have an online store on Instamojo, you get CRM features on your dashboard and easily track repeat purchases.<\/p>\n<p dir=\"ltr\"><a class=\"mb-button mb-style- mb-size-default mb-corners-default mb-text-style-default \" style=\"background-color: #2bc470;\" href=\"https:\/\/www.instamojo.com\/online-store\/?utm_source=imblog&amp;utm_medium=interlink&amp;utm_campaign=online_store\">Start your online store<\/a><\/p>\n<p dir=\"ltr\"><strong>Tip to get more repeat purchases:<\/strong><\/p>\n<ul>\n<li dir=\"ltr\" aria-level=\"1\">\n<p dir=\"ltr\" role=\"presentation\">Offer special <a href=\"https:\/\/www.instamojo.com\/blog\/how-to-use-discount-pricing-strategies-to-make-more-sales\/\">discount<\/a>s<\/p>\n<\/li>\n<li dir=\"ltr\" aria-level=\"1\">\n<p dir=\"ltr\" role=\"presentation\">Incentivize repeat purchases with loyalty programs<\/p>\n<\/li>\n<\/ul>\n<h4 dir=\"ltr\"><strong>Conversion rates<\/strong><\/h4>\n<p dir=\"ltr\">One website traffic starts coming in, mid-stage businesses should focus more on increasing conversion rates. This is basically the number of people who make a purchase after browsing your store. The industry standard for website conversion rates is 1-3%.<\/p>\n<p dir=\"ltr\"><strong>Tips to improve conversion rate:<\/strong><\/p>\n<ul>\n<li dir=\"ltr\" aria-level=\"1\">\n<p dir=\"ltr\" role=\"presentation\">Add a chat widget to your eCommerce website to answer customer queries<\/p>\n<\/li>\n<li dir=\"ltr\" aria-level=\"1\">\n<p dir=\"ltr\" role=\"presentation\">Offer checkout discounts<\/p>\n<\/li>\n<li dir=\"ltr\" aria-level=\"1\">\n<p dir=\"ltr\" role=\"presentation\">Take steps to<a href=\"https:\/\/www.instamojo.com\/blog\/cart-abandonment-meaning-strategies\/\"> recover abandoned carts<\/a><\/p>\n<\/li>\n<\/ul>\n<h2 dir=\"ltr\"><strong>KPIs for large-size businesses<\/strong><\/h2>\n<p dir=\"ltr\">Large-size businesses are characterized by revenue of 10 lakh+ sales per month. At this stage, the previous KPIs continue to matter.<\/p>\n<p dir=\"ltr\">The top KPIs large-size businesses should consider are the technical performance of, Customer acquisition cost (CAC) and Customer Lifetime Value (CLTV)<\/p>\n<h3 dir=\"ltr\"><strong>Customer Acquisition Cost<\/strong><\/h3>\n<p dir=\"ltr\">As the business grows, you spend more on marketing, branding, hiring employees and other aspects. So, it\u2019s crucial to know how much it costs to acquire new customers to ensure profitability. Customer acquisition cost (CAC) includes all marketing and sales expenses such as advertising, promotional materials, sales commissions, and any other expenses that are directly related to acquiring new customers.<\/p>\n<h4 dir=\"ltr\"><strong>Tools to use:<\/strong><\/h4>\n<p dir=\"ltr\">A tool like Lifetimely can help you easily calculate the expenses and profit of your online business. You can also use Facebook or Google ad reports to understand Returns on ad spends (ROAS).<\/p>\n<p dir=\"ltr\"><strong>Tips to improve CAC:<\/strong><\/p>\n<ul>\n<li dir=\"ltr\" aria-level=\"1\">\n<p dir=\"ltr\" role=\"presentation\">Optimize ads by cutting down low LTV campaigns<\/p>\n<\/li>\n<li dir=\"ltr\" aria-level=\"1\">\n<p dir=\"ltr\" role=\"presentation\">Prioritize remarketing to improve lifetime value<\/p>\n<\/li>\n<\/ul>\n<h3 dir=\"ltr\"><strong>Technical performance of website<\/strong><\/h3>\n<p dir=\"ltr\">The technical performance of a website refers to how efficiently it functions, including its speed, page load times, uptime, and security. It is crucial for good user experience, search engine optimization, and website usability.<\/p>\n<p dir=\"ltr\"><strong>Tips to improve:<\/strong><\/p>\n<ul>\n<li dir=\"ltr\" aria-level=\"1\">\n<p dir=\"ltr\" role=\"presentation\">Use SEO to improve website performance and ranking<\/p>\n<\/li>\n<li dir=\"ltr\" aria-level=\"1\">\n<p dir=\"ltr\" role=\"presentation\">Keep the website crisp, light-weight, and mobile-first<\/p>\n<\/li>\n<li dir=\"ltr\" aria-level=\"1\">\n<p dir=\"ltr\" role=\"presentation\">Periodically check site load times<\/p>\n<\/li>\n<\/ul>\n<h4 dir=\"ltr\"><strong>Tools to use:<\/strong><\/h4>\n<p dir=\"ltr\">Google Lighthouse is an\u00a0 open-source tool that helps developers audit websites fand improve its performance and quality.<\/p>\n<p dir=\"ltr\">You can also use a tool liek SEMrush to get an in-depth view of on-page SEO and plan SEO-focused content.<\/p>\n<h2 dir=\"ltr\"><strong>Drive long-term growth by tracking the right eCommerce KPIs<\/strong><\/h2>\n<p dir=\"ltr\">Tracking the right eCommerce Key Performance Indicators (KPIs) is essential for driving long-term growth. By monitoring the right metrics, businesses can make data-driven decisions that lead to better performance, increased revenue, and sustained success.<\/p>\n<p dir=\"ltr\">Instamojo offers a one-stop destination where businesses can access a range of D2C eCommerce solutions, including an online store, payment gateway, and landing page builder. Get started for free today!<\/p>\n<hr \/>\n<p style=\"text-align: center;\"><a class=\"mb-button mb-style- mb-size-default mb-corners-default mb-text-style-default \" style=\"background-color: #2bc470;\" href=\"https:\/\/www.instamojo.com\/\">Start an online store<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"As an eCommerce D2C brand, one of your aims will be to attract new customers. To do this,&hellip;\n","protected":false},"author":60,"featured_media":25342,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[398],"tags":[6062,4819],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v17.8 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Top KPIs for eCommerce Brands Across Different Stages - Blog Instamojo<\/title>\n<meta name=\"description\" content=\"This blog delves into the essential eCommerce KPIs to measure success for businesses at different stages of business growth.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.instamojo.com\/blog\/ecommerce-kpis-across-business-stages\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Top KPIs for eCommerce Brands Across Different Stages - Blog Instamojo\" \/>\n<meta property=\"og:description\" content=\"This blog delves into the essential eCommerce KPIs to measure success for businesses at different stages of business growth.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.instamojo.com\/blog\/ecommerce-kpis-across-business-stages\/\" \/>\n<meta property=\"og:site_name\" content=\"Blog Instamojo\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/Instamojo\" \/>\n<meta property=\"article:published_time\" content=\"2023-04-23T06:27:39+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2023-04-24T00:55:50+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.instamojo.com\/blog\/wp-content\/uploads\/2023\/04\/kpi.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"800\" \/>\n\t<meta property=\"og:image:height\" content=\"500\" \/>\n<meta name=\"twitter:card\" content=\"summary\" \/>\n<meta name=\"twitter:creator\" content=\"@instamojo\" \/>\n<meta name=\"twitter:site\" content=\"@instamojo\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Hibathu Naseer\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"6 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Organization\",\"@id\":\"https:\/\/www.instamojo.com\/blog\/#organization\",\"name\":\"Instamojo\",\"url\":\"https:\/\/www.instamojo.com\/blog\/\",\"sameAs\":[\"https:\/\/www.facebook.com\/Instamojo\",\"https:\/\/www.instagram.com\/instamojo_india\/\",\"https:\/\/www.linkedin.com\/company\/instamojo\/\",\"https:\/\/www.youtube.com\/user\/instamojo\",\"https:\/\/in.pinterest.com\/instamojo\/\",\"https:\/\/twitter.com\/instamojo\"],\"logo\":{\"@type\":\"ImageObject\",\"@id\":\"https:\/\/www.instamojo.com\/blog\/#logo\",\"inLanguage\":\"en-US\",\"url\":\"https:\/\/www.instamojo.com\/blog\/wp-content\/uploads\/2020\/10\/Instamojo-logo.png\",\"contentUrl\":\"https:\/\/www.instamojo.com\/blog\/wp-content\/uploads\/2020\/10\/Instamojo-logo.png\",\"width\":400,\"height\":92,\"caption\":\"Instamojo\"},\"image\":{\"@id\":\"https:\/\/www.instamojo.com\/blog\/#logo\"}},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/www.instamojo.com\/blog\/#website\",\"url\":\"https:\/\/www.instamojo.com\/blog\/\",\"name\":\"Blog Instamojo\",\"description\":\"eCommerce business growth blog\",\"publisher\":{\"@id\":\"https:\/\/www.instamojo.com\/blog\/#organization\"},\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/www.instamojo.com\/blog\/?s={search_term_string}\"},\"query-input\":\"required name=search_term_string\"}],\"inLanguage\":\"en-US\"},{\"@type\":\"ImageObject\",\"@id\":\"https:\/\/www.instamojo.com\/blog\/ecommerce-kpis-across-business-stages\/#primaryimage\",\"inLanguage\":\"en-US\",\"url\":\"https:\/\/www.instamojo.com\/blog\/wp-content\/uploads\/2023\/04\/kpi.jpg\",\"contentUrl\":\"https:\/\/www.instamojo.com\/blog\/wp-content\/uploads\/2023\/04\/kpi.jpg\",\"width\":800,\"height\":500,\"caption\":\"kpi for ecommerce\"},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.instamojo.com\/blog\/ecommerce-kpis-across-business-stages\/#webpage\",\"url\":\"https:\/\/www.instamojo.com\/blog\/ecommerce-kpis-across-business-stages\/\",\"name\":\"Top KPIs for eCommerce Brands Across Different Stages - 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