Ecommerce website KPIs
Key performance indicators are parameters used to measure the performance of a portfolio. Owners of websites, webmasters, and marketing managers use KPIs to determine the success of a site and where to fine tune to bring in more revenues. Other business models have KPIs that are slightly different e-commerce ones. KPIs are a critical part of any business and a website uses such to improve performance.
Therefore, on a regular basis, a brand must measure these indicators and make recommendations on how to improve using real data. Many are the managers who make critical business determinations out of their gut feeling. KPIs will help you do some changes, which will improve statistics like bounce rate and the general business performance.
Google analytics, for instance, is an important tool that will help track your e-commerce website. When making decisions on optimization or conversion rate, this is one of the tools that will help you. Website performance indicators provide you with relevant data and unique, relevant data that scale up your business to better user experience and higher revenues.
When deciding the KPIs to track, there are primary factors that you should consider; your business goals, your company’s growth stage, and your departments’ goals. You must also choose actionable and attainable KPIs.
- Website traffic
This is a Key indicator that an e-commerce site manager or owner would want to watch closely. It is obvious that the more traffic you get o your site, the higher the chances of converting such too valuable customers. More traffic may not necessarily mean more purchases but the arithmetic tells it all- at a 5% conversion rate, 1000 visitors would mean different things compared to 1,000,000 visitors in another site. In as much as it leads to more purchases, traffic helps in creating brand awareness and this is what counts for longevity. Here you need to monitor the spikes and the dips of traffic on your site. Get to know who sends you the most traffic, could be Google or a friend’s blog- this will help you in better understanding your customer.
- Referral traffic
This parameter will help you identify the sources that are sending more visitors to your site. With this information, you’ll know where to focus more on your marketing and sales strategies. If the traffic is low, then it could mean you reconsider some strategies and probably some of your link building campaigns do not work for your case.
- Conversion rate
This is the most important KPI, in that it measures the rate at which your site visitors are turning into customers. If the rate is high, then it means you give a punch to the strategies you are applying. On the other hand, if the conversion rate were low, it would mean you change tactic. Get to know the specific visitors who bought from you. This will help you refocus and concentrate more energy toward them.
Numerous Key performance indicators could be used to monitor your website performance. The kind of business you do will determine the KPIs that will work best for you. Consider engaging in a professional that offers reliable web design services to help you achieve your desired objectives and goals.