Top KPIs & Metrics for eCommerce | How to Evaluate Your Company Performance

I teach you how to measure the most important metrics & KPIs for eCommerce. Free template included.

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We learn about how to measure the most important performance metrics for ecommerce. These include things like unit economics, LTV: CAC ratio, contribution margins, and overall profit margins.

A healthy business is growing, has strong recurring revenue, profitable contribution margins relative to CAC, and generates cash flow. We do a case study to analyze the health of a Shopify store.

0:13 goals for evaluating eComm performance
0:48 income statement analysis (sales, contribution margins, marketing, operating profits)
6:55 ecommerce unit economics breakdown (per order)
9:26 sponsor: sell your e-commerce business instantly with OpenStore
10:52 unit economics for top selling products
12:48 how to calculate customer acquisition cost (CAC)
16:31 using customer cohorts to understand customer retention
20:54 customer lifetime value and LTV: CAC ratio for eComm

By the end of this video you will understand the most important KPIs for evaluating eCommerce businesses.

#ecommerceKPIs #uniteconomics #contributionmargin

*Disclaimer: this video is sponsored by OpenStore (

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Eric Andrews

Curious – are you seeing stronger or weaker customer demand right now vs. 6 months ago?