3 eCommerce Stats You Need to OWN!

As an online merchant, you can access a wealth of business and customer information previously undiscovered and uncaptured in the traditional retail space. However, with new information comes new responsibility to do something with that data and use it to grow your business.

With all that info, where do you focus? Here are three vital ecommerce statistics you should track and understand to build and manage your online business.

1. Know Your Conversion Killers: Shipping Charges and Account Creation

It’s a fact: unexpected or high shipping costs and account creation are still conversion killers in 2023. According to recent research, 67% of shoppers will abandon their carts if they encounter unexpected shipping costs, and 23% of users will abandon checkout if they have to create a new account. Be open, upfront, and clear about shipping costs and display them before checkout. Account creation should be optional or made as quick and easy as possible to reduce friction.

2. Abandonment Rates

Cart abandonment is still a significant issue for online merchants. In 2023, the abandonment rate stands at 70%, according to recent studies. That accounts for almost three-fourths of all customers who add items to their carts! The main reasons for cart abandonment remain unexpected shipping costs, complicated checkout processes, and concerns about payment security. Merchants should work to streamline the checkout process, provide clear shipping information, and offer secure payment options to reduce abandonment rates.

3. Average Order Value

Tracking your average order value (AOV) remains critical in 2023. AOV helps you determine how much revenue you can generate with your existing traffic and how much you need to increase your AOV to meet your revenue goals. By keeping an eye on AOV, you can identify ways to increase revenue through add-ons, suggested products, and bundling. If you have a higher number of lower-value orders, you can work to improve the dollar amount through promotions, discounts, and other tactics.

In conclusion, online merchants must focus on these three critical ecommerce statistics to build and manage a successful online business. Understanding and optimizing these metrics can increase conversions, reduce cart abandonment rates, and generate more revenue.