{"id":5977,"date":"2015-04-13T18:20:37","date_gmt":"2015-04-13T12:50:37","guid":{"rendered":"http:\/\/ivyproschool.com\/blog\/?p=5977"},"modified":"2025-04-01T16:12:35","modified_gmt":"2025-04-01T10:42:35","slug":"top-5-terms-in-ecommerce-analytics","status":"publish","type":"post","link":"https:\/\/ivyproschool.com\/blog\/top-5-terms-in-ecommerce-analytics\/","title":{"rendered":"Top 5 terms in Ecommerce Analytics"},"content":{"rendered":"<ol>\n<li><strong>Users \/ Visitors<\/strong><\/li>\n<\/ol>\n<p><a href=\"https:\/\/ivyproschool.com\/blog\/top-5-terms-in-ecommerce-analytics\/\"><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter size-full wp-image-5972\" src=\"https:\/\/ivyproschool.com\/blog\/wp-content\/uploads\/2015\/04\/Ecommerce-6.png\" alt=\"Ecommerce 6\" width=\"694\" height=\"350\" srcset=\"https:\/\/ivyproschool.com\/blog\/wp-content\/uploads\/2015\/04\/Ecommerce-6.png 694w, https:\/\/ivyproschool.com\/blog\/wp-content\/uploads\/2015\/04\/Ecommerce-6-300x151.png 300w\" sizes=\"auto, (max-width: 694px) 100vw, 694px\" \/><\/a><\/p>\n<p><strong>Definition: <\/strong>the number of people\u00a0who visited the website within a given time. Also known as \u2018unique visitors\u2019, it\u00a0refers to the number of <em>first time visits<\/em> <em>only<\/em>.<\/p>\n<p><strong>\u00a0<\/strong><strong>Calculation: <\/strong>Visitors are identified by Cookies and a unique ID\u00a0assigned. Alternatively, IP addresses are also used.<\/p>\n<p>The number of visitors is calculated for a day, week, month or stated time.<\/p>\n<p><strong>Desired Goals<\/strong>: Higher the unique visitors, the better.<\/p>\n<p><strong>Why are unique visitors measured?<\/strong><\/p>\n<p>This is used to check the audience, and understand the website\u2019s influence or reach.<\/p>\n<p>There are two calculations, depending upon the report being generated<\/p>\n<ul>\n<li>The pre-calculated data method &#8211; used in reports with a single dimension of time frame, like Date, or Week in a particular year.<\/li>\n<li>Data calculated on the fly method \u2013 used in custom reports over any dimension, like city, or browser.\u00a0It is applied for computation of large data sets, with reference data in raw session tables.<\/li>\n<\/ul>\n<ol start=\"2\">\n<li><strong>Sessions (visits)<\/strong><\/li>\n<\/ol>\n<p><a href=\"https:\/\/ivyproschool.com\/blog\/wp-content\/uploads\/2015\/04\/Ecommerce-7.png\"><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter size-full wp-image-5973\" src=\"https:\/\/ivyproschool.com\/blog\/wp-content\/uploads\/2015\/04\/Ecommerce-7.png\" alt=\"Ecommerce 7\" width=\"595\" height=\"306\" srcset=\"https:\/\/ivyproschool.com\/blog\/wp-content\/uploads\/2015\/04\/Ecommerce-7.png 595w, https:\/\/ivyproschool.com\/blog\/wp-content\/uploads\/2015\/04\/Ecommerce-7-300x154.png 300w\" sizes=\"auto, (max-width: 595px) 100vw, 595px\" \/><\/a><\/p>\n<p><strong>Definition: <\/strong>The length of time that a <em>User<\/em> spends on each visit to the website, for a given date or length of time.<\/p>\n<p><strong>Calculation:<\/strong>\u00a0length of time in seconds<\/p>\n<p><strong>Desired Goals<\/strong>: longer the sessions, better the ability to engage the visitor for purchases (<em>transactions<\/em>) and repeat <em>visits<\/em><\/p>\n<p><strong>Significance of Sessions<\/strong><\/p>\n<p>Average Session Duration and Percentage of new Sessions are yardsticks to\u00a0understand the interest of <em>visitors<\/em> and how to engage their interest.<\/p>\n<p><em>Average Session Duration =<\/em><\/p>\n<p><a href=\"https:\/\/ivyproschool.com\/blog\/wp-content\/uploads\/2015\/04\/Ecommerce-8.png\"><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter size-full wp-image-5974\" src=\"https:\/\/ivyproschool.com\/blog\/wp-content\/uploads\/2015\/04\/Ecommerce-8.png\" alt=\"Ecommerce 8\" width=\"637\" height=\"83\" srcset=\"https:\/\/ivyproschool.com\/blog\/wp-content\/uploads\/2015\/04\/Ecommerce-8.png 637w, https:\/\/ivyproschool.com\/blog\/wp-content\/uploads\/2015\/04\/Ecommerce-8-300x39.png 300w\" sizes=\"auto, (max-width: 637px) 100vw, 637px\" \/><\/a><\/p>\n<p><em>Percentage of new Sessions<\/em> &#8211; The percentage of new sessions or visits indicates how many visitors to the site are first-time <em>visitors<\/em><strong>. <\/strong><\/p>\n<ol start=\"3\">\n<li><strong>Channel<\/strong><\/li>\n<\/ol>\n<p><a href=\"https:\/\/ivyproschool.com\/blog\/wp-content\/uploads\/2015\/04\/Ecommerce-5.png\"><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter size-full wp-image-5967\" src=\"https:\/\/ivyproschool.com\/blog\/wp-content\/uploads\/2015\/04\/Ecommerce-5.png\" alt=\"Ecommerce 5\" width=\"573\" height=\"355\" srcset=\"https:\/\/ivyproschool.com\/blog\/wp-content\/uploads\/2015\/04\/Ecommerce-5.png 573w, https:\/\/ivyproschool.com\/blog\/wp-content\/uploads\/2015\/04\/Ecommerce-5-300x186.png 300w\" sizes=\"auto, (max-width: 573px) 100vw, 573px\" \/><\/a><\/p>\n<p><strong>Definition: <\/strong>The traffic source or origin of the <em>visitors<\/em> &#8211; direct links, email, PPC, search<\/p>\n<p><strong>Significance<\/strong><\/p>\n<ul>\n<li>help find important channels for revenue \/ acquisition<\/li>\n<li>to find opportunities for incentives like loyalty programs or cashback<strong>\u00a0<\/strong><\/li>\n<\/ul>\n<ol start=\"4\">\n<li><strong>Transactions<\/strong><\/li>\n<\/ol>\n<p><a href=\"https:\/\/ivyproschool.com\/blog\/wp-content\/uploads\/2015\/04\/Ecommerce-9.png\"><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter size-full wp-image-5975\" src=\"https:\/\/ivyproschool.com\/blog\/wp-content\/uploads\/2015\/04\/Ecommerce-9.png\" alt=\"Ecommerce 9\" width=\"294\" height=\"209\" \/><\/a><\/p>\n<p><strong>Definition: <\/strong>Number of closed deals or orders placed and confirmed (after passing through the payment gateway). Where a purchase order is abandoned in the shopping cart, basket or booking points, it is not a transaction, but an <em>abandonment<\/em>.<\/p>\n<p><strong>Calculation: <\/strong>Each order placed by a visitor \/ customer is a transaction, allotted a unique Order ID.<\/p>\n<p><strong>\u00a05. \u00a0<\/strong><strong>Churn<\/strong><\/p>\n<p><strong>Definition<\/strong>: measures <em>customers<\/em> who do not return to the site. For example, a churn rate of 60% means 60 out of every 100 customers do not return to buy<\/p>\n<p>Here, <strong><em>customers<\/em><\/strong> refer to <em>visitors<\/em> who have actually made a purchase.<\/p>\n<p><strong>Calculation:<\/strong> calculated as a percentage of customers lost, or percentage of recurring sales lost<\/p>\n<p>Eg. Number of customers lost last quarter \/starting customers last quarter<\/p>\n<p><strong>Desired Goals<\/strong>: lower the churn rate, the better.<\/p>\n<p><strong>Significance of Churn rate<\/strong><\/p>\n<ul>\n<li>to influence customers to come back for repeat purchases<\/li>\n<li>to calculate the Lifetime Value (LTV) per customer, a benchmark of the business policies<\/li>\n<li>to analyse reasons for high churn rates and take corrective measures for a higher retention<\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>What are the top 5 terms used in ecommerce analytics? How are they calculated? What is the significance?  <\/p>\n","protected":false},"author":7,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[22,641,637,636,612,635,638,640,639],"class_list":["post-5977","post","type-post","status-publish","format-standard","hentry","category-data-analytics","tag-analytics","tag-channel","tag-churn","tag-ecommerce","tag-sessions","tag-top-5-terms","tag-transactions","tag-users","tag-visitors"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.3 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Top 5 Key Terms in E-commerce Analytics.<\/title>\n<meta name=\"description\" content=\"Explore the top 5 essential terms in e-commerce analytics, including metrics like unique visitors, sessions, transactions, and churn. 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