Having the power to analyze your revenue is crucial when it comes to making informed decisions about your business strategy.
The first step to good analysis is having accurate data and easy-to-use reports.
In Metrilo, you have the Revenue & Trends tab at your disposal for that very reason. We want you to have all the right numbers that matter to your ecommerce store so that you can run adequate analysis.
What is revenue analysis?
Revenue analysis actually tells you where your money comes from. It points out the channels that bring you revenue, what kind of people buy from you or where those people come from (cities, countries, etc.).
Luckily for you, Metrilo has a rich set of tools for Revenue analysis. The software breaks down revenue by any of the following criteria:
- Order status
- New / Returning customers
- Traffic Source
- Payment Method
- UTM Source
- UTM Medium
Now let’s take a look at some of these breakdown filters and see how you can benefit from them.
Revenue breakdown by Order Status
This is the first break down available once you open the drop-down menu. As soon as you select it, you will be able to see how your revenue is distributed between the different order statuses in the selected period.
It’s important to monitor completed orders because that’s when the cash has been transferred to you and the product is in the hands of the buyer.
Other order statuses are cancelled, failed, pending or refunded. No need to worry about them with Metrilo, though - there are ways to turn canceled, refunded and failed orders into new sales.
If you click on the order status, a separate window opens with more breakdown options. This is an amazing opportunity to find out the reasons for cancellations and the refunds!
For example, you might discover that most of your failed orders come from a specific city (this might be due to bad delivery services for the region) or that there was a coupon that didn’t work and orders were cancelled by most customers.
But also, you can see the list of the real people behind all your completed orders in case you want to send them a “Thank you” email or simply check how their experience with the new purchase is.
On another hand, you can follow up on cancelled orders again by sending an email to all the people on that list.
Revenue breakdown by New/ Returning customers
The question is the same: “Where does your revenue come from?”, but this time you can explore it in terms of new and old customers.
Metrilo divides all shoppers in the selected period as either “new” or “returning” depending on whether they are first-time buyers or have shopped from you before. This is important since it’s better to have more returning (meaning happy) customers than to constantly struggle to acquire new ones.
Again, all second-level breakdowns are available if you want to know where those new customers come from.
Of course, you can still check who those people are by opening the list of their profiles.
Revenue breakdown by Coupons
Most Ecommerce businesses offer different coupon promotions in order to boost sales.
In Metrilo, you see revenue broken down by coupons, average orders, and number of customers (to compare with number of orders if anybody used it more than once), so you can evaluate the performance of each coupon.
This way, you will be able to do better campaigns in the future, offering promotions, more relevant to your customers.
The second-level breakdown gives you an advanced set of possibilities. You see whether each coupon attracted new customers or returning ones.
Revenue breakdown by Traffic Source
This one is another must-have breakdown. Knowing which digital channels bring your revenue is crucial when you are planning where to spend your marketing budget – on advertising or organic search optimization, for example.
As soon as you select this breakdown, Metrilo displays your revenue for the selected period distributed across the channels it comes from. Say, it can be organic search (Google), Facebook, or another website which refers people to you.
You will have visual information about the average orders per channel and the total revenue coming from it right away. It doesn’t make sense to invest $100 in Facebook ads and make less than that, right?
By carefully planning your next marketing investment in the right channels, you should see higher returns.
Revenue breakdown by Country/ City
Another important breakdown can be looking at your revenue by countries or cities it comes from (depends whether you are a local company or an international one).
Are there big groups of people coming from specific cities/ countries - you can improve your targeting there. At the same time, you might discover that while you are investing a great deal of resources into a specific location, you are not actually getting an adequate return.
Concentrating on profitable places is the right choice. Of course, you don’t have to abandon cities that simply don’t convert well, you might simply have to make changes in the approach.
It is all about communication and your targeting may need to vary for different groups. The good thing is you will be able to test new approaches and see immediately if they work.
Revenue breakdown by Campaign
If you use campaign tags (which we suggest) in your links, Metrilo can break down your revenue by every digital campaign you had for the specified period.
What could be better than monitoring closely the performance of all your campaigns?
Even more, you can peek into the list of customers of the campaign, study their behavior, and find patterns there to use for targeting the right customers.
You can constantly monitor and improve your campaigns. Any slight change you make in your communication will reflect on the revenue you generate from them.
Revenue breakdown by Device
The next breakdown that might be really important for you is the one by device.
More and more people start using their mobile devices for online purchases. But is this the case with your clients?
A complete overview of your revenue spread across different devices can be crucial for discovering problems with your website and the behavior of your customers.
If it happens that your customers buy a lot on mobile phones, that’s great! It means your website is mobile-friendly and customers feel really comfortable and safe purchasing from you.
You can again get the list of your customers by device and optimize your next email for their device. Mobile-adapted emails do miracles and you can be sure that those people won’t hesitate to purchase again via their device if they have done it before.
Revenue breakdown by Payment Method
The last breakdown is the one by Payment method. You’ll see plain and easy which payment methods are preferred by the majority of your customers.
Your customers may prefer to use Paypal instead of their credit cards, or they may want to pay on delivery.
The really important thing here is to go one step further and to analyze the different order statuses for each payment method. This way you’ll check if some methods have a high rate of pending, canceled or delayed orders than others.