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Marketing Metrics & Formulas

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Formulas On The App

Profit Centre

Total Revenue = Total No. of Orders Price*Quantity, this is inclusive of taxes and shipping charged to customers
COGS = Cost of goods sold, aka product costs. Based on the data you input into Integrations > COGS
Marketing Spend = Total marketing costs during the chosen time period
Net Profit = Total revenue – discounts – refunds – taxes – COGS – shipping costs – marketing ad spend – transaction fees
Number of orders = Number of orders processed in chosen time period.
Shipping Charged = The dollar amount charged to customers for shipping. This amount is set in shopify.
Shipping Costs = Sum of Shipping Costs based on the data you input into Integrations > Shipping costs.
AOV = Total Revenue / Number of Orders
Discounts = Total discounts you give your customers in a chosen time period.
Refunds = Total refunds you give your customers in a chosen time period
Taxes = Total taxes incurred based on Shopify or the data you input into Integrations > Taxes.
Transaction Fee = Total fees incurred by payment processors. Based on the data you input into Integrations > COGS & Fees.
Gross Margin = (Gross Profit / Total Revenue) * 100%
Gross Profit = Total Revenue – Discounts – Refunds – Taxes – COGS
Net Margin = Net Profit / Total Revenue * 100%
Net Profit = Total revenue – discounts – refunds – taxes – COGS – shipping costs – marketing ad spend – transaction fees

Income Statement

Total Revenue = Total No. of Orders Price*Quantity, this is inclusive of taxes and shipping charged to customers
Discounts = Total discounts you give your customers in a chosen time period.
Refunds = Total refunds you give your customers in a chosen time period
Taxes = Total taxes incurred based on Shopify or the data you input into Integrations > Taxes
Net Revenue = Total revenue – discounts – refunds – taxes
COGS = Cost of goods sold, aka product costs. Based on the data you input into Integrations > COGS
Gross Profit = Net revenue – COGS
Shipping Cost = Sum of Shipping Costs based on the data you input into Integrations > Shipping costs.
Facebook Ads Spend = Amount spent on facebook ads according to the ad accounts you connected
Google Ads Spend = Amount spent on google ads according to the ad accounts you connected
Transaction Fees = Total fees incurred by payment processors. Based on the data you input into Integrations > COGS & Fees.
Total Expenses = Costs including COGS, shipping costs, facebook ad spend, google ads spend, transaction fees
Net Profit = Total revenue – discounts – refunds – taxes – COGS – shipping costs – marketing ad spend – transaction fees
Net Margin = Net Profit / Total Revenue * 100%

 

Marketing Analytics – Overview

 

Number of Orders = Number of orders processed in chosen time period.
Average Order Value = Average Order Value (AOV) = Total Revenue / Number of Orders
Marketing Ad Spend Per Order = Total marketing costs during the chosen time period/No. Of orders
Marketing Spend = Total marketing costs during the chosen time period
Total Revenue= Total No. of Orders Price*Quantity, this is inclusive of taxes and shipping charged to customers
Total Revenue/ Total Marketing Ad Spend = Total No. of Orders Price*Quantity / Total marketing costs during the chosen time period

 

Facebook Channel

Facebook Ad Spend = Total Facebook Ads marketing spend during the chosen time period
Facebook Purchase Conversion Value = Total value of website purchase conversions through Facebook Marketing channel
Facebook Ads Attributed ROAS = Total return on ad spend through Facebook Marketing Channel. The formula is: Facebook Purchase Conversion Value/Facebook Ad Spend

 

Google Channel

Google Ad Spend = Total Google Adwords marketing spend during the chosen time period Google Purchase Conversion Value = Total value of website purchase conversions through Google Adwords.
Google Ads Attributed ROAS = Total return on ad spend through Google Adwords. The formula is: Google Purchase Conversion Value/Google Ads Spend Impressions = The amount of times all your ads appears on Google or the Google Network
Clicks = The number of clicks on all your ads in your Google adwords account for the given time period Conversions = Total amount of website purchase conversions through Google Adwords.

Marketing Analytics – Tables

You are supposed to use this table to see whether your ad account ROAS values are the same as your overall shopify store ROAS. Facebook and google have bad attribution error and it is always best to see overall shopify ROAS to determine when to kill a campaign.

Facebook

 

Total Ad Spend = Total Facebook Ad spend
Facebook Purchase Conversion Value = Total value of website purchase conversions through Facebook Marketing channel
Facebook ROAS = Facebook Purchase Conversion Value/Facebook Ad Spend
Shopify Reported Sales = Total Sales Reported on the selected date
Shopify Sales/ Marketing Spend Ratio = Total reported Shopify sales over the Facebook Ad Spend for the day
Sales – Ad Spend = Total Shopify Sales minus Facebook Ad spend on selected date
Net Profit = Total revenue – discounts – refunds – taxes – COGS – shipping costs – marketing ad spend for the selected date

Google

 

Total Ad Spend = Total Google Ad spend
Google Purchase Conversion Value = Total value of website purchase conversions through Google Marketing channel
Google ROAS = Google Purchase Conversion Value/Google Ad Spend
Shopify Reported Sales = Total Sales Reported on the selected date
Shopify Sales/ Marketing Spend Ratio = Total reported Shopify sales over the Google Ad Spend for the day
Sales – Ad Spend = Total Shopify Sales minus Google Ad spend on selected date
Net Profit = Total revenue – discounts – refunds – taxes – COGS – shipping costs – marketing ad spend for the selected date

Marketing Analytics – Improvements

Which pages are your customers spending the most time on? The pages where your customers are spending the most time on are generally the most important, engaging pages. You might want to improve the content on that page overtime. 
Which channel generates the most revenue for you? Find out which channels are producing the most sales and double down on your winners.
Which of your pages are generating the most traffic? How fast do these pages load? The pages which see the most traffic should be optimized as they are probably your money makers. Decrease load speed and improve the content of these pages to improve conversion rates.
Total ROAS = Shopify Reported Sales/Total Ad Spend
Shopify Reported Sales = Total Sales Reported on the selected date range
Shopify Sales/ Marketing Spend Ratio = Total reported Shopify sales over the Marketing Ad Spend for the day
Sales – Ad Spend = Total Shopify Sales minus Marketing Ad Spend on selected date
Net Profit = Total revenue – discounts – refunds – taxes – COGS – shipping costs – marketing ad spend for the selected date
Total Purchase Conversion Value = Total value of website purchase conversions through both Google and Facebook Channels

 

Total Ad Spend = Total Ad spend of Facebook And Google Adwords Total Purchase Conversion Value = Total value of website purchase conversions through both Google and Facebook Channels
Total ROAS = Shopify Reported Sales/Total Ad Spend Shopify Reported Sales = Total Sales Reported on the selected date
Shopify Sales/ Marketing Spend Ratio = Total reported Shopify sales over the Marketing Ad Spend for the day Sales – Ad Spend = Total Shopify Sales minus Marketing Ad Spend on selected date
Net Profit = Total revenue – discounts – refunds – taxes – COGS – shipping costs – marketing ad spend for the selected date

Insights > Audience

For all these product features, you can change the data according to the date range.
Facebook Most Profitable Gender/Age Displays and visualises data from your facebook ads to show what gender and what age range produces the highest amount of sales in $ amounts.  Also shows AOV and number of orders from these 2 demographics.
Google Most Profitable Gender/Age Displays and visualises data from your google ads to show what gender and what age range produces the highest amount of sales in $ amounts.  Also shows AOV and number of orders from these 2 demographics.
Facebook Ads Performance By Age Displays data of the revenue generated, AOV and number of orders from audiences in your facebook ad account sorted by age.
Facebook Ads Performance By Gender Displays data of the revenue generated, AOV and number of orders from audiences in your facebook ad account sorted by gender.
Google Ads Performance By Age Displays data of the revenue generated, AOV and number of orders from audiences in your google ads account sorted by age.
Google Ads Performance By Gender Displays data of the revenue generated, AOV and number of orders from audiences in your google ads account sorted by gender

Insights > Products

For all these product features, you can change the data according to the date range.
Showing Best selling products of your store Shows the top 3 products sorted by net sales, quantity of product purchased and conversion rate, rest of products sales data can be seen after show more button is pressed

 

Products are shown in descending order from most sales to least sales

NOTE: Sometimes the product conversion rate if it shows 0%, it does not mean that the app is tracking conversions wrongly, it simply means that the sale was NOT converted on the product’s product page. It could be that the customer bought the product based on an upsell or cross sell, which the app cannot track.

Insights > Collections

For all these product features, you can change the data according to the date range.
Showing Best selling collections of your store Shows the top 3 collections sorted by net sales, quantity of product purchased and conversion rate, rest of products sales data can be seen after show more button is pressed

 

Collections are shown in descending order from most sales to least sales

Insights > Customers

For all these product features, you can change the data according to the date range.
Show the best highest LTV customers of your store, customers who have spent the most money with you  Your highest LTV customer is shown in the date range given. Their contact information from mobile phone, email and address is displayed as this data is pulled from Shopify. Their lifetime spend, AOV and number of orders is also shown.
Table below showing all customers Table of customers showing from descending spend of best customers, showing name, email address, lifetime spend, orders, AOV, 1st and last order
Option to export customer to CSV You are able to export this entire customer list to download as a CSV.

 

You would be able to upload this email list to your email autoresponder or upload to your ad platform for targeting and lookalike audience.

Option to export customers list to FB custom audience Integration to export your customer list (in selected range to your Facebook custom audience as you can immediately create loookalikes from your highest LTV customer, forming a very strong Lookalike audience. 

Insights > Locations

Most Profitable Countries Are Gives you data from facebook’s ad account about which of your country’s customers are producing the most sales for you
Most Profitable Cities Are Gives you data from facebook’s ad account about which of the cities you are targeting, its customers are producing the most sales for you

Currency Exchange Information: 

The currencies update in real time and all currencies also convert to the base currency of the store. Imagine your base currency of your store is in USD. The app uses data from real time currency converter fixer.io to take FX rates from the past to convert all currencies to your base currency.

Imagine the following scenario:

Your Facebook Ad Account:
Australian Dollar

Google Ad Account:
Euro Dollar

Shopify Base Currency:
USD

Our app will automatically convert all currencies from your marketing spends into your base currency so your information is accurate.

More information about the onboarding banner

The onboarding banner will be present and showing as long as you do not fulfill the main steps of: Syncing your COGS, transaction and shipping fees and attaching your advertising accounts.

Some marketing terms: 

ROAS – Return on ad spend, refers to how much return there are on the ad spend, for example a 2x ROAS means that $2 is generated for every $1 spent

Purchase conversion value – the total amount of revenue being generated from the advertisement in dollar $ terms

AOV – average order value, the average dollar $ amount of the orders

Metrics pulled from your own Shopify store:

Total revenue 

COGS (Costs of goods sold OR product cost)

Number of orders

Shipping Charged 

Shipping Costs (If you uploaded manually, then from your CSV file)

Discounts

Refunds

Transaction fee

AOV

Taxes (If you input manually, then from data integration)

Shopify Plan – the amount of money that you pay for your shopify plan subscription

From External sources: (Metrics pulled from marketing channels)

Marketing Spend (Total)

Facebook Ad Spend

Google Ad Spend

Facebook Purchase Conversion Value

Facebook Ads Attributed ROAS

Google Purchase Conversion Value 

Google Ads Attributed ROAS

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