Marketing Metrics & Formulas
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.
| 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 |
| 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
