Knowing the leverage points in your subscription box company’s revenue model is the surest way to maximize your profit. Understanding the ecommerce analytics that are available is the first step to identifying those leverage points. Increasing any of these leverage points can make a huge difference to your subscription box company’s bottom line.
Let’s break down the parts of the purchase funnel. Each of these parts can be seen in the Enhanced Ecommerce reports in Google Analytics. This breakdown will apply in broad terms for most subscription box companies, but there are many variations that you can successfully apply.
Website Sessions – Yes every visitor is a potential buyer, but not all will purchase. However, the larger the top of your sales funnel is, the larger the bottom will be. The percentage of all sessions that move to the product detail page is a metric that all subscription box companies should be tracking.
Sessions With Product Detail Views – Your product detail page is the beginning of the purchase funnel. Here you can see what percentage of your total sessions looked at your products and what percentage of those sessions added something to cart. The key leverage point here is the Buy-to-Detail metric in your Enhanced Ecommerce reports. Buy-to-Detail is the ratio between the number of sold products to the number of detail page views of that product.
Sessions With Add To Cart — Here you’ll see the percentage of product view sessions where someone added a product to their cart. You’ll also see your number and percentage of cart abandonments. Keep in mind that if a user leaves the checkout but comes back and completes the purchase in the same session, you’ll see them going through from start to finish. The add to cart along with abandonments are great leverage metrics.
Sessions With Checkout — Keep in mind that if a user added something to the cart during one session, and then came back to complete the purchase in a subsequent session, the funnel visualization would count the user as reentering at the checkout step. Here the number of sessions that move to purchase and the abandons are the leverage metrics.
You can see this data in a simple easy to understand format in the Google Shopping Behavior Analysis report.
The Checkout Behavior Analysis Report — This report lets you see how successfully your users moved through your checkout process. The checkout-funnel visualization illustrates how many users moved on from one step to the next, how many abandoned the process at each step, and how many entered the process at each step.
This report also allows you to segment users based on their actions so you can target them more precisely.
Plus, in Ecommerce set-up, you can label the checkout funnel steps in a way that is the most meaningful to you and your subscription box company’s team.
Other Ecommerce Analytics Metrics You Should Be Leveraging For Your Subscription Box Company
Using the Ecommerce Overview report in Google Analytics you can get a quick look at the revenue generated, the ecommerce conversion rate, number of transactions and your average order value. The average order metric is crucial if you’re doing any kind of an upsell.
You can also see a top-level look at your campaigns by using UTM codes and checking out the overview report, This will show you transactions, revenue, and average order value. It’s a great way to see all your affiliate or coupon code metrics in one place.
If you need help building a reporting structure that helps you make decisions that increase your subscription box company’s profitability, reach out to us. At Peak Inbound Marketing we are award-winning subscription marketers and SEO experts. That powerful combination will help move the needle and increase subscriptions. Call us today (973) 770-4668.