Sales KPI Tree

KPI > Sales > KPI Tree

Summary

This report page shows the performance of the business across important metrics and identifies the key metrics influencing their overall sales, helping users quickly pinpoint growth areas and areas requiring attention.

Questions the report answers

How the business is performing compared to the prior year across various metrics?
What are the key metrics driving my sales growth or decline?
Which areas of the business need attention and optimization?
How can I determine whether to focus on customer acquisition or customer retention to improve a particular metric?

How to read the report

The KPI Tree structure as seen in the report helps visualize the relationships between the key performance indicators (KPIs) and how they influence the core business metric.

Understanding the structure of the KPI Tree

Sales Amount is the core business metric that is directly influenced by the Number of Orders and the Average Order Value (AOV), which are the First-Level KPIs.
Each of these high-level metrics provides a fundamental view of how the business is performing.
The tree branches out further from the first-level KPIs into second-level KPIs.
- Sessions, Conversion Rate, Number of Customers, and Orders per Customer influence the Number of Orders.
- Average Order Value (AOV) is influenced by Average Units per Order and Average Unit Price.
The tree branches out further from the second-level KPIs into third-level KPIs providing granular insights.
- Orders per Customer metric is influenced by Average Days to Repeat.
- Average Units per Order is influenced by Average Units per Product and Average Products per Order.
- Average Unit price is influenced by Average Unit Price (Non-Discounted) and Average Unit Price (Discounted)
The low-level metrics are the storytelling metrics help you understand why behind the performance of the high-level metric. For example, if the Sales Amount is down compared to the prior year, the KPI Tree helps determine whether the decline is due to a decrease in the Number of Orders, Average Order Value, or both. The tree allows for further analysis by breaking down these high-level metrics into more detailed insights, offering a top-down view of the business.

Understanding the KPI Card

Metric Title: Displayed at the top left corner which defines what the KPI is measuring. Examples include “Sales Amount”, “Number of Orders”, “Average Order Value (AOV)”, etc.
Time frame: Just below the metric title you’ll see a time filter label providing you context for the period being analyzed in the KPI.
Actual Value: The most prominent figure on the card is the Actual Value of the KPI for the selected period.
YoY Variance: On the right side of the KPI card you’ll see the absolute YoY Variance and YoY Variance % for the metric on the first row. Just below the metric variance, you’ll see the variance for the New and Repeat Customers. This breakdown helps you pinpoint whether to focus on customer acquisition or retention.
Color Coding
- Green: Indicates a positive change — increase the metric value.
- Red: Indicates a negative change — decrease in the metric value.
- Yellow: Indicates no change in the metric value
  Color Coding and Icons of the Title :
- Green: If both New and Repeat Customer YoY Variance % is positive. Both the sub-categories are green.
- Red: If both New and Repeat Customer YoY Variance % is negative. Both the sub-categories are red.
- Yellow: If the trends for New and Repeat Customer YoY variance percentages differ, the sub-categories will be represented with different colors.
Tooltip: A tooltip appears when hovering over the KPI card, providing a detailed view of the data. It includes a table comparing New and Repeat customers and a 13-week trend chart that compares the current period with the previous one for the selected metric.

Glossary

`Average Order Value (AOV)`

The average amount a customer spends per order. It is calculated by dividing the total sales amount by the number of orders.

Average Order Value =

\frac{Sales Amount}{Number of Orders}

`Average Orders per Customer`

Average number of orders placed by each customer. It is calculated by dividing the total number of orders by the number of unique customers.

Average Orders per Customer =

\frac{Number of Orders}{Number of Customers}

`Average Products per Order`

The average number of unique products purchased per order. It is calculated by dividing the total number of unique products present in orders by the total number of orders placed.

Average Products per Order =

\frac{Products in Order}{Number of Orders}

`Average Unit Price`

The average selling price of a single unit of a product. It is calculated by dividing the total sales amount by the total number of products sold.

Average Unit Price =

\frac{Sales Amount}{Quantity Sold}

`Average Unit Price (Discounted)`

The average selling price of a single unit of a product specifically for orders where a discount was applied, either at the header level or at the line item level. It is calculated by dividing the total discounted sales amount by the total quantity of products sold in those discounted orders.

Average Unit Price (Discounted) =

\frac{Sales Amount from Discounted Orders}{Quantity Sold in Discounted Orders}

`Average Unit Price (Non-Discounted)`

The average selling price of a single unit of a product specifically for orders where no discount was applied, either at the header level or at the line item level. It is calculated by dividing the total non-discounted sales amount by the total quantity of products sold in those non-discounted orders.

Average Unit Price (Discounted) =

\frac{Sales Amount from Non-Discounted Orders}{Quantity Sold in Non-Discounted Orders}

`Average Units per Order`

The average number of units sold (Quantity sold) per order. It is calculated by dividing the total number of units sold by the total number of orders.

Average Units per Order =

\frac{Quantity Sold}{Number of Orders}

`Average Units per Product`

Average number of units sold per product with a given order. It is calculated by dividing the total quantity of products sold by the total products in order.

Average Units per Product =

\frac{Quantity Sold}{Product in Order}

`Average Days to Repeat`

The median number of days it takes for a customer to make a repeat purchase within a year after their initial order. It calculates the median of the days to repeat the order. It specifically considers only those orders where the number of days to repeat is less than 365.

`Conversion Rate (Google Analytics)`

The percentage of website sessions tracked by Google Analytics (GA) that result in a purchase. It is calculated by dividing the number of orders by the number of sessions.

Conversion Rate =

\frac{Number of Orders}{Sessions tracked by GA} \times 100

Orders per Customer

The average number of orders placed by each customer. It is calculated by dividing the total number of orders by the total number of unique customers.

Order per Customer =

\frac{Number of Orders}{Number of Customer}

`Number of Orders`

Total count of orders placed by customers. It is calculated by counting the number of orders.

`Number of Customers`

Total count of unique customers who have made at least one purchase. It is calculated by counting the number of unique customers.

`Sales Amount`

Total revenue generated from the sales. It is calculated by summing sales amount values.

`Sessions (Google Analytics)`

The total number of sessions recorded in Google Analytics.