Amazon Analytics helps you to measure the performance of your business and understand customer behavior behind your sales. You can view many reports, including customer lifetime value and customer acquisition costs. You can also find information on Alternate Purchase Behavior and Item Comparison. These reports can prove to be extremely valuable for your business.
Customer Lifetime Value
A retailer can measure its success by using Customer Lifetime Value (CLV). It is used by Amazon to assess the customer’s value and tailor its services to their needs. It is commonly abbreviated to LTV in the business world. It can be confusing as it is similar to the loan-to–value ratio, which is a term that is used in banking.
To calculate CLV, you must divide your customer population into different segments. This will allow you to identify the most valuable customers. If you offer a subscription-based service, you can segment customers by price range and frequency of purchase. You can target your marketing efforts and pricing by knowing which customer has the highest lifetime value.
Customers Acquisition Costs
Customer acquisition costs (CAC), are marketing expenses incurred by a company to attract new customers. They can vary depending on the type and market of the business as well as the expected return rate for customers. Let’s take, for example, an E-commerce business selling specialty products via Shopify. It spends $10,000 online advertising to bring in 1,000 customers. The CAC per customer is therefore $10.
It is very useful to know the cost of acquiring a customer. This includes all costs associated with introducing a product/service, getting them to purchase it, and closing the sale. This information can be used by businesses to help them develop a business plan. They can reduce CAC and increase profits while providing more value to customers.
Comparison of Items
Amazon Analytics’ Item Comparison report will help you understand your customers and those of your competitors. This report gives insight into how customers compare products and decide to purchase. This report will show you how many products have been compared, and how many views each product has had. You can also see the products that your customers purchased instead of yours.
An Item Comparison report is a useful tool for understanding the effectiveness and efficiency of Amazon advertising. You may see more comparisons if your product is niche. To make your product more relevant for your target audience, you might consider including a child SKU in the parent version of your brand. This will help you optimize both your marketing and sales funnel. This will allow you to see which products are most popular and any customization possibilities.
Alternate purchase behavior
To find out how often customers buy a product, use the Alternate purchase behavior in Amazon Analytics report. The report will show the product title as well as the percentage of customers who purchased the same product within the same day. This report will also show you the top five competitors.
To see what items are often compared to yours, you can also use the Compared ASIN Report. The report will also tell you how many shoppers have viewed the product compared to yours.