top of page

150+ eCommerce Terms
You Should Know in 2025

eCommerce terms, made simple. Get clear definitions across marketing, sales, and analytics—with smarter insights with Graas' AI advanced analytics.
eCommerce terms.webp
eCom Performance & Business Metrics

eCommerce Performance & Business Metrics

Average Order Value (AOV)

The average amount spent per order by a customer.

Customer Lifetime Value

The total revenue a business can expect from a customer over their relationship.

Profit Margin

The percentage of revenue that remains after deducting costs.

Loss Leader Pricing

Selling a product at a loss to attract customers and encourage further purchases.

High-Potential Product

A product with strong growth potential but currently under-optimized.

Product Lifecycle

The stages a product goes through from introduction to decline.

Price Anchoring

Displaying a higher-priced item next to a lower-priced item to make the latter seem more valuable.

Ad Copy Performance

Evaluating different ad headlines, descriptions, and CTAs for effectiveness.

Net Revenue

The actual revenue after deducting returns, discounts, and commissions.

Product Bundling

Selling multiple products together at a discounted price to increase sales.

Churn Rate

The percentage of customers who stop purchasing or subscribing over a period.

Sales Velocity

The rate at which products are sold over a specific period.

Dynamic Pricing

Adjusting prices in real-time based on demand, competition, and other factors.

Low-Potential Product

A slow-moving product with low demand and sales.

Merchandising

Strategically displaying products to maximize sales and engagement.

Competitor Pricing Analysis

Monitoring competitor prices to adjust pricing strategies and remain competitive.

Product Category Performance

Analyzing sales across different product categories to identify best-sellers.

Cross-selling

Recommending related or complementary products to boost sales.

Gross Merchandise Value (GMV)

The total sales revenue from transactions before deductions like fees or discounts.

Seasonal Sales

Sales events tied to specific times of the year, like Black Friday or 11.11.

Hero Product

A top-performing product that drives significant sales.

Non-Performing Product

A product that generates little to no sales over time.

End-of-Life Products

Products that are discontinued or reaching the end of their sales cycle.

Product Performance Report

Reviewing top-selling, slow-moving, and non-performing products.

Supplier Performance Analysis

Measuring supplier reliability, lead times, and cost efficiency.

Marketing & Ad Performance

Marketing & Ad Performance

Digital Marketing

Promoting products or services online through channels like SEO, social media, email, and ads.

A/B Testing

Comparing two versions of a webpage, ad, or email to determine which performs better.

Customer Acquisition

The process of attracting and converting new customers.

Competitor Analysis

Evaluating competitors' strengths, weaknesses, and strategies to gain a market advantage.

Customer Acquisition Cost (CAC)

The cost associated with acquiring a new customer.

Cost Per Impression (CPM)

The cost for 1,000 ad views in digital advertising.

Lookalike Audiences

Targeting new customers who share similar characteristics with existing ones.

Social Proof

Using customer testimonials, reviews, or endorsements to build trust.

Geo-targeting

Delivering ads based on a user’s location.

Referral Marketing

Encouraging customers to refer friends in exchange for rewards.

Keyword Analysis

Researching and evaluating search terms to optimize SEO and paid search performance.

Ad Placement Optimization

Testing different ad placements (Google Search, Display, YouTube, social media) for best performance.

Ad Creative A/B Testing

Comparing different visuals, formats, and messaging to find the best-performing creative.

Customer Win-Back Strategies

Implementing tactics to re-engage inactive customers.

eCommerce Strategy

A planned approach to growing an online business through marketing, sales, and operations.

Listing Optimization

Enhancing product listings with better keywords, images, and descriptions.

Brand Positioning

Defining how a brand is perceived in the market to differentiate it from competitors.

Affiliate Marketing

A performance-based marketing strategy where affiliates earn commissions for promoting products.

Customer Retention

Strategies to keep customers engaged and returning for repeat purchases.

Content Marketing

Creating valuable content to attract, engage, and convert potential customers.

Flash Sales

Time-limited promotions that create urgency to drive sales.

Click-Through Rate (CTR)

The percentage of users who click on an ad after seeing it.

Remarketing/Retargeting

Showing ads to users who have previously interacted with a brand or product.

Omnichannel Marketing

A seamless shopping experience across multiple channels (online, mobile, physical stores).

User-Generated Content (UGC)

Customer-created content like reviews, images, and videos that promote a brand.

FOMO Marketing (Fear of Missing Out)

Creating urgency through limited-time deals or exclusive products.

Cross-Channel Analysis

Comparing performance across different platforms like Facebook Ads, Google Ads, and marketplaces.

Marketing Mix Optimization

Adjusting the balance between paid, organic, and influencer marketing for maximum impact.

Audience Segmentation for Ads

Refining ad targeting by segmenting users based on behavior, demographics, and past purchases.

eCommerce Marketing

Strategies and tactics to drive traffic, engagement, and sales for online stores.

Cost Per Acquisition (CPA)

The cost of acquiring a customer through paid campaigns. Formula: Ad Spend ÷ Conversions.

Marketplaces' Ad Tools

Various advertising solutions provided by marketplaces.

Brand Awareness

The extent to which consumers recognize and recall a brand.

Upselling

Encouraging customers to buy a higher-end or upgraded version of a product.

Brand Loyalty

The tendency of customers to consistently buy from a specific brand.

Content Strategy

Planning, developing, and managing content to achieve business goals.

Cost Per Click (CPC)

The price paid for each click in a pay-per-click (PPC) ad campaign.

Ad Fatigue

A decline in ad performance due to repeated exposure to the same audience.

Influencer Marketing

Collaborating with influencers to promote products.

Marketing Mix

The combination of product, price, place, and promotion strategies.

Loyalty Programs

Rewarding customers with points, discounts, or perks to encourage repeat purchases.

Creative Analysis

Assessing the performance of ad creatives (images, videos, ad copy) based on engagement, CTR, and conversions.

SEO Performance Report

Evaluating organic traffic, keyword rankings, and search visibility.

Social Media Engagement Analysis

Measuring likes, shares, comments, and overall brand engagement.

Customer Retargeting Strategy

Optimizing remarketing efforts to win back previous visitors.

eCommerce SEO

Optimization strategies to improve an online store’s visibility in search engine results.

Sponsored Ads

Paid advertisements within marketplaces (e.g., Amazon Ads, Flipkart Ads).

Marketplace & D2C Website

Marketplace & D2C Website

Bounce Rate

The percentage of visitors who leave a website without taking any action.

Content Management System

A platform for creating, managing, and publishing digital content, like Shopify or WordPress.

Conversion Rate Optimization

Strategies to increase the percentage of visitors who convert into customers.

Landing Pages

Standalone web pages designed to capture leads or drive conversions.

Exit Intent Popups

Special offers triggered when a user is about to leave a website.

Cart Abandonment Analysis

Identifying reasons customers leave their carts without completing a purchase.

Sales Funnel Report

A breakdown of customer journey stages, from awareness to purchase.

Marketplace SKU Optimization

Tailoring product listings for better visibility across different platforms (Amazon, Shopee, Lazada).

eCommerce Websites

Online platforms where businesses sell products or services directly to customers.

eCommerce Integrations

Connecting various tools and platforms to enhance store functionality.

Fulfilled by Merchant (FBM)

The seller manages fulfillment independently.

Lightning Deals

Time-limited discounts on marketplaces.

Cart Abandonment Rate

The percentage of shoppers who add items to their cart but don’t complete the purchase.

Conversion Funnel

The journey customers take from awareness to purchase.

Customer Journey

The complete experience a customer has with a brand, from discovery to purchase and beyond.

Marketplaces

Online platforms like Amazon, Shopee, and Lazada where multiple sellers offer products.

Revenue Per Visitor (RPV)

The average revenue generated per website visitor.

Pricing Strategy Analysis

Assessing how different pricing models impact conversion rates and revenue.

Landing Page Optimization

Improving conversion rates by testing page layouts, CTAs, and content.

AI-Powered Personalization

Using machine learning to deliver customized recommendations to shoppers.

eCommerce Template

Pre-designed website layouts tailored for online stores to streamline setup.

Buy Box

The section on a marketplace product page where customers can 'Add to Cart' (Amazon/Flipkart).

Marketplace Commission

The fee charged by a marketplace per sale.

Checkout Process

The steps customers follow to finalize a purchase online.

Conversion Rate

The percentage of visitors who complete a desired action, like making a purchase.

Customer Journey Mapping

Visualizing the steps a customer takes when interacting with a brand.

D2C Website

A brand-owned eCommerce website that sells directly to consumers without intermediaries.

Average Session Duration

The average time users spend on a website.

Marketplace Performance Analysis

Comparing sales, conversions, and competition across platforms like Shopee, Lazada, and TikTok Shop.

Product Visibility Optimization

Enhancing product descriptions, images, and tags to improve search rankings.

Voice Commerce Optimization

Preparing eCommerce sites for voice search and smart assistant shopping.

eCommerce Platform

Software that enables businesses to create, manage, and operate online stores (e.g., Shopify, Magento).

Fulfilled by Amazon (FBA)

Amazon handles storage, packaging, and shipping for sellers.

Referral Fee

A percentage-based fee for listing products on marketplaces.

eCommerce Analytics

eCom Analytics

Buyer Persona

A detailed profile of an ideal customer based on data and research.

Return on Ad Spend (ROAS)

Revenue earned for every dollar spent on advertising.

First-Touch Attribution

Giving credit to the first marketing interaction that introduced a customer to a brand.

Customer Segmentation

Grouping customers based on shared characteristics for targeted marketing.

Heatmaps

Visual representations of user interactions on a website, showing areas of high engagement.

Campaign Analysis

Evaluating the effectiveness of marketing campaigns using metrics like CTR, ROAS, and conversions.

Basket Analysis

Studying customer purchasing habits to identify frequently bought-together products for bundling or upselling.

eCommerce Performance Dashboard

A centralized platform to track GMV, conversion rates, AOV, and customer retention.

Email Marketing Performance

Tracking email open rates, click rates, and conversion rates.

AI-Powered Demand Forecasting

Using predictive analytics to anticipate future sales trends.

eCommerce Metrics

Key performance indicators (KPIs) used to measure an online store’s success, such as conversion rate and AOV.

Stock Keeping Unit (SKU)

A unique identifier assigned to each product variant for tracking inventory.

Personalization

Tailoring marketing messages and product recommendations based on user data.

Last-Touch Attribution

Assigning credit to the final touchpoint before a conversion.

Churn Analysis

Identifying reasons why customers stop buying and finding ways to reduce churn.

Net Promoter Score (NPS)

A measure of customer loyalty based on their likelihood to recommend a brand.

Finance Analysis

Examining financial data (revenue, profit margins, expenses) to assess eCommerce business profitability.

Marketing Dashboard

A real-time view of key marketing metrics, including ad performance, attribution, and ROAS.

Multi-Touch Attribution Report

Analyzing the impact of different marketing touchpoints in driving conversions.

Demand-Based Restocking

Using data analytics to reorder products based on demand trends.

eCommerce Analytics

Data insights that help businesses track performance, customer behavior, and sales trends.

Key Performance Indicators (KPIs)

Metrics that measure eCommerce success, such as conversion rate and AOV.

Return on Investment (ROI)

The profitability of an investment, calculated as net profit divided by investment cost.

Attribution Model

A framework for determining how credit for conversions is assigned to different marketing channels.

Multi-Touch Attribution

Distributing credit across multiple touchpoints in the customer journey.

Cohort Analysis

Analyzing customer groups with shared characteristics to understand behavior over time.

Customer Satisfaction Score (CSAT)

A metric that measures how satisfied customers are with a product or service.

Demand Forecasting

Predicting future product demand based on historical data and market trends.

Business Intelligence Dashboard

A comprehensive report combining sales, marketing, and finance insights for data-driven decisions.

ROAS Optimization

Adjusting bids and budget allocation to improve return on ad spend.

Data-Driven Pricing Strategies

Leveraging real-time insights to adjust pricing dynamically.

eCommerce Data

Information collected from an online store, including sales, customer insights, and marketing performance.

eCommerce Industry & Trends

eCom Industry & Trends

eCommerce Solutions

Tools and services designed to help businesses sell products online efficiently.

eCommerce Store

A digital shop where customers can browse and purchase products online.

eCommerce Trends

Emerging innovations and consumer behaviors shaping the future of online shopping.

eCommerce Brand

A business that sells its products primarily through online channels.

B2B & Wholesale

B2B & Wholesale

MOQ (Minimum Order Quantity)

The smallest quantity a buyer must purchase.

Wholesale Price

The discounted price for bulk buyers.

Distributor Margins

The profit earned by distributors per sale.

Bulk Discounts

Price reductions for large orders.

Private Labeling

Selling products under a retailer’s brand name.

Request for Quotation (RFQ)

A formal request for pricing from suppliers.

White Labeling

Generic products sold under multiple brand names.

Customer Behavior & Experience

Customer Behavior & Experience

Call-to-Action

A prompt encouraging users to take a specific action, like "Buy Now" or "Sign Up."

Retention Rate

The percentage of customers who make repeat purchases over time.

Customer Profile

A summary of a customer’s demographics, behavior, and preferences.

Subscription Model

A business model where customers subscribe for recurring orders.

Customer Reviews

Feedback from customers that influences buying decisions and brand credibility.

Product & Inventory Management

Product & Inventory Management

Product Assortment

The variety of products a retailer offers to customers.

Limited Drops

Exclusive product launches in limited quantities.

Parent SKU

A base product listing that includes multiple variations (e.g., sizes, colors).

Seller SKU (Stock Keeping Unit)

A unique identifier for each product variant.

Child SKU

A specific variation of a parent product with unique identifiers.

Inventory Turnover Rate

The rate at which stock is sold and replaced.

Logistics & Fulfillment

Logistics & Fulfillment

Dropshipping

A retail model where a store sells products without holding inventory, relying on third-party suppliers for fulfillment.

Logistics

The management of warehousing, shipping, and delivery processes in eCommerce.

Stock Rotation

Managing inventory to ensure older stock is sold before newer stock.

SKU Performance Analysis

Reviewing individual SKU sales, stock levels, and profitability.

SKU Rationalization

Removing underperforming products to improve inventory efficiency.

3PL (Third-Party Logistics)

Outsourcing fulfillment to logistics companies.

NDR (Non-Delivery Report)

A report of failed deliveries.

First Mile Delivery

The movement of goods from the seller to a logistics provider.

Reverse Logistics

The process of managing returns.

Fulfilment

The process of storing, packing, and shipping customer orders.

Sell-through Rate

The percentage of inventory sold compared to the total available stock within a period.

Buy Now, Pay Later (BNPL)

Allowing customers to split payments over time without interest.

Stock Optimization

Ensuring the right stock levels to prevent overstocking or stockouts.

Dynamic Inventory Allocation

Reallocating stock between online and offline stores based on demand.

4PL (Fourth-Party Logistics)

A supply chain integrator managing multiple logistics providers.

Delivery SLA

The agreed-upon delivery time frame.

Mid Mile Delivery

The movement from warehouses to distribution centers.

E-Way Bill

A digital document for inter-state goods movement in India.

Inventory

The stock of goods a business holds for sale.

Order Fulfillment Rate

The percentage of successfully processed and shipped orders.

Product Assortment Analysis

Evaluating product selection to optimize inventory mix and maximize sales.

Seasonal Product Planning

Forecasting and stocking up on high-demand seasonal products.

eCommerce Fulfillment

The process of storing, packing, and shipping online orders to customers.

On-Time Delivery Rate (OTD)

Percentage of orders delivered within the promised time.

Shipping Cutoff Time

The deadline for processing same-day orders.

Last Mile Delivery

The final leg of delivery to the customer.

Payment & Transactions

Payment & Transactions

Cash on Delivery (COD)

A payment method where customers pay upon delivery.

COD Reconciliation

Settling cash payments collected by logistics partners.

Net Payment Terms

Payment schedules for B2B transactions.

Trade Credit

Credit terms extended to B2B buyers.

See Graas in action.webp

Ready to get started?

bottom of page