Log In Get Started BLOG (GMV) Gross Merchandise Value: Meaning & CalculationPublished: Aug 3, 2020 What is Gross Merchandise Value and why is it important to your eCommerce business? We break down what GMV means, how you can calculate it, and how you can improve your GMV....
What is GMV? Gross merchandise value is a business metric commonly used in eCommerce which measures the total volume of sales over a certain period of time, such as on a quarterly or annual basis. Also referred to as the Gross Merchandise Volume, this calculation is made prior to the deduc...
Because GMV does not account for accrued expenses like marketing and advertising costs, this metric alone will not give a complete picture of the health of an ecommerce store, its net sales, or its net income. For more accurate insights into a business’s performance, GMV should always be ...
Remember, GMV is more than just a number—it’s a valuable tool that, when used correctly, can guide your decisions and help you achieve sustained success in the competitive ecommerce landscape. Don’t just measure your GMV; take action to elevate it and watch your business thrive....