Monday, August 27, 2007

Measure the performance of your eCommerce provider

During the globalization process, almost any software vendor outsourced the ordering process for his software products; thus, the electronic software distribution (or ESD) become a very tough niche for all companies which are providing this kind of services.

Outsourcing the entire ordering process will cut the operational costs bringing specific services such as multi-language, multi-currency, 24x7 support, etc. I will not dwell on outsourcing benefits here but on how to measure the performance of your e-commerce partner. In order words, what is the performance ratio of your ordering system and how to measure it?

A very basic method is to compare the number of visitor you have with the number of completed orders but this is a very primitive method.

A most suitable method is to create a script which will handle any redirect from your website (e.g.: At the end of the week the consolidated reports will show the number of redirected users vs number of completed orders.

Using such measuring system, you can see at any time how your ordering system performance is affected by the prices, website design or your e-commerce platform, helping you to take the best decisions for your business.

  • a "user" means an unique session redirected to the e-commerce provider
  • in case that you are using more than one e-commerce provider, for the same session the shopper must be redirected to the same ordering system

Enjoy :)

P.S. Having more that one e-commerce provider can confuse your customers but we will talk about this in further discussions.

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