When it comes to understanding and optimizing your international strategy, your success depends to a large extent on the target group you select and the country you are trying to reach it in.
Let's see how the Best Countries report can help you understand your performance around the world!
Definitions
You can identify your top countries based on the following metrics:
Country | Country to where the order was shipped |
Customers | Number of customers located in the country |
LTV | Average, current Lifetime Value of customers located in the country calculated by Sum of Net Revenue - COGS |
AOV | Average Order Value of all orders shipped to the country |
Product Return Rate | Percentage of returned products that were shipped to the country; exclusively available for custom integrations, , and . |
Orders | Number of orders shipped to the country |
Gross Revenue | Gross Revenue from all orders shipped to the country |
Net Revenue | Net Revenue from all orders shipped to the country |
Use Cases
If you want to make sure that you're spending your time and money on the most impactful countries it is important that you are aware of your countries' performance.
- Focus on the best-performing countries to maximize the growth of your business
- Recalibrate and reassess all countries which do not deliver measurable value
- Identify the countries that are developing positively or worst case negatively over time
- Check whether a certain segment, e.g. your Top Customers, are mostly based in a certain country
Let's see how to get started:
After looking at the LTV per country, you can review how much it varies depending on the location of your customers. So, it's time to put your money where your high-quality customers are: start optimizing the allocation of your customer acquisition costs (CACs) and prioritizing customers in certain countries; since they will generate a higher profit margin for you in the future.
- Take a look at your average LTV by Country
- Export the data as a CSV and choose the countries with the highest Customer numbers, so it is a significant data basis
- Create Clusters based on their LTVs (top countries, average countries, and worst countries) and adjust their CACs according to the LTV differences
- Now you know which audiences to scale first, so you can multiply the quality and revenue of your customers with the same advertising budget!
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