Brand Valuation
Key Performance Indicators on the Brand Valuation page
Last updated
Key Performance Indicators on the Brand Valuation page
Last updated
The Key Performance Indicator (KPI) section provides quick visual indication of brand performance across multiple KPIs, by means of a health bar that goes from red to green. The current input values for each KPI are shown in the top right of each KPI card.
For low-scoring KPIs, recommendations are included in the expandable area of the respective KPI card.
The following overview provides more information on the calculation basis and benchmarks for each KPI.
KPI Category | KPI Name | What is the KPI based on? | How do the top performing brands score for each KPI? |
---|---|---|---|
Products | Product Complexity | Based on the number of products that make up 60% of EBITDA (Trailing 12 Months) | Brands with 1 or 2 products making up 60% of EBITDA are low in complexity and score high for this KPI. |
Products | Best Seller Rank | Based on the current Best Seller Ranking across subcategories | Brands with products in the top 10 of their respective BSR subcategories are top performers and therefore score high for the Best Seller Rank KPI |
Profitability | Profit Margin | Based on the profit margin (EBITDA / Net Sales) across the brand (Trailing 12 Months) | Brands with a profit margin higher than 25% are top performers and therefore score high |
Profitability | EBITDA Growth Rate Year on Year (YoY) | Based on the brand EBITDA growth rate of the last year (Trailing 12 Months) vs the year before | Brands with an YoY EBITDA Growth rate higher than 50% are top performers and therefore score high |
Profitability | EBITDA Growth Rate Month on Month (MoM) | Based on the brand EBITDA growth rate of the last completed month, compared to the same month in the previous year. | Brands with an MoM EBIDTA Growth rate higher than 50% are top performers and therefore score high |
Customer Satisfaction | Return Rate | Based on the % of products returned in the last year | Brands with a return rate of less than 5% score high |
Customer Satisfaction | Repeat Customer Rate | Based on the % of purchases that came from repeat buyers in the last 18 months | Brands with a repeat customer rate higher than 20% score high |
Customer Satisfaction | Rating | Based on the rating across products (all time) | Brands with an average product rating higher than 4.3 score high |
Customer Satisfaction | Review Volume | Based on the number of reviews per product (all time) | Brands with products that on average have more than a 10,000 reviews score high |
Customer Satisfaction | Review Quality | Based on the negative review rate (all time), where negative ratings are 1,2,3 star ratings. | Brands with a negative review rate of less than 10% score high |
Account Health | Order Defect Rate | Based on the order defect rate across the Seller Central Account (last 2 months) | Seller accounts with an order defect rate of less than 0.25% score high |
Account Health | Policy Violations | Based on the number of policy violations across the Seller Central Account (last 6 months) | Seller accounts with 0 policy violations score high |
Advertising | TACOS | Based on the Total Average Cost of Advertising (Ad Cost / Amazon Sales) in the last completed month | Brands with a TACOS ratio of 8% or less score high |
Shopify | Shopify Revenue | Based on the Shopify Revenue (Total Sales) growth of the last year (TTM) vs the year before | Brands with revenue growth of over 30% score high |