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Sales is the total amount of revenue that your product/account has generated from product sales in a selected time period. For example, if you sold 100 products at $10 each, your sales would be $1000 in that time period.
Units is the number of product units that have been sold in a selected time period. For example, if you sold 100 units, you would know that you have sold 100 products.
Orders is the number of distinct orders of product/account received in a selected time period. This is usually less than Units, for example, 100 units can be placed under 90 orders within some orders having multiple units.
Promotional sales refers to the sum of all sales as the result of the promotion for the particular product, in the selected currency. For example, if we launched a promotion that offered a buy one, get one free deal, and as a result, 200 units were sold $10 at each within half of them are free, the Promotional - Sales metric would be $1000. It is important to note the difference between Promotional and Total Sales so that you can determine if the promotion is generating a good amount of Return on Investment.
Promotional - Units measures the number of units sold as a result of a promotional campaign. For example, if we launched a promotion that offered a buy one, get one free deal, and as a result, 200 units were sold, the Promotional - Units metric would be 200. Promotional - Units helps us to understand the impact of our promotions on our overall sales and to make decisions about future promotions.
Promotional Orders measures the number of orders that were placed as a result of a promotional campaign. For example, if we launched a promotion that offered a 10% discount on all products, and as a result, 100 orders were placed, the Promotional - Orders metric would be 100. Promotional - Orders helps us to understand the effectiveness of our promotional campaigns and to make decisions about future promotions.
Promotion Spend (Rebate): Promotion spend refers to the amount of money that you are spending on promotions or discounts for your products. This can include things like coupon codes, sale prices, or sponsored ads. As a seller, it is important to track and monitor your promotion spend in order to understand the impact it has on your profits and make informed decisions about pricing and marketing strategies.
Organic sales are those that occur when customers are looking for a product on Amazon and your product is the best fit, without any ads. The Amazon algorithm views organic product listings, which appear naturally on the Amazon search engine results page and are mostly based on SEO optimization, as the most relevant to what the customer is looking for.
Organic Sales = Total Sales - PPC Sales
Organic Orders is the number of distinct orders of product/account received in a selected time period without running any ad campaigns for the product.
Organic Orders = Total Orders - PPC Orders
Organic Units is the number of product units that have been sold in a selected time period without running any ad campaigns for the product.
Organic Units = Total Orders - PPC Units
Now it's time to continue with the next steps to edit your website pages. Usually there are 2 types of content that will be edited, which are the following.
A: SellerFusion receives information directly from Amazon Seller Central upon completion of connecting your SellerCental account at time of onboarding to the SellerFusion platform. There will be a 30 mins time latency to update sales metrics.
A: Our filter is based on the time when the orders were placed by the customers, not the time at which they were processed. This reflects more of the real status of your product sales. Therefore, these metrics will be slightly different from what you will see in the Amazon Transaction Report because of time lagging.
A: These 3 metrics do not reflect orders that are subsequently canceled or altered which Amazon Business Report does include them. Using the same example, if you saw $1000 in Sales, 100 Units, and 90 Orders on Amazon Business Report which included 1 canceled order of 1 unit at $10, you would see $990 in Sales, 99 Units, and 89 Orders on SellerFusion.
A: No. Usually, Organic Sales metrics in the definition don’t exclude Promotional Sales. If you were running a promotion and ads on one product at the same time and wanted to see Organic Sales exclude Promotional Sales and PPC Sales, there wouldn’t be an easy solution to exclude both of them from Total Sales, because Promotional Sales would be overlapped with PPC Sales.
Refunds refer to the process of returning money to a customer for a product they purchased. There can be multiple reasons for when a customer issues a refund. As a seller, it is important to track and monitor your refund requests in order to understand customer satisfaction and make informed decisions about product pricing and inventory management. The formula is calculated as:
Total Refunds = Return Sales - Promotional Rebate Refunds - Referral Fee Refund - Gift Wrap Credit Refunds + Refund Administration Fee
Refund Sales show the total amount in the selected currency for customer issued a return to the seller.
Promotional Rebate Refunds is a metric that displays the total amount of money spent by the seller on promotional discounts or rebates offered to customers. This metric would include the cost of discounts, coupons, or other promotions that the seller offers to drive sales. For instance, if a consumer returned the $50 item they purchased with a $5 discount, Amazon would deduct the $50 from their account and credit them $5 for the $5 off coupon. In either case, the seller will only lose the $45 that the consumer initially paid rather than the entire $50.
When a customer returns your product (whether it was sold through FBA or FBM), selling fee refunds are referral fees that are credited back to your account. The refund administration charge, which Amazon retains 20% of (up to $5), is used to manage the return.
Customers who bought a gift-wrapped FBM product and obtained a refund for a returned and/or damaged item will be given gift wrap refund as well. This amount will appear as a debit on the Income section of the Summary Transaction Report.
When a customer requests a refund for a product purchased on Amazon, the platform charges a fee to process the refund. The fee is either $5.00 or 20% of the refunded amount, whichever is lower. This fee is taken out of the seller's Amazon account balance or charged to their credit card if the account balance is insufficient to cover it.
Refunds unit is a metric that calculates the number of refunds per unit sold. It is an important metric to track as it can indicate customer satisfaction with your products. A high refund rate may indicate a problem with your product or pricing.
Return rate is a metric that calculates the number of returns per unit sold. This is an important metric to track as it can indicate customer satisfaction with your products. A high return rate may indicate a problem with your product or pricing. The formula is calculated as:
Refund Rate = (Return Units/Total Unit sold)*100%
Shipping charges refer to the cost of shipping a product to a customer. This cost can vary depending on the weight and size of the product, as well as the shipping location.
Refund Sales show the total amount in the selected currency for customer issued a return to the seller. Gift Wrap Charges refer to the amount charged to the buyer on products where the seller offers a gift wrap option. For items that have been fulfilled with gift wrapping, the seller will receive the amount as income.
Gift wrap charges can be found on the Payment Reports in Seller Central under “Gift Wrap Credits"
Net Revenue measures the amount of sales that a company generated after all expenses related to refunds, promotional rebates, shipping charges and have been subtracted from revenue. The formula is calculated as:
Net Revenue = Product Sales + Shipping Charges + Gift Wrap Charge - Promotional Rebate - Total Refunds
Reimbursement refers to the process of receiving payment back from Amazon for any lost, damaged, or stolen items for FBA products. As a seller, it is important to track and monitor your reimbursement requests in order to ensure that you are getting the money for any damages. There maybe multiple different reasons where the seller gets a Reimbursement from Amazon such as:
A: No. Reimbursements are not included in Net Revenue calculation as per accounting standards, revenue should only be recorded for revenue generating operations like the sale of a product.
CoGS is the product cost and shipping cost incurred to produce the product and ship it from production center to fulfillment center. The formula is calculated as:
CoGS = (Product Cost + Shipping Cost) * Total Sales Units
PPC Spend refers to the amount of money that you are paying to Amazon on your ads.
Referral Fee is a commission paid to Amazon for each item sold on their platform, which is typically a flat percentage, usually 15% or less. These fees are not paid upfront, but rather taken out of your Amazon account after the sale has been made.
SellerFusion takes the referral fee charged by Amazon for a product order from the transaction report and uses the order id in the report to map the referral fee to the day the order was placed. This means that it takes the referral fee that was charged for the sale and associates it with the specific day that the product was ordered. This can be helpful for sellers to track their referral fee expenses and make sure that they are accurate and up-to-date. However, till the transaction is pending, SellerFusion takes pending charges of approx 15% referral fee into account.
For example, let's say that a seller sells a product on Amazon for $100 on 12th Jan 2023 but the transaction is completed on 15th Jan 2023 with the assumption of referral fee being approx 15%.
Note.: Similar logic is used for Fulfillment fee and Storage Fee
Here is the list of Amazon’s referral fees
FBA Fees describe all the expenses incurred at Amazon fulfillment center. It usually includes Fulfillment Fee and Storage Fee at FBA. The formula is calculated as:
FBA Fees = Fulfillment Fee + Storage Fee
Fulfillment fee is a fee charged by Amazon for fulfilling orders on behalf of the seller. This includes the cost of storing, packing, and shipping the product to the customer. As a seller, it is important to understand the fulfillment fees associated with products in order to properly price them and maximize profits.
Here is the list of Amazon’s fulfillment fees
A: Businesses can outsource their order fulfillment to Amazon through the Fulfillment by Amazon (FBA) program. Merchants deliver their goods to Amazon fulfillment centers, where Amazon chooses, packs, and ships orders when customers make purchases.
Amazon charges storage fees for maintaining inventory in their fulfillment centers. These fees are called FBA storage fees and are divided into two categories: monthly and long-term storage fees.
Monthly storage fees are charged at the end of each month for inventory that is stored in Amazon's warehouses. The fee is either taken out of the seller's account balance or charged to their credit card if there are insufficient funds to cover the fee.
A: Businesses can outsource their order fulfillment to Amazon through the Fulfillment by Amazon (FBA) program. Merchants deliver their goods to Amazon fulfillment centers, where Amazon chooses, packs, and ships orders when customers make purchases.
Here is the list of Monthly Storage Fee
Long-term storage fees, now known as aged inventory surcharge, are charged when products have been in the fulfillment center for 181 days or more. This fee is also charged on the same date each month and is deducted from the seller's account balance or credit card.
Here is the list of Long Term Storage Fee
For more info., the seller can visit Amazon Transaction Report, Monthly Storage Fee Report, and Long term Storage Fee Report.
Profit is the amount of money a seller's account/product makes after all of your expenses have been subtracted from your revenue. It sums up Net Revenue and Reimbursement, then subtracts Cost & Fees. In Net Revenue, we don’t include Reimbursement because it is not generated by your sales. The formula is calculated as:
Net Revenue（Product Sales + Shipping Charges + Gift Wrap Charge - Promotional Rebate - Total Refunds ）
- Cost & Fees （CoGS + PPC Spend + Fulfillment Fee + Referral Fee + Storage Fee）
Profit margin is the percentage of profit you make from your sales. It is calculated by dividing your profit by your net revenue, NOT gross revenue. The formula is calculated as:
Profit Margin % = (Profit/Net Revenue )*100%
Q: Why is profit margin important?
A: In addition to profit, it is important for companies to keep an eye on the profit margin. While profit is measured in dollars, profit margin is measured in percentages or ratios, which provides a more realistic view. Profit margin is a key to understand how much profit your account is making based on the sales.
Average Order Value measures the average amount of money generated per order. For example, if we had 100 orders with a total revenue of $5,000, the average order value would be $50. The formula is calculated as:
AOV = Total Sales/Total Orders
Average Sales per Order Item also called Average Selling Price measures the average revenue of items sold per order. The formula is calculated as:
Average Sales per Order Item = Total Sales /Total Units
Average Units per Order Item
Sessions track the number of times a user visits Amazon's site within a 24-hour period. This means that when a customer goes to Amazon, while they may visit dozens of pages, they have only racked up one session. Because of this, the number of sessions showing in your reports can be lower than page views.
Percentage of sessions is the ratio of sessions that contain at least one page view for a particular SKU/ASIN relative to the total number of sessions for all products. This metric tells you how many customers actually viewed a product page.
Source: Amazon Session Percentage Total
*note that it’s a relative measure per seller. It might only make sense when you’re comparing it with other ASINs sold by the same seller.
(represents the session share for a particular ASIN out of total sessions for that seller)
Unit Session Percentage is the number of units ordered divided by the number of unique sessions users store/product page has tallied up. So let's say 50 customers visited user's store, and in that time 5 units have been purchased. Then your unit session percentage would be 5 divided by 50, or 10%. The formula is calculated as:
Unit Session % = Total Units/Total number of sessions
Page views show the number of visits that user's Amazon store gets. Amazon considers each page of your store separately. So if a customer views more than a single page, it will be regarded as individual page views.
For example, if we invested $10 in new product development costs and earned $15 in revenue, our ROI would be 50%. The formula is calculated as:
ROI = Profit/COGS
PPC (pay-per-click) is a term that Amazon uses for the sellers to promote their products. It allows sellers to pay an advertising fee when a potential customer clicks on the ads. PPC Metrics are one of the key groups of metrics helping sellers decide on their campaign strategy and understand how their current campaigns have performed, which get accurately updated from Amazon in 36 - 48 hours.
PPC Sales is the total amount of product sales generated by ad clicks. For example, if you sold 100 products at $10 each from ad clicks, your PPC sales would be $1000.
PPC Sales % is the ratio of ad sales to total sales for you to understand how important your ads are. The formula is calculated as:
PPC Sales % = (PPC Sales/Total Sales) * 100%
PPC Orders is the number of distinct orders of product/account received from ad clicks. This is usually less than Units, for example, 100 units can be placed under 90 orders from ads, within some orders having multiple units.
Units is the number of product units that have been sold from ad clicks. For example, if you sold 100 units from ads, you would know that you have sold 100 products.
PPC Spend refers to the amount of money that you are paying to Amazon on your ads. This is an important metric to track as it can greatly impact your profitability and should be considered when setting your product prices.
Ad Profit refers to the amount of money that you have made after PPC Spend is deducted. The formula is calculated as:
Ad Profit = PPC Sales - PPC Spend
Daily Budget refers to the maximum amount of money that you plan to pay to Amazon on your ads. When your PPC spend reaches the budget, Amazon will stop showing your ads on their pages. This is set up by you when creating an ad campaign.
Clicks is the backbone of PPC. The term "Pay-Per-Click" itself suggests that every time a customer clicks on an ad, sellers are charged a small fee to Amazon. Clicks is the foundation for what sellers should be analyzing in PPC.
Impressions refers to the number of times that ad is viewed by shoppers. Unlike clicks, sellers do not pay for impressions in Amazon's Pay-Per-Click system. Tracking impressions is crucial as they serve as an indicator of the effectiveness of ad campaigns. Without impressions, sellers won't get clicks or sales
ACoS is a crucial performance metric that is commonly discussed in Amazon seller communities. It represents the cost of ads, calculated by the ratio of ad spend to total sales. The formula to calculate ACoS is:
ACoS = (Total PPC Spend/ Total PPC Sales)*100%
It is an important metric to track as it helps sellers to understand the return on investment (ROI) of ads. A lower ACoS indicates that ads are generating more sales while keeping costs low.
RoAS is to measure the return on your ad spend. The formula is the inverse of the ACoS formula:
RoAS = (Total PPC Sales/Total PPC Spend)
TACoS is the ad cost of total product sales. The formula for TACoS is very similar to the ACoS formula but calculated by total sales:
TACoS = (Total PPC Spend/ Total Sales)*100%
Cost-Per-Click (CPC) is a metric that represents the amount sellers pay for every click on ads. Amazon calculates CPC for sellers, for example, if sellers run an Automatic Campaign, Amazon will gather CPC data over the period of the campaign. The CPCs depend on the product category and competition. The formula is calculated as:
CPC = PPC Spend/Clicks
Clickthrough rate (CTR) is to measure the number of clicks from impressions, The formula is calculated as:
CTR = (Clicks/Impressions)*100%
CTR is an important metric to track and analyze as it reflects the effectiveness of ads. A high CTR indicates that the ad was relevant and compelling enough to drive clicks.
Conversion rate (CVR) is to measure how many clicks are converted into orders. The formula is calculated as:
CVR = (Total Orders / Total Clicks)*100%
CVR is another important metric to track and analyze as it reflects the effectiveness of ads. A high CVR indicates that the ad was relevant and compelling enough to drive sales.
Sales per Click (SPC) is to measure how many clicks are converted into sales. The formula is calculated as:
SPC = (Total PPC Sales/ Total Clicks)*100%
Q: What are the types of your Amazon PPC campaigns?
A: Amazon has 4 types of ad campaigns: Sponsored Products(SP), Sponsored Display(SD), Sponsored Brands (SB), and Sponsored Brand Videos (SBV). SellerFusion uses the short forms somewhere in case of limited spaces.
Q: How do I create and manage my campaigns?
A: Once you are logged into Amazon Seller Central, go to ‘Advertising’ on the drop down menu in the top left corner, and then click ‘Campaign Manager’. Most of the metrics can be found there and you can also manage your ads at this portal.
Inventory metrics are typically tracked per SKU (Stock Keeping Unit) level. All the below metrics are instantaneous or current basis, based on the last time the report was fetched from Seller Central. Currently, inventory data gets fetched every 6 hours.
Size tier refers to the size and weight of a product. Amazon assigns different size tiers to products based on their dimensions and weight. This can affect the storage and fulfillment fees associated with the product. As a seller, it is important to understand the size tier of your products in order to properly price them and maximize profits.
The size tier is listed as below
Fulfillable/Available inventory refers to the number of products available for sale, that can be picked, packed and shipped. This is an important metric to track as it can indicate the stock availability and help you make informed decisions about inventory management.
Inbound displays the quantity of that product in assigned to shipping plans, in transit to fulfillment centers, or being processed at the fulfillment center.
Inbound working refers to the process of receiving new products into your inventory. This can include receiving products from suppliers, or transferring products from one warehouse to another. As a seller, it is important to track and monitor your inbound working in order to ensure that your products are being received and stored efficiently.
Inbound Shipped calculates the number of products that have been shipped but not yet received. It shows the number of units you have notified Amazon about and have provided a tracking number.
Inbound Receiving calculates the number of products that are currently in the process of being received. The number of units that have not yet been received at an Amazon fulfillment center for processing, but are part of an inbound shipment with some units that have already been received and processed.
Reserved Quantity includes Pending Customer Orders, FC Transfer and FC Processing quantities.
Pending Customer Order refers to the number of units reserved for customer orders.
FC Transfer refers to the process of moving products from one fulfillment center to another. As a seller. it is important to track and monitor your transfers in order to ensure that your products are being stored and shipped efficiently.
FC Processing refers to the units that have been sidelined at the fulfillment center for additional processing.
Unfuillable Quantity refers to the total number of units in Amazon's fulfillment network in unsellable condition.
The types of unfulfillable quantity is listed as below:
Researching Quantity refers to the number of misplaced or warehouse damaged units that are actively being confirmed at our fulfillment centers.
Days of Inventory (DOI)
DOI is a metric that calculates estimated number of days that a product stays in fulfillment center before it is sold. We use Sales in the last 30 days to estimate it, the formula is calculated as:
DOI = (Fulfillable Inventory + FC Transfer +Total Inbound)/Sales Units in last 30 days * 30
Inventory Ages (Days)
Inventory ages (days) is a metric that calculates the number of days that a product has been in inventory.
Inventory age units = Fulfillable + Reserved - Pending Removal Units.
Inventory Age is captured daily whereas Fulfillable units are captured in real time. Hence, there might be a temporary mismatch between the two due to different data sync frequency.
This is an important metric to track as it can indicate how long your products have been in stock and help you make informed decisions about inventory management.
Estimated Excess Units
Estimated excess are units for which we forecast that it will likely cost you more to keep in stock and pay storage costs than to reduce by advertising, liquidating, or removing.This is an important metric to track as it can indicate potential inventory problems and help you make informed decisions about inventory management.
180-365 - Estimated long-term storage fee
The estimated long-term storage fee for products that have been in the inventory for 180-365 days if they kept unsold after 365 days.
365+ days - Estimated long-term storage fee
The estimated long-term storage fee for products that have been in the inventory for over 365 days at next charge.
Total - Estimated long-term storage fee
The estimated number of units that will be subject to long-term storage fees (if applicable) on your next charge date, assuming no further sales. It includes estimated long-term storage fee for the units under 180-365 days and the long term storage fee for the units over 365 days at next charge.
The Long-Term Storage Fee is assessed based on the total volume in cubic feet of units that have been stored in Amazon fulfillment centers for at least 365 days. The long-term storage fee per unit is $6.90.
Per SKU amounts are calculated as:
Long-term storage fee = (365+ units) x (per-unit-volume in cubic feet of each inventory unit) x $6.90 (charge applicable beginning with August 15, 2015, fee assessment).
Total Estimated long-term storage fee = (estimated 180-365 units fee) + (365+ units fee at next charge)
Q: Does SellerFusion has 3PL warehouse inventory data?
A: Unfortunately, now we are unable to get 3PL warehouse inventory data integrated. However, you can use Warehouse Feature to manually create your own warehouse and manage inventory there via shipments. We will be working on 3PL data integration along with the warehouse feature improvements.
Amazon Inventory: The FBA Inventory API lets you programmatically retrieve information about inventory in Amazon's fulfillment network. Get FBA Inventory Reports data for the listing, condition, disposition, and quantity to help with day-to-day inventory management and snapshot.
Amazon Fulfillment: To have comprehensive, product-level detail on inbound shipments, shipped FBA orders, quantity, tracking, and shipping with FBA Fulfillment Reports and Inbound Fulfillment API.
Amazon Long-term Storage Fee: This report includes product details, quantity, per-unit volume and the total amount for each SKU to which the long-term storage fee was applied. See the Long-Term Storage Charges report.