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- Here are some KPI formulas that businesses can use12:
- Revenue: The total amount of money earned by a business over a given period of time.
- Gross Profit: The difference between revenue and the cost of goods sold.
- Net Profit Margin: The percentage of revenue that remains after all expenses have been deducted.
- Conversion Rate: The percentage of visitors to a website who take a desired action.
- Average Order Value: The average amount of money spent by a customer per order.
- Customer Lifetime Value: The total amount of money a customer is expected to spend on a business over their lifetime.
- Return on Investment (ROI): The amount of money gained or lost on an investment relative to the amount of money invested.
- Customer Retention Rate: The percentage of customers who continue to do business with a company over time.
Learn more:✕This summary was generated using AI based on multiple online sources. To view the original source information, use the "Learn more" links.9 KPI Formulas Every Business Should Use in 2023
- 1. Revenue Revenue is the total amount of money earned by a business over a given period of time. ...
- 2. Gross Profit ...
- 3. Net Profit Margin ...
www.lido.app/kpi/kpi-formulas30 Financial Metrics and KPIs to Measure Success in 2023
- Gross Profit Margin: This is an intermediate — but critical — measure of the profitability and efficiency of the company’s core business. ...
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