Decision Tool · Ecommerce

What changed revenue?

Decompose the change between two periods into traffic, funnel progression, purchase frequency, and average order value. See not only whether revenue moved, but which parts of the customer journey contributed to the change.

Measurement principle Build the evidence the decision requires.

Inputs

Compare two periods.

Use unique visitors for funnel stages, then total order count and average order value.

Period 1

Visitor Count Visitors Adding To Bag Visitors Viewing Cart Visitors Beginning Checkout Visitors Completing Checkout Order Count Average Order Value

Period 2

Visitor Count Visitors Adding To Bag Visitors Viewing Cart Visitors Beginning Checkout Visitors Completing Checkout Order Count Average Order Value

Period 1 Revenue $0 Orders × AOV

Period 2 Revenue $0 Orders × AOV

Revenue Change $0

Decomposition

LMDI revenue drivers.

Dollar contribution quantifies how much each factor added to or offset the observed revenue change.

Factor	Period 1	Period 2	Relative Change	Dollar Contribution	% of Total Revenue Change

Revenue bridge

How the pieces add up.

Move from Period 1 revenue to Period 2 through the contribution of each driver.

Funnel change

Where progression changed.

Compare customer progression rates to identify where the funnel improved or deteriorated.

Derived metrics

What changed in the funnel.

Metric	Period 1	Period 2	Absolute Change	Relative Change

First read

Revenue story.

Quality check