E-commerce Industry Abbreviations

2025-12-30 01:32:38

Below are some common abbreviations used in the e-commerce industry. We have grouped and categorized these terms for easier understanding. You do not need to memorize them deliberately at this stage. A basic familiarity is sufficient—as you gain more experience in the industry, you will naturally become more comfortable with these terms over time.

Website Traffic & User Metrics

  • UV (Unique Visitor): The number of distinct users visiting a website within a given time period, usually identified via browser cookies and counted once per 24 hours.

  • PV (Page View): The total number of pages viewed on a website, including repeated views by the same user.

  • Unique IP Count: The number of distinct IP addresses accessing a website within one day, regardless of how many pages are visited.

  • Bounce Rate: The percentage of visitors who leave a website after viewing only one page.

Product & Inventory Structure

  • DTC (Direct to Consumer): A business model where brands sell products directly to consumers without intermediaries such as distributors or marketplaces.

  • Listing: A product detail page displaying images, descriptions, pricing, and purchase options.

  • SKU (Stock Keeping Unit): The smallest inventory unit for stock management, usually defined by attributes like size or color.

  • SPU (Standard Product Unit): A standardized product grouping that includes multiple SKUs with shared attributes.

Sales & Revenue Metrics

  • GMV (Gross Merchandise Volume): The total value of all orders placed within a specific period, including paid and unpaid orders.

  • AOV (Average Order Value): The average revenue per order, calculated as total revenue divided by total orders.

  • LTV (Lifetime Value): The total revenue a customer generates over their entire relationship with a business.

  • ARPU (Average Revenue Per User): The average revenue generated per user over a given period.

  • Repeat Purchase Rate: The percentage of customers who make more than one purchase within a defined period.

  • Product Sell-Through Rate: The percentage of products that have recorded at least one sale relative to total available products.

Conversion & Funnel Metrics

  • CVR (Conversion Rate): The percentage of visitors who complete a desired action, such as placing an order.

  • Conversion Path: The sequence of steps a user takes from entering a website to completing a conversion.

  • Add-to-Cart Rate: The percentage of visitors who add products to their shopping cart.

  • Add-to-Cart Conversion Rate: The percentage of users who complete a purchase after adding items to the cart.

  • CTA (Call to Action): A prompt designed to encourage immediate action, such as “Buy Now” or “Sign Up”.

Customer Acquisition & CRM

  • CAC (Customer Acquisition Cost): The total marketing and sales cost required to acquire one new customer.

  • CPL (Cost Per Lead): The cost incurred to generate one qualified sales lead.

  • CRM (Customer Relationship Management): Systems and strategies used to manage customer interactions and improve retention and revenue.

Testing & Optimization

  • A/B Test: A controlled experiment comparing two variants to determine which performs better based on defined metrics.

Website Infrastructure & Domain

  • URL (Uniform Resource Locator): The web address used to locate a specific website or webpage.

  • IP Address (Internet Protocol Address): A numerical identifier assigned to each device connected to the internet.

  • Whois: A public database used to check domain registration and ownership information.

  • Domain Name: A human-readable website address mapped to an IP address for branding and accessibility.

Payment, Settlement & Risk Control

  • Merchant Acquiring: The process by which financial institutions process and settle card payments for merchants.

  • Cross-Border Payment Collection: Receiving funds from international customers via third-party payment providers.

  • Foreign Exchange Settlement: Converting foreign currency into local currency in compliance with regulations.

  • International Credit Cards: Global card networks such as Visa, MasterCard, and American Express.

  • Local Payment Methods: Region-specific options such as bank transfers and digital wallets.

  • BNPL (Buy Now, Pay Later): A payment method allowing installment or deferred payments.

  • Payment Success Rate: The percentage of successful payment attempts out of total attempts.

  • Risk Control: Systems and processes used to detect and prevent fraudulent transactions.

  • Chargeback: A transaction reversal initiated by the cardholder through the issuing bank.

  • Chargeback Dispute: The process by which merchants submit evidence to contest a chargeback.

Advertising & Traffic Acquisition

  • ROI (Return on Investment): A metric comparing net profit to total investment.

  • ROAS (Return on Ad Spend): Revenue generated for each unit of advertising spend.

  • Reach: The number of unique users exposed to an advertisement.

  • Impression: The total number of times an advertisement is displayed.

  • CTR (Click Through Rate): The percentage of impressions that result in clicks.

  • CPM (Cost Per Mille): The cost of displaying an ad to 1,000 users.

  • CPC (Cost Per Click): The cost incurred for each ad click.

  • CPA (Cost Per Action): The cost required to achieve a specific conversion action.

  • SEO (Search Engine Optimization): Techniques used to improve organic search visibility.

  • SEM (Search Engine Marketing): Paid and organic strategies to increase search engine visibility.

  • Bots: Automated non-human traffic that can distort analytics and ad performance.

Amazon Seller, Fulfillment & Compliance

  • ASIN (Amazon Standard Identification Number): A unique identifier assigned to each Amazon product listing.

  • FBA (Fulfilled by Amazon): A service where Amazon handles storage, shipping, and customer service.

  • FBM (Fulfilled by Merchant): A fulfillment method where sellers manage inventory and shipping themselves.

  • FNSKU (Fulfillment Network Stock Keeping Unit): A barcode used to track FBA inventory ownership.

  • IPI (Inventory Performance Index): A metric evaluating inventory health and operational efficiency.

  • ODR (Order Defect Rate): The percentage of orders with defects such as negative feedback or chargebacks.

  • VTR (Valid Tracking Rate): The percentage of shipments with valid tracking numbers.

  • SIV (Seller Identity Verification): Amazon’s mandatory seller identity verification process.

  • EPR (Extended Product Responsibility): Regulations requiring producers to manage product lifecycle responsibility.

  • GPSR (General Product Safety Regulation): EU regulations governing consumer product safety.

  • ACOS (Advertising Cost of Sale): Advertising spend as a percentage of attributed sales.

  • BSR (Best Sellers Rank): A ranking reflecting product sales performance within a category.

  • Prime Day: Amazon’s annual Prime-exclusive global shopping event.

  • Lightning Deal: A limited-time promotional deal with high exposure and discounted pricing.