What is Number of Transactions, and how do you calculate it?
In short – Total number of transactions completed on the marketplace. A key marketplace metrics you should track.
Number of Transactions Formula
Number of Transactions = Count of All Completed Transactions during the period
Number of Transactions reflects the activity level and can indicate growth in marketplace usage.
Tracking this metric helps in understanding sales volume and operational capacity requirements. This metric helps businesses understand key operational efficiencies, areas for improvement, and strategic opportunities to drive growth and user engagement. This metric provides deep insights into business performance, helping to identify trends, optimize strategies, and improve overall marketplace efficiency.
How can you find your Number of Transactions?
You should generally be able to calculate your Number of Transactions with tools you already posess. If that's not the case, signing up for an analytics tool may make sense.
Among others, twosided is one of the tools you could consider. Out-of-the-box, you'll get over two dozens marketplace KPIs and detailed tracking for your supply, demand and other factors that determine marketplace health.
Explore other metrics
Net Promoter Score (NPS)
A measure of customer loyalty and satisfaction based on user feedback.
Average Order Value (AOV)
The average value of orders placed on the platform.
Supplier Lifetime Value (SLV)
The projected revenue generated by a supplier over their tenure on the platform.
Repeat Purchase Ratio
The proportion of customers who make repeat purchases over a given period.
Customer Lifetime Value (CLV)
The projected revenue a customer will generate during their relationship with the business.