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What is Revenue?

Revenue is the amount of money a company generates from selling products or services within the scope of their primary business operations. For your ecommerce site, it is the total amount of money you make from selling your products. Increased revenue is the ultimate goal of ecommerce and retail companies in general.

How to calculate Revenue

The simplest formula for Revenue is average price of goods sold x the amount of goods sold. Peel’s automated tools calculate accurate revenue for you, to give you both an overall look at how your business is performing and more granular views of your cohorts revenue data. These can be helpful tools for identifying areas where you need to improve based on which products and which customer types are bringing in the most revenue and adjusting your marketing emphasis accordingly.