Data-driven decision-making is key to success in today's competitive eCommerce landscape. Shopify provides merchants with a solid suite of built-in reports, which will be used to monitor performance, obtain customer insights, and manage inventory. The following is an in-depth exploration of essential Shopify reports, categorized under Sales, Marketing, Customer Insights, and Inventory along with actionable ways to utilize these reports to grow the business.

1. Sales Reports

Sales reports are fundamental for tracking revenue, understanding product performance, and identifying trends. Here are the key sales reports every Shopify merchant should use:

1.1 Total Sales Over Time

This report provides a detailed analysis of revenue over a selected time frame, helping you identify peak sales periods and seasonal trends. Merchants can use this data to optimize promotional campaigns.

1.2 Sales by Product

This report breaks down sales by product, highlighting your top sellers. It helps with inventory planning and marketing focus, ensuring you promote the right products.

1.3 Sales by Channel

Analyzes performance across different sales channels such as your online store, point of sale (POS), and third-party platforms. Understanding which channels drive the most sales allows for better resource allocation.

1.4 Sales by Billing Location

This report shows where your customers are located, providing insights into regional demand. Use this information to target high-performing areas with region-specific promotions.

1.5 Average Order Value (AOV)

AOV measures the average amount a customer spends per order. Tracking this metric over time helps you gauge the success of upselling and cross-selling efforts.

2. Marketing Reports

Marketing reports are critical for evaluating the effectiveness of your campaigns and optimizing marketing ROI.

2.1 Traffic Referrals

This report identifies where your store traffic is coming from—whether through organic search, social media, or referral links. It helps you prioritize the most effective marketing channels.

2.2 Sales Attributed to Marketing

This report links revenue directly to marketing campaigns, providing a clear picture of which initiatives are driving conversions.

2.3 Conversion Funnel Analysis

Analyzes the customer journey from visit to purchase, helping you pinpoint drop-off points and improve your funnel.

2.4 Campaign ROI

Evaluates the return on investment (ROI) for specific marketing campaigns, guiding budget allocation.

2.5 Sessions by UTM Campaign

Track sessions based on UTM parameters to measure the performance of specific campaigns, such as email marketing or paid ads.

3. Customer Insight Reports

Understanding your customers is vital for increasing retention and lifetime value. Shopify’s customer reports provide deep insights into behaviour and demographics.

3.1 Customer Lifetime Value (CLV)

CLV estimates the total revenue a customer will generate over their relationship with your business. Knowing your CLV helps in budgeting for customer acquisition.

3.2 First-Time vs. Returning Customers

This report compares the behavior of new versus returning customers, highlighting areas to improve retention.

3.3 Customer Segmentation

Segment customers based on behavior, demographics, and purchase history. Use this data for targeted marketing and personalized offers.

3.4 Customer Retention Rate

Measures the percentage of customers who return to your store within a given period. Improving retention can significantly boost profitability.

3.5 Top-Spending Customers

Identifies high-value customers who generate the most revenue. These VIP customers are ideal for loyalty programs and exclusive offers.

4. Inventory Reports

Inventory management is crucial for ensuring product availability while minimizing holding costs. Shopify’s inventory reports help you balance stock levels effectively.

4.1 Inventory Levels Over Time

Tracks inventory levels to prevent overstocking or stockouts, ensuring you meet demand without tying up too much capital.

4.2 Sell-Through Rate

Measures the percentage of inventory sold during a period. A high sell-through rate indicates strong demand, while a low rate suggests slow-moving products.

4.3 Days of Inventory Remaining

Calculates how long current stock will last based on sales velocity. This metric helps in planning reorders.

4.4 Stockout Report

Identifies products that are frequently out of stock, helping you address supply chain issues and avoid lost sales.

4.5 Product Restock Alerts

Set automated alerts for low-stock items to ensure timely reordering and avoid missed sales opportunities.

5. Retail Reports

For merchants with physical stores, retail reports offer insights into in-person sales performance.

5.1 Retail Sales by Location

Compares sales across different store locations to identify top-performing areas and stores that may need additional support.

5.2 Sales by Staff Member

Evaluates the sales performance of individual staff members. Use this report for staff training and performance-based incentives.

5.3 Units Per Transaction (UPT)

Measures the average number of items sold per transaction. A higher UPT indicates successful upselling efforts.

5.4 In-Store Traffic Analysis

Tracks foot traffic in physical stores, helping you assess the impact of promotions and optimize store layouts.

5.5 Point-of-Sale (POS) Transactions

Analyzes POS transactions to understand in-store purchase patterns and customer preferences.

6. Acquisition Reports

Acquisition reports are critical for tracking new customer growth, understanding acquisition costs, and optimizing referral channels.

6.1 New Customer Acquisition

Tracks the number of new customers acquired within a specific period. Use this report to measure the effectiveness of your acquisition campaigns.

6.2 Customer Acquisition Cost (CAC)

Calculates the average cost of acquiring a new customer, essential for evaluating marketing ROI.

6.3 Referral Traffic by Source

Breaks down referral traffic by source, helping identify high-performing referral channels.

6.4 Paid vs. Organic Traffic

Compares the performance of paid traffic channels against organic sources, guiding budget allocation.

6.5 Customer Growth Rate

Measures the rate at which new customers are joining your store, indicating overall store growth.

7. Profit Reports

Profit reports are essential for tracking the financial health of your business. These reports help you understand where your profitability stands and how to improve it.

7.1 Profit by Product

Tracks the profit margin for each product, helping merchants identify high-margin products to prioritize.

7.2 Profit by Order

Calculates profit for each order by subtracting the cost of goods sold (COGS) from revenue, providing insights into order-level profitability.

7.3 Profit by Channel

Breaks down profit by sales channel, helping merchants identify the most profitable platforms.

7.4 Net Profit Over Time

Shows net profit over a selected period, helping merchants track overall business profitability.

7.5 Gross Profit Margin

Calculates the gross profit margin, which is a key metric for assessing overall business health.