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Metrics

What is Orders?

Ad Attributed Orders

Purchase events attributed to an ad click within its attribution window, counted per basket rather than per item.

The Formula

CVR = Orders ÷ Clicks

Orders in an advertising report are purchase events credited to an ad click inside that ad type's attribution window. One order can contain several units, and the same shopper can place several orders, so orders are neither items nor customers.

What the column does and does not count

CountedNot counted
Purchases following a click, within the windowPurchases with no ad click before them
Orders for other products in your catalogue bought after the clickPurchases from a competitor's catalogue
Several orders from one shopper, each separatelyUnits inside an order, which are counted separately as units sold

The second row matters more than it looks. Attributed orders include halo purchases, so a campaign's order count can be flattered by products it never advertised. The advertised product report separates the two.

Orders drive conversion rate

CVR = Orders ÷ Clicks

Amazon's advertising conversion rate is built on orders rather than units, which is why a seller of multipacks can show a modest CVR next to strong unit volume.

A hypothetical worked example

The figures are invented. Suppose a keyword takes 200 clicks and produces 10 orders containing 14 units in total. CVR is 5 per cent, average order size is 1.4 units, and if the product sells for 30 pounds the ad revenue is about 420 pounds rather than 300.

Orders are the sample size for every decision

Almost every bid rule is really a question about whether you have enough orders to believe what you are seeing. The thresholds below are our house defaults, not Amazon rules.

  • One order is close to meaningless. Our harvest gate asks for at least two orders on the same SKU before a search term is promoted to its own keyword, because halo orders do not prove the term ranks the advertised product.
  • Zero orders is not the same as a bad keyword. Below roughly ten clicks there is no conversion judgement to make, and our doctrine treats a pause as earned only by proven dead spend, in the region of thirty clicks with no order at all. Below that the bid is wrong, not the keyword.
  • Orders arrive late. A day with spend and no orders is normal until its attribution window has closed.

Always read orders next to units sold and sales. Alone, the count tells you how often you won, not what winning was worth.

Examples

  • 200 clicks producing 10 orders = 5 per cent CVR
  • A search term with two orders on the advertised SKU clearing the harvest gate, where one order would not

Related Terms

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