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GMV Calculation Tool


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What is GMV?

GMV stands for “Gross Merchandise Volume,” a metric used to measure the total value of goods sold through a marketplace or online retail platform. It’s calculated by multiplying the number of items sold by their respective prices, excluding shipping, handling, and other related costs.

GMV is an important metric for online marketplaces and retail platforms as it provides insights into the sales volume and the business’s overall health. A higher GMV can indicate strong demand for the products or services offered, while a lower GMV may indicate that the platform needs to improve its product offerings or marketing strategies.

How to calculate GMV?

To calculate GMV, multiply the number of items sold by their respective prices. Here’s an example:

Let’s say a company sells 1,000 products at $100 each.

The GMV for that company would be: GMV = 1,000 x $100 = $100,000

This means that the gross merchandise volume for the company is $100,000.

It’s important to track GMV over time and compare it to industry benchmarks to get a clear picture of the company’s performance and identify areas for improvement. GMV can also be segmented by product category, geographic location, or customer demographic to better understand the company’s target audience and identify potential growth opportunities.