GMV

GMV, which stands for Gross Merchandise Value, refers to the total value of all the merchandise sold on a platform over a specific period. GMV represents the total value of all products sold through the platform, without deducting any fees, taxes, or refunds. So, the price a customer pays for a product, including any taxes, goes into the GMV calculation. GMV is an important metric for eCommerce stores because it shows the overall health and growth of their business. A high GMV means the platform is attracting more customers and selling more products. However, GMV on its own doesn't tell the whole story. A high GMV might be impressive, but if the profit margins for sellers are razor-thin, it might not be a sustainable business model. Note: GMV doesn't represent actual profit.