E-commerce
Last updated: February 17, 2026
Customer Reviews (E-commerce)
Customer Reviews (E-commerce) is product ratings and written feedback from buyers displayed on product pages. Reviews dramatically impact purchase decisions. Products with reviews convert at nearly 4x the rate of products without them. Even negative reviews help because they build trust that the positive ones are real. Actively collect reviews through post-purchase emails and make it easy for customers to leave them.
Definition
Product ratings and written feedback from buyers displayed on product pages. Reviews dramatically impact purchase decisions. Products with reviews convert at nearly 4x the rate of products without them. Even negative reviews help because they build trust that the positive ones are real. Actively collect reviews through post-purchase emails and make it easy for customers to leave them.
Related Terms
More E-commerce Terms
MRR (Monthly Recurring Revenue)
The predictable revenue your business earns every month from active subscriptions. If you have 100 customers paying $50/month, your MRR is $5,000. MRR is the most important metric for subscription businesses because it's predictable and compounds. Tracking MRR growth, churn MRR (lost revenue from cancellations), and expansion MRR (revenue from upgrades) tells you whether your business is healthy.
Shopping Cart Abandonment
When someone adds items to their online cart but leaves without completing the purchase. The average abandonment rate is around 70%, meaning 7 out of 10 people who start buying don't finish. Common causes: unexpected shipping costs, complicated checkout, required account creation, and slow loading. Reducing abandonment by even a few percent can significantly increase revenue without driving any additional traffic.
Average Order Value (AOV)
The average amount a customer spends per order. Calculate it by dividing total revenue by number of orders. If you made $10,000 from 200 orders, your AOV is $50. Increasing AOV is often easier than increasing the number of orders. Strategies include upselling (suggesting a premium version), cross-selling (recommending related products), free shipping thresholds, and bundle deals.
Product Page Optimization
Improving your product pages to increase sales. Good product pages have clear photos from multiple angles, detailed descriptions that address buyer concerns, visible pricing, social proof (reviews and ratings), clear add-to-cart buttons, and shipping information. The product page is where buying decisions happen. Every element should either build confidence or reduce friction.
Checkout Optimization
Reducing friction in the buying process to prevent cart abandonment. Best practices include guest checkout (don't force account creation), minimal form fields, multiple payment options, progress indicators, security badges, and transparent pricing (no surprise fees at the last step). Every additional step in checkout loses customers. The best checkouts are one page with as few fields as possible.