Customer Metrics

Overview

Customer metrics help you understand who is buying from your TikTok Shop, how much they spend, and whether they come back. These metrics are found on the Customers, Purchase Journey, and Cohort Retention pages. They give you insights beyond individual transactions -- showing patterns in customer behavior and lifetime value.

Metrics

LTV (Lifetime Value)

• What it shows: The total revenue generated by a customer across all their orders over their entire history with your shop.
• Formula: Total Revenue from Customer (all orders, all time)
• Where you see it: Customers page, Purchase Journey
• Important notes: LTV is calculated per customer based on all completed orders. Higher LTV indicates more valuable customers. Use this metric to identify your most profitable customer relationships and to evaluate whether your acquisition costs are justified by long-term value.

AOV (Average Order Value)

• What it shows: The average dollar amount per order across your customers or a specific customer segment.
• Formula: Total Revenue / Number of Orders
• Where you see it: Customers page, Dashboard
• Important notes: AOV helps you understand purchasing patterns. A rising AOV may indicate successful upselling or bundling strategies. AOV is calculated on completed orders only -- cancelled orders are excluded.

Customer Segments

• What it shows: Customers grouped into categories based on their order history and spending patterns.
• Segments:
  • VIP: High-value customers with significant order history or spend
  • Regular: Returning customers with moderate activity
  • New: Customers with their first order in the selected period
• Where you see it: Customers page
• Important notes: Segment definitions are based on order count and total spend thresholds. These segments help you prioritize engagement efforts -- for example, ensuring VIP customers receive excellent service, or creating targeted offers for New customers to drive repeat purchases.

Retention Rate

• What it shows: The percentage of customers who return to place additional orders in subsequent time periods.
• Formula: (Customers Who Ordered Again in Period N / Customers in Original Cohort) x 100
• Where you see it: Cohort Retention page
• Important notes: Retention is measured by comparing a cohort of customers (grouped by their first purchase date) against subsequent periods. A 30% month-2 retention rate means 30% of customers who first bought in month 1 placed another order in month 2. Higher retention means stronger customer loyalty and more predictable revenue.

Cohort Analysis

• What it shows: Customer behavior grouped by the month (or week) of their first purchase, tracked across subsequent periods.
• Formula: Customers grouped by first purchase date, with order activity tracked period by period
• Where you see it: Cohort Retention page
• Important notes: Cohort analysis reveals trends over time. For example, you can see whether customers acquired in December have better retention than those acquired in January. This helps you evaluate the quality of customer acquisition across different campaigns, seasons, or product launches.

How These Metrics Connect

Customer metrics work together to tell a story about your customer base:

1. AOV tells you how much each transaction is worth
2. LTV extends that view across a customer's entire history
3. Segments help you categorize customers by value and behavior
4. Retention Rate and Cohort Analysis show whether customers come back

Together, they help you answer: "Am I building a sustainable business with loyal customers, or am I constantly acquiring new buyers who never return?"

Common Questions

Why is my LTV lower than expected?

LTV is based on actual order data from TikTok Shop. If your shop is relatively new, customers have not had time to place multiple orders yet. LTV naturally grows as your shop matures and customers return. Also verify that all your order data has been fully imported.

How are customer segments defined?

Segments are based on order frequency and total spend. The exact thresholds may vary based on your shop's data distribution. VIP customers typically represent the top tier in both order count and revenue contribution.

Why does AOV seem different from what I calculate manually?

AOV in Dashboardly is calculated across all completed orders for the selected date range. Make sure you are comparing the same date range and excluding cancelled orders in your manual calculation.

What time periods does cohort analysis use?

Cohort analysis groups customers by the month of their first purchase, then tracks their ordering activity in each subsequent month. On the Cohort Retention page, each row represents a cohort (first purchase month), and each column shows the percentage of that cohort that ordered in a subsequent period.

Can I see individual customer details?

Yes. The Customers page shows individual customer records with their order history, total spend, number of orders, and segment classification. You can click into individual customers to see their complete order timeline on the Purchase Journey page.