What is Gross merchandise Value (GMV)

• Used in e- commerce industry.

• Definition: Total value merchandise sold over a given period of time through customer to customer site

• GMV = sale price charged per item X number of items sold

Positive side: 

Illustration: A customer buy a product from market place like snap deal at Rs 100 and then GMV is Rs 100

Illustration : If a customer purchases the rs 100 product from jabong with 30 % discount  then GMV is Rs 100 - Rs 30 = Rs 70

Illustration : If a customer buys 4 shirts from Myntra each costing Rs 500. Then GMV is Rs 500*4

= rs 2000.

Illustration: If 1000 customers buys Average rs 500 worth of products from shopclues in 2016 then total GMV is 1000*500= Rs 500000

Negative side:

Illustration: If a customer purchses the product of Rs 500 from Amazon.in and return it on a given day, GMV is still Rs 500. 

• Indian online retail industry GMV is 13, 500 crore in october 2016 (https://yourstory.com/2016/11/flipkart-amazon-snapdeal-gmv/)
• Flipkart 200 crore GMV, 
• Categories: Mobile 55% GMVs white goods 10%  and others 35%
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