- 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%