Trevor is the owner of Sportelo and is wondering what impact Sportelo's mobile experience is having on revenue. Trevor understands that they can calculate this with the mobile conversion rate (mCvR). Sportelo receives 200,000 clicks with a mCvR of 1%. The average order value is $200. How much revenue does Sportelo's mobile experience create?

This question assesses your ability to calculate total revenue from core conversion metrics. The calculation requires two steps: first, determining the number of conversions, and second, calculating the total revenue based on the average order value.

Analysis of Correct Answer(s)

The correct formula to use is: Revenue = (Total Clicks × Mobile Conversion Rate) × Average Order Value

Follow these steps to find the solution:

• Step 1: Calculate the number of conversions.
• A Mobile Conversion Rate (mCvR) of 1% means that 1 out of every 100 clicks results in a sale.
• Number of Conversions = 200,000 clicks × 1% (or 0.01)

• Number of Conversions = 2,000

• Step 2: Calculate the total revenue.

• The Average Order Value (AOV) is $200 per conversion.
• Total Revenue = Number of Conversions × AOV
• Total Revenue = 2,000 × $200
• Total Revenue = $400,000

By correctly applying the definitions of mCvR and AOV, you can accurately determine the total revenue generated from the mobile experience.