 ## Calculated Metrics: an easy way to create additional data

By default, the Ecommerce section of Google Analytics provides us with a metric called Average Order Value. This is pretty common and useful when it comes to typical ecommerce platforms, where the “order” (transaction) represents the sum value of many different items that consumers add to the cart and buy.

Most of the times these items are sold at fixed price which doesn’t change based on different conditions. But in the hotel industry this might not be the case.

Caculated Metrics can be found under your Google Analytics View:

### Average Daily Rate (ADR)

Although the revPAR is the most important KPI we use to consider in a Revenue Management perspective, the ADR reflects the result of our pricing strategy.

However, ADR is not a metric Google Analytics makes available by default. And here, as an example, is where Calculated Metrics might be used for.

Simple as that, Calculated Metrics allow us to create a formula by adding, subtracting, dividing or multiplying existing metrics to each other.

ADR is very simply calculated: Revenue / Number of . Specifically, to use metric naming provided by Google Analytics, Total Revenue / Transactions.

In the Google Analytics console, Admin, select Calculated Metrics under View column.

In the Formula field simply enter our formula by using GA variables: {{Revenue}} / {{Quantity}}.

Just be sure that Formatting Type is set to Currency (Decimal).

That’s it. Easy, isn’t it?

### Conversion by Users

By default GA provides us with the Ecommerce Conversion Rate which is, by the way, the most important KPI to assess whether the booking engine is performing well or not. Ecommerce Conversion Rate is calculate by dividing the number of transactions by the number of visitors.

But if you have a lot of repeating customers, it might be interesting to track the sam conversion but by Users rather than Sessions. As a result this calculated metric will return a higher percentage value compared to the regulare Ecommerce CR.

So the formula will simply be: {{Transactions}} / {{Users}}.

### Wrap Up

You can now use these newly created calculated metrics in all your reports. I usually try to have ADR and Conversion by User respectively close to the Average Order Value and the Ecommerce Conversion Rate, this way I can better highlight what regular metrics display compared to the ones I just created.

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