<b>Q: Creators brag about their GMV numbers. Should I be chasing GMV too?</b>
A: No — GMV (gross merchandise value, total sales volume before any costs) is a vanity number when it's your own money on the line. It ignores fees, returns, ad spend, and product cost.
A shop doing $50k GMV on thin-margin product with heavy affiliate rates and a 20% return rate can be losing money. A shop doing $12k GMV on tight margins and low returns can be profitable.
Track these instead:
— Contribution margin per order after all fee layers
— Return / refund rate by product
— Net profit, not gross sales
GMV is useful for one thing: unlocking platform perks and tiers that are gated by sales volume. Chase it deliberately for that, not as a scoreboard.
Also worth knowing: creators quote GMV because they're paid on it, not on your profit. Their incentive and yours aren't the same — price accordingly.
Got a question? Drop it in the comments.
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<b>Q: Creators brag about their GMV numbers. Should I be chasing GMV too?</b>
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