E-Commerce Glossary

A comprehensive glossary of e-commerce terms every Amazon, Etsy, Shopify, and TikTok Shop seller should know. Click any term to read a detailed explanation, learn how it relates to online selling, and discover how SellerBowl can help.

ACoS

Advertising Cost of Sales — the ratio of ad spend to ad revenue, measuring PPC campaign efficiency on Amazon.

Arbitrage

Buying products at a lower price from one source and reselling them at a higher price on another marketplace.

ASIN

Amazon Standard Identification Number — a unique 10-character alphanumeric code assigned to every product on Amazon.

BSR

Best Sellers Rank — Amazon ranking that indicates how well a product sells relative to others in its category.

Buy Box

The prominent "Add to Cart" section on an Amazon product page — winning it means your offer is the default purchase option.

COGS

Cost of Goods Sold — the direct costs of producing or purchasing the products a business sells.

Conversion Rate

The percentage of visitors who complete a desired action, such as making a purchase after viewing a product listing.

Dropshipping

A fulfillment model where sellers list products without holding inventory — orders are shipped directly from the supplier.

EAN

European Article Number — a 13-digit barcode standard used internationally to identify products.

FBA

Fulfillment by Amazon — a service where Amazon stores, packs, and ships products on behalf of sellers.

FBM

Fulfillment by Merchant — when sellers handle storage, packing, and shipping themselves instead of using Amazon FBA.

Keyword Ranking

The position at which a product appears in marketplace search results for a specific keyword or search term.

POD (Print on Demand)

Print on Demand — a business model where products are printed and shipped only after a customer places an order.

PPC

Pay-Per-Click — an advertising model where sellers pay a fee each time their ad is clicked.

Private Label

A business model where sellers create their own branded products, typically manufactured by third-party suppliers.

ROI

Return on Investment — a measure of profitability calculated as net profit divided by total investment cost.

SEO

Search Engine Optimization — the practice of optimizing product listings and content to rank higher in search results.

SKU

Stock Keeping Unit — a unique identifier assigned by sellers to track individual products and inventory.

UPC

Universal Product Code — a 12-digit barcode used to identify products in retail and e-commerce.

Wholesale

A business model where sellers buy branded products in bulk from distributors and resell them on marketplaces.