Gross Merchandise Value (GMV)
What is Gross Merchandise Value (GMV)?
Gross Merchandise Value (GMV) is the total dollar value of goods or services sold through a platform over a specific period. While not revenue itself, it is a vital metric for marketplaces and payment platforms that take a percentage fee of each transaction.
Why It Matters
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It reflects the overall scale and economic activity happening within a platform’s ecosystem.
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GMV is often used to calculate take rates and understand the platform’s market share.
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It helps businesses forecast their own revenue based on transaction volume trends.
