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Average Order Value: Definition and 5 Ways To Grow It (2024) - Shopify Australia

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Store themes"><div class="text-base font-medium"><span class="inline-block arrow-animation">Customize your store<span class="sr-only">.</span></span></div><div class="text-sm text-shade-70 group-hover:text-black">Store themes</div></a></li><li class="flex mb-6 pr-4"><a class="group inline-block w-full text-black hover:text-black" href="https://apps.shopify.com/" aria-label="External source: Find business apps . Shopify app store"><div class="text-base font-medium"><span class="inline-block arrow-animation">Find business apps<span class="sr-only">.</span></span></div><div class="text-sm text-shade-70 group-hover:text-black">Shopify app store</div></a></li><li class="flex mb-6 pr-4"><a class="group inline-block w-full text-black hover:text-black" href="/au/domains"><div class="text-base font-medium"><span class="inline-block arrow-animation">Own your site domain<span class="sr-only">.</span></span></div><div class="text-sm text-shade-70 group-hover:text-black">Domains &amp; hosting</div></a></li><li class="flex mb-6 pr-4"><a class="group inline-block w-full text-black hover:text-black" href="/au/tools"><div class="text-base font-medium"><span class="inline-block arrow-animation">Explore free business tools<span class="sr-only">.</span></span></div><div class="text-sm text-shade-70 group-hover:text-black">Tools to run your business</div></a></li></ul></div><div class="col-span-3 col-start-4 pt-8 -translate-y-[30px]" data-background="white"><div class="flex items-center border-shade-30 mb-6 border-b pb-4 text-lg font-bold"><span aria-hidden="true" class="-ml-2 lg:ml-0 mr-3 md:mr-3 inline-block h-10 w-10"><svg width="40" height="40" fill="none"><g clip-path="url(#white_circle_svg__a)"><path d="M12.75 21.5v4c0 .966 2.35 1.75 5.25 1.75s5.25-.784 5.25-1.75v-4m4-7c0 .966-2.35 1.75-5.25 1.75s-5.25-.784-5.25-1.75m10.5 0c0-.966-2.35-1.75-5.25-1.75s-5.25.784-5.25 1.75m10.5 0v4.25c0 .46-.533.88-1.405 1.192M16.75 14.5V17m6.5 4.25c0 .966-2.35 1.75-5.25 1.75s-5.25-.784-5.25-1.75S15.1 19.5 18 19.5s5.25.784 5.25 1.75Zm16-1.25c0 10.631-8.619 19.25-19.25 19.25S.75 30.631.75 20 9.369.75 20 .75 39.25 9.369 39.25 20Z" stroke="url(#sell_svg__a)" stroke-width="1.5" stroke-linecap="round" stroke-linejoin="round"></path></g></svg></span><span id="subNavItem-Sell" class="font-bold text-t7 inline-block">Sell</span></div><ul class="pb-2" aria-labelledby="subNavItem-Sell"><li class="flex mb-6 pr-4"><a class="group inline-block w-full text-black hover:text-black" href="/au/sell"><div class="text-base font-medium"><span class="inline-block arrow-animation">Sell your products<span class="sr-only">.</span></span></div><div class="text-sm text-shade-70 group-hover:text-black">Sell online or in person</div></a></li><li class="flex mb-6 pr-4"><a class="group inline-block w-full text-black hover:text-black" href="/au/checkout"><div class="text-base font-medium"><span class="inline-block arrow-animation">Check out customers<span class="sr-only">.</span></span></div><div class="text-sm text-shade-70 group-hover:text-black">World-class checkout</div></a></li><li class="flex mb-6 pr-4"><a class="group inline-block w-full text-black hover:text-black" href="/au/online"><div class="text-base font-medium"><span class="inline-block arrow-animation">Sell online<span class="sr-only">.</span></span></div><div class="text-sm text-shade-70 group-hover:text-black">Grow your business online</div></a></li><li class="flex mb-6 pr-4"><a class="group inline-block w-full text-black hover:text-black" href="/au/channels"><div class="text-base font-medium"><span class="inline-block arrow-animation">Sell across channels<span class="sr-only">.</span></span></div><div class="text-sm text-shade-70 group-hover:text-black">Reach millions of shoppers and boost sales</div></a></li><li class="flex mb-6 pr-4"><a class="group inline-block w-full text-black hover:text-black" href="/au/pos"><div class="text-base font-medium"><span class="inline-block arrow-animation">Sell in person<span class="sr-only">.</span></span></div><div class="text-sm text-shade-70 group-hover:text-black">Point of Sale (POS)</div></a></li><li class="flex mb-6 pr-4"><a class="group inline-block w-full text-black hover:text-black" href="/au/markets"><div class="text-base font-medium"><span class="inline-block arrow-animation">Sell globally<span class="sr-only">.</span></span></div><div class="text-sm text-shade-70 group-hover:text-black">International sales</div></a></li><li class="flex mb-6 pr-4"><a class="group inline-block w-full text-black hover:text-black" href="/au/plus/solutions/b2b-ecommerce"><div class="text-base font-medium"><span class="inline-block arrow-animation">Sell wholesale &amp; direct<span class="sr-only">.</span></span></div><div class="text-sm text-shade-70 group-hover:text-black">Business-to-business (B2B)</div></a></li><li class="flex mb-6 pr-4"><a class="group inline-block w-full text-black hover:text-black" href="/au/payments"><div class="text-base font-medium"><span class="inline-block arrow-animation">Accept online payments<span class="sr-only">.</span></span></div><div class="text-sm text-shade-70 group-hover:text-black">Set up forms of payment</div></a></li></ul></div><div class="col-span-3 col-start-7 pt-8 -translate-y-[30px]" data-background="white"><div class="flex items-center border-shade-30 mb-6 border-b pb-4 text-lg font-bold"><span aria-hidden="true" class="-ml-2 lg:ml-0 mr-3 md:mr-3 inline-block h-10 w-10"><svg width="40" height="40" fill="none"><g clip-path="url(#white_circle_svg__a)"><path d="m12.75 19.25 5.5-5.5m1 2.5v-3.5h-3.5m-2 14.5h.5a1 1 0 0 0 1-1v-2.5a1 1 0 0 0-1-1h-.5a1 1 0 0 0-1 1v2.5a1 1 0 0 0 1 1Zm6 0h.5a1 1 0 0 0 1-1v-5.5a1 1 0 0 0-1-1h-.5a1 1 0 0 0-1 1v5.5a1 1 0 0 0 1 1Zm6 0h.5a1 1 0 0 0 1-1v-12.5a1 1 0 0 0-1-1h-.5a1 1 0 0 0-1 1v12.5a1 1 0 0 0 1 1ZM39.25 20c0 10.631-8.619 19.25-19.25 19.25S.75 30.631.75 20 9.369.75 20 .75 39.25 9.369 39.25 20Z" stroke="url(#market_svg__a)" stroke-width="1.5" stroke-linecap="round" stroke-linejoin="round"></path></g></svg></span><span id="subNavItem-Market" class="font-bold text-t7 inline-block">Market</span></div><ul class="pb-2" aria-labelledby="subNavItem-Market"><li class="flex mb-6 pr-4"><a class="group inline-block w-full text-black hover:text-black" href="/au/marketing"><div class="text-base font-medium"><span class="inline-block arrow-animation">Market your business<span class="sr-only">.</span></span></div><div class="text-sm text-shade-70 group-hover:text-black">Reach &amp; retain customers</div></a></li><li class="flex mb-6 pr-4"><a class="group inline-block w-full text-black hover:text-black" href="/au/facebook-instagram"><div class="text-base font-medium"><span class="inline-block arrow-animation">Market across social<span class="sr-only">.</span></span></div><div class="text-sm text-shade-70 group-hover:text-black">Social media integrations</div></a></li><li class="flex mb-6 pr-4"><a class="group inline-block w-full text-black hover:text-black" href="/au/email-marketing"><div class="text-base font-medium"><span class="inline-block arrow-animation">Nurture customers<span class="sr-only">.</span></span></div><div class="text-sm text-shade-70 group-hover:text-black">Shopify Email</div></a></li><li class="flex mb-6 pr-4"><a class="group inline-block w-full text-black hover:text-black" href="/au/segmentation"><div class="text-base font-medium"><span class="inline-block arrow-animation">Know your audience<span class="sr-only">.</span></span></div><div class="text-sm text-shade-70 group-hover:text-black">Gain customer insights</div></a></li></ul></div><div class="col-span-3 col-start-10 pt-8 -translate-y-[30px]" data-background="white"><div class="flex items-center border-shade-30 mb-6 border-b pb-4 text-lg font-bold"><span aria-hidden="true" class="-ml-2 lg:ml-0 mr-3 md:mr-3 inline-block h-10 w-10"><svg width="40" height="40" fill="none"><g clip-path="url(#white_circle_svg__a)"><path d="M12.75 15.75c0 1.243.75 2.5 2.25 2.5s2.5-1.257 2.5-2.5c0 1.243 1 2.5 2.5 2.5s2.5-1.257 2.5-2.5c0 1.243 1 2.5 2.5 2.5s2.25-1.257 2.25-2.5m-12.5 11.5h10.5a2 2 0 0 0 2-2v-9.067a2 2 0 0 0-.179-.827l-.538-1.184A2 2 0 0 0 24.713 13h-9.425a2 2 0 0 0-1.82 1.172l-.538 1.184a2 2 0 0 0-.18.827v9.067a2 2 0 0 0 2 2Zm3-3.5a2 2 0 0 1 2-2h.5a2 2 0 0 1 2 2v3.5h-4.5v-3.5ZM39.25 20c0 10.631-8.619 19.25-19.25 19.25S.75 30.631.75 20 9.369.75 20 .75 39.25 9.369 39.25 20Z" stroke="url(#manage_svg__a)" stroke-width="1.5" stroke-linecap="round"></path></g></svg></span><span id="subNavItem-Manage" class="font-bold text-t7 inline-block">Manage</span></div><ul class="pb-2" aria-labelledby="subNavItem-Manage"><li class="flex mb-6 pr-4"><a class="group inline-block w-full text-black hover:text-black" href="/au/manage"><div class="text-base font-medium"><span class="inline-block arrow-animation">Manage your business<span class="sr-only">.</span></span></div><div class="text-sm text-shade-70 group-hover:text-black">Track sales, orders &amp; analytics</div></a></li><li class="flex mb-6 pr-4"><a class="group inline-block w-full text-black hover:text-black" href="/au/analytics"><div class="text-base font-medium"><span class="inline-block arrow-animation">Measure your performance<span class="sr-only">.</span></span></div><div class="text-sm text-shade-70 group-hover:text-black">Analytics and Reporting</div></a></li><li class="flex mb-6 pr-4"><a class="group inline-block w-full text-black hover:text-black" href="/au/shipping"><div class="text-base font-medium"><span class="inline-block arrow-animation">Ship orders faster<span class="sr-only">.</span></span></div><div class="text-sm text-shade-70 group-hover:text-black">Shopify Shipping</div></a></li><li class="flex mb-6 pr-4"><a class="group inline-block w-full text-black hover:text-black" href="/au/orders"><div class="text-base font-medium"><span class="inline-block arrow-animation">Manage your stock &amp; orders<span class="sr-only">.</span></span></div><div class="text-sm text-shade-70 group-hover:text-black">Inventory &amp; order management</div></a></li><li class="flex mb-6 pr-4"><a class="group inline-block w-full text-black hover:text-black" href="/au/capital"><div class="text-base font-medium"><span class="inline-block arrow-animation">Secure business funding<span class="sr-only">.</span></span></div><div class="text-sm text-shade-70 group-hover:text-black">Shopify Capital</div></a></li></ul></div></div></div><div class="absolute bottom-0 inset-x-0 overflow-hidden z-20"><div class="container grid grid-cols-4 sm:grid-cols-8 md:grid-cols-12 gap-x-gutter gap-y-0"><div class="col-span-12 col-start-1 scheme-white:bg-shade-10 scheme-transparent-light:bg-shade-10 scheme-black:bg-shade-90 scheme-transparent-dark:bg-shade-90 relative after:absolute after:left-full after:top-[-1px] after:w-[100vw] after:h-[calc(100%+1px)] scheme-white:after:bg-shade-10 scheme-transparent-light:after:bg-shade-10 scheme-black:after:bg-shade-90 scheme-transparent-dark:after:bg-shade-90 scheme-black:text-white scheme-transparent-dark:text-white -ml-[var(--margin)] -mt-8 md:mt-0 pl-[var(--margin)] pt-6 before:content-[&#x27;&#x27;] before:absolute before:right-full before:top-[-1px] before:w-[100vw] before:h-[calc(100%+1px)] scheme-white:before:bg-shade-10 scheme-transparent-light:before:bg-shade-10 scheme-black:before:bg-shade-90 scheme-transparent-dark:before:bg-shade-90 border-t scheme-white:border-shade-20 scheme-transparent-light:border-shade-20 scheme-black:border-shade-70 scheme-transparent-dark:border-shade-70 before:border-t scheme-white:before:border-shade-20 scheme-transparent-light:before:border-shade-20 scheme-black:before:border-shade-70 scheme-transparent-dark:before:border-shade-70 after:border-t scheme-white:after:border-shade-20 scheme-transparent-light:after:border-shade-20 scheme-black:after:border-shade-70 scheme-transparent-dark:after:border-shade-70 -translate-y-[30px]" data-background="white"><ul class="grid grid-cols-12 gap-x-gutter gap-y-0 pb-0"><li class="flex mb-6 pr-4 border-r border-shade-30 last:border-0 col-span-3"><a class="group inline-block w-full text-black hover:text-black" href="https://shopify.dev" aria-label="External source: Shopify Developers . Build with Shopify&#x27;s powerful APIs"><div class="text-base font-medium"><span class="inline-block arrow-animation">Shopify Developers<span class="sr-only">.</span></span></div><div class="text-sm text-shade-70 group-hover:text-black">Build with Shopify&#x27;s powerful APIs</div></a></li><li class="flex mb-6 pr-4 border-r border-shade-30 last:border-0 col-span-3"><a class="group inline-block w-full text-black hover:text-black" href="/au/plus"><div class="text-base font-medium"><span class="inline-block arrow-animation">Plus<span class="sr-only">.</span></span></div><div class="text-sm text-shade-70 group-hover:text-black">A commerce solution for growing digital brands</div></a></li><li class="flex mb-6 pr-4 border-r border-shade-30 last:border-0 col-span-3"><a class="group inline-block w-full text-black hover:text-black" href="/au/products"><div class="text-base font-medium"><span class="inline-block arrow-animation">All Products<span class="sr-only">.</span></span></div><div class="text-sm text-shade-70 group-hover:text-black">Explore all Shopify products &amp; features</div></a></li></ul></div></div></div></div></li><li class="mr-8 text-base"><div class="flex h-full"><a class="flex items-center hover:underline text-black hover:text-black" href="/au/pricing">Pricing</a></div></li><li class="mr-8 text-base"><div class="relative flex h-full after:content[&quot;&quot;] after:block after:h-[3px] after:w-full after:absolute after:bottom-0 after:scale-0 after:origin-left after:transition-transform after:duration-[350ms] after:ease-[bezier(0.66, 0.66, 0.34, 1.00)] after:motion-reduce:transition-none hover:underline after:bg-black text-black"><button type="button" class="bg-transparent whitespace-nowrap" data-component-name="Resources-toggle-open" aria-controls="ResourcesDesktopMenu" aria-expanded="false" aria-haspopup="true"><span class="mr-3">Resources</span><div aria-hidden="true" class="relative inline-block h-[7px] w-3 cursor-pointer"><div class="inline-block rounded border-b-8 h-2 w-[2px] origin-center transition-all ease-[bezier(0.66, 0.66, 0.34, 1.00)] duration-[350ms] motion-reduce:transition-none border-black bg-black -translate-x-[3px] rotate-[135deg]"></div><div class="inline-block rounded border-b-8 h-2 w-[2px] origin-center transition-all ease-[bezier(0.66, 0.66, 0.34, 1.00)] duration-[350ms] motion-reduce:transition-none border-black bg-black -rotate-[135deg]"></div></div></button></div><div id="ResourcesDesktopMenu" class="absolute inset-x-0 top-global-header z-[21] transition-transform duration-[452ms] ease-[cubic-bezier(0.26,1.00,0.48,1.00)] motion-reduce:transition-none before:absolute before:inset-x-0 before:top-0 before:w-full before:h-full before:left-0 before:shadow-xl before:pointer-events-none before:z-10 bg-white text-black bg-white text-black opacity-0 pointer-events-none -translate-y-[10px]"><div class="relative no-scrollbar overflow-y-auto overflow-x-clip max-h-[calc(100vh-72px)] z-20"><div class="container grid grid-cols-4 sm:grid-cols-8 md:grid-cols-12 gap-x-gutter gap-y-0"><div class="col-span-3 col-start-1 pt-8 -translate-y-[30px]" data-background="white"><div class="flex items-center border-shade-30 mb-6 border-b pb-4 text-lg font-bold"><span aria-hidden="true" class="-ml-2 lg:ml-0 mr-3 md:mr-3 inline-block h-10 w-10"><svg width="40" height="40" fill="none"><g clip-path="url(#help-and-support_svg__a)"><circle cx="20" cy="20" r="19.25" stroke="currentColor" stroke-width="1.5"></circle><path d="M20 20v6" stroke="currentColor" stroke-width="2" stroke-linecap="round" stroke-linejoin="round"></path><path d="M20 16.5a1.5 1.5 0 1 0 0-3 1.5 1.5 0 0 0 0 3Z" fill="currentColor"></path></g></svg></span><span id="subNavItem-Help and support" class="font-bold text-t7 inline-block">Help and support</span></div><ul class="pb-2" aria-labelledby="subNavItem-Help and support"><li class="flex mb-6 pr-4"><a class="group inline-block w-full text-black hover:text-black" href="https://help.shopify.com/en/" aria-label="External source: Help and support . Get 24/7 support"><div class="text-base font-medium"><span class="inline-block arrow-animation">Help and support<span class="sr-only">.</span></span></div><div class="text-sm text-shade-70 group-hover:text-black">Get 24/7 support</div></a></li><li class="flex mb-6 pr-4"><a class="group inline-block w-full text-black hover:text-black" href="/au/blog/topics/guides"><div class="text-base font-medium"><span class="inline-block arrow-animation">How-to guides<span class="sr-only">.</span></span></div><div class="text-sm text-shade-70 group-hover:text-black">Read in-depth business guides</div></a></li><li class="flex mb-6 pr-4"><a class="group inline-block w-full text-black hover:text-black" href="/au/blog"><div class="text-base font-medium"><span class="inline-block arrow-animation">Shopify blog<span class="sr-only">.</span></span></div><div class="text-sm text-shade-70 group-hover:text-black">Business strategy tips</div></a></li></ul></div><div class="col-span-6 col-start-4 pt-8 -translate-y-[30px]" data-background="white"><div class="flex items-center border-shade-30 mb-6 border-b pb-4 text-lg font-bold"><span aria-hidden="true" class="-ml-2 lg:ml-0 mr-3 md:mr-3 inline-block h-10 w-10"><svg width="40" height="40" fill="none"><g clip-path="url(#white_circle_svg__a)" stroke="currentColor" stroke-width="1.5"><circle cx="20" cy="20" r="19.25"></circle><path d="m22.023 15.04 3 3M12.75 27.25l4.25-1 9.95-9.95a1 1 0 0 0 0-1.413l-1.837-1.836a1 1 0 0 0-1.414 0L13.75 23l-1 4.25Z" stroke-linecap="round" stroke-linejoin="round"></path></g></svg></span><span id="subNavItem-Popular topics" class="font-bold text-t7 inline-block">Popular topics</span></div><ul class="pb-2 columns-2" aria-labelledby="subNavItem-Popular topics"><li class="flex mb-6 pr-4"><a class="group inline-block w-full text-black hover:text-black" href="/au/blog/what-is-shopify"><div class="text-base font-medium"><span class="inline-block arrow-animation">What is Shopify?<span class="sr-only">.</span></span></div><div class="text-sm text-shade-70 group-hover:text-black">How our commerce platform works</div></a></li><li class="flex mb-6 pr-4"><a class="group inline-block w-full text-black hover:text-black" href="/au/editions"><div class="text-base font-medium"><span class="inline-block arrow-animation">Shopify Editions<span class="sr-only">.</span></span></div><div class="text-sm text-shade-70 group-hover:text-black">New, innovative Shopify products</div></a></li><li class="flex mb-6 pr-4"><a class="group inline-block w-full text-black hover:text-black" href="/au/blog/topics/founder-stories"><div class="text-base font-medium"><span class="inline-block arrow-animation">Founder stories<span class="sr-only">.</span></span></div><div class="text-sm text-shade-70 group-hover:text-black">Learn from successful merchants</div></a></li><li class="flex mb-6 pr-4"><a class="group inline-block w-full text-black hover:text-black" href="/au/blog/how-to-build-a-brand"><div class="text-base font-medium"><span class="inline-block arrow-animation">Branding<span class="sr-only">.</span></span></div><div class="text-sm text-shade-70 group-hover:text-black">Build your brand from scratch</div></a></li><li class="flex mb-6 pr-4"><a class="group inline-block w-full text-black hover:text-black" href="/au/blog/marketing-plan"><div class="text-base font-medium"><span class="inline-block arrow-animation">Marketing<span class="sr-only">.</span></span></div><div class="text-sm text-shade-70 group-hover:text-black">Build a marketing plan</div></a></li><li class="flex mb-6 pr-4"><a class="group inline-block w-full text-black hover:text-black" href="/au/blog/ecommerce-seo-beginners-guide"><div class="text-base font-medium"><span class="inline-block arrow-animation">Ecommerce SEO<span class="sr-only">.</span></span></div><div class="text-sm text-shade-70 group-hover:text-black">Improve your search ranking</div></a></li><li class="flex mb-6 pr-4"><a class="group inline-block w-full text-black hover:text-black" href="/au/blog/topics/social-media-optimization"><div class="text-base font-medium"><span class="inline-block arrow-animation">Social media strategy<span class="sr-only">.</span></span></div><div class="text-sm text-shade-70 group-hover:text-black">Turn social into sales</div></a></li><li class="flex mb-6 pr-4"><a class="group inline-block w-full text-black hover:text-black" href="/au/blog/how-to-scale-small-business"><div class="text-base font-medium"><span class="inline-block arrow-animation">Business growth<span class="sr-only">.</span></span></div><div class="text-sm text-shade-70 group-hover:text-black">Scale your business</div></a></li></ul></div><div class="col-span-3 col-start-10 pt-8 scheme-white:bg-shade-10 scheme-transparent-light:bg-shade-10 scheme-black:bg-shade-90 scheme-transparent-dark:bg-shade-90 pl-10 relative after:absolute after:left-full after:top-[-1px] after:w-[100vw] after:h-[calc(100%+1px)] scheme-white:after:bg-shade-10 scheme-transparent-light:after:bg-shade-10 scheme-black:after:bg-shade-90 scheme-transparent-dark:after:bg-shade-90 scheme-black:text-white scheme-transparent-dark:text-white border-l scheme-white:border-shade-20 scheme-transparent-light:border-shade-20 scheme-black:border-shade-70 scheme-transparent-dark:border-shade-70 -translate-y-[30px]" data-background="white"><div class="flex items-center border-shade-30 mb-6 border-b pb-4 text-lg font-bold"><span aria-hidden="true" class="-ml-2 lg:ml-0 mr-3 md:mr-3 inline-block h-10 w-10"><svg width="40" height="40" fill="none"><g clip-path="url(#white_circle_svg__a)" stroke="currentColor" stroke-width="1.5"><circle cx="20" cy="20" r="19.25"></circle><path d="M16.75 16.75v-2a2 2 0 0 1 2-2h2.5a2 2 0 0 1 2 2v2m-2 4v1.5a1 1 0 0 1-1 1h-.5a1 1 0 0 1-1-1v-1.5m2.5 0a1 1 0 0 0-1-1h-.5a1 1 0 0 0-1 1m2.5 0h6m-8.5 0h-6m2 6.5h10.5a2 2 0 0 0 2-2v-6.5a2 2 0 0 0-2-2h-10.5a2 2 0 0 0-2 2v6.5a2 2 0 0 0 2 2Z"></path></g></svg></span><span id="subNavItem-Essential tools" class="font-bold text-t7 inline-block">Essential tools</span></div><ul class="pb-2" aria-labelledby="subNavItem-Essential tools"><li class="flex mb-6 pr-4"><a class="group inline-block w-full text-black hover:text-black" href="/tools/logo-maker"><div class="text-base font-medium"><span class="inline-block arrow-animation">Logo maker<span class="sr-only">.</span></span></div></a></li><li class="flex mb-6 pr-4"><a class="group inline-block w-full text-black hover:text-black" href="https://www.shopify.com/stock-photos" aria-label="External source: Stock photography ."><div class="text-base font-medium"><span class="inline-block arrow-animation">Stock photography<span class="sr-only">.</span></span></div></a></li><li class="flex mb-6 pr-4"><a class="group inline-block w-full text-black hover:text-black" href="/au/blog/business-plan-template"><div class="text-base font-medium"><span class="inline-block arrow-animation">Business plan template<span class="sr-only">.</span></span></div></a></li><li class="flex mb-6 pr-4"><a class="group inline-block w-full text-black hover:text-black" href="https://www.linkpop.com/" aria-label="External source: Link in bio tool ."><div class="text-base font-medium"><span class="inline-block arrow-animation">Link in bio tool<span class="sr-only">.</span></span></div></a></li><li class="flex mb-6 pr-4"><a class="group inline-block w-full text-black hover:text-black" href="/au/tools/qr-code-generator"><div class="text-base font-medium"><span class="inline-block arrow-animation">QR code generator<span class="sr-only">.</span></span></div></a></li></ul></div></div></div></div></li><li class="mr-8 text-base"><div class="flex h-full"><a class="flex items-center hover:underline text-black hover:text-black" href="/au/enterprise">Enterprise</a></div></li><li class="mr-8 text-base"><div class="relative flex h-full after:content[&quot;&quot;] after:block after:h-[3px] after:w-full after:absolute after:bottom-0 after:scale-0 after:origin-left after:transition-transform after:duration-[350ms] after:ease-[bezier(0.66, 0.66, 0.34, 1.00)] after:motion-reduce:transition-none hover:underline after:bg-black text-black"><button type="button" class="bg-transparent whitespace-nowrap" data-component-name="What’s new-toggle-open" aria-controls="What’s newDesktopMenu" aria-expanded="false" aria-haspopup="true"><span class="mr-3">What’s new</span><div aria-hidden="true" class="relative inline-block h-[7px] w-3 cursor-pointer"><div class="inline-block rounded border-b-8 h-2 w-[2px] origin-center transition-all ease-[bezier(0.66, 0.66, 0.34, 1.00)] duration-[350ms] motion-reduce:transition-none border-black bg-black -translate-x-[3px] rotate-[135deg]"></div><div class="inline-block rounded border-b-8 h-2 w-[2px] origin-center transition-all ease-[bezier(0.66, 0.66, 0.34, 1.00)] duration-[350ms] motion-reduce:transition-none border-black bg-black -rotate-[135deg]"></div></div></button></div><div id="What’s newDesktopMenu" class="absolute inset-x-0 top-global-header z-[21] transition-transform duration-[452ms] ease-[cubic-bezier(0.26,1.00,0.48,1.00)] motion-reduce:transition-none before:absolute before:inset-x-0 before:top-0 before:w-full before:h-full before:left-0 before:shadow-xl before:pointer-events-none before:z-10 bg-white text-black bg-white text-black opacity-0 pointer-events-none -translate-y-[10px]"><div class="relative no-scrollbar overflow-y-auto overflow-x-clip max-h-[calc(100vh-72px)] z-20"><div class="container grid grid-cols-4 sm:grid-cols-8 md:grid-cols-12 gap-x-gutter gap-y-0"><div class="col-span-12 col-start-1 pt-8 -translate-y-[30px]" data-background="white"><ul class="grid grid-cols-12 gap-x-gutter gap-y-0 pb-0"><li class="flex mb-6 pr-4 border-r border-shade-30 last:border-0 col-span-3"><span aria-hidden="true" class="-ml-2 lg:ml-0 mr-3 md:mr-3 inline-block h-10 w-10"><svg width="41" height="42" viewBox="0 0 41 42" fill="none" xmlns="http://www.w3.org/2000/svg"><g clip-path="url(#clip0_213_1921)"><path d="M39.5 21C39.5 31.6315 30.8815 40.25 20.25 40.25C9.61852 40.25 1 31.6315 1 21C1 10.3685 9.61852 1.75 20.25 1.75C30.8815 1.75 39.5 10.3685 39.5 21Z" stroke="currentColor" stroke-width="1.5" stroke-linecap="round" stroke-linejoin="round"></path><rect x="13" y="14" width="15" height="14" rx="2" stroke="currentColor" stroke-width="1.5"></rect><path d="M25 24L19 24" stroke="currentColor" stroke-width="1.5" stroke-linecap="round"></path><path d="M25 21L19 21" stroke="currentColor" stroke-width="1.5" stroke-linecap="round"></path><path d="M25 18L19 18" stroke="currentColor" stroke-width="1.5" stroke-linecap="round"></path><path d="M17 18L16 18" stroke="currentColor" stroke-width="1.5" stroke-linecap="round"></path><path d="M17 21L16 21" stroke="currentColor" stroke-width="1.5" stroke-linecap="round"></path><path d="M17 24L16 24" stroke="currentColor" stroke-width="1.5" stroke-linecap="round"></path></g><defs><clipPath id="clip0_213_1921"><rect width="40.5" height="40.5" fill="white" transform="translate(0 0.75)"></rect></clipPath></defs></svg></span><a class="group inline-block w-full text-black hover:text-black" href="https://changelog.shopify.com" aria-label="External source: Changelog . Your source for recent updates"><div class="text-base font-medium"><span class="inline-block arrow-animation">Changelog<span class="sr-only">.</span></span></div><div class="text-sm text-shade-70 group-hover:text-black">Your source for recent updates</div></a></li><li class="flex mb-6 pr-4 border-r border-shade-30 last:border-0 col-span-3"><span aria-hidden="true" class="-ml-2 lg:ml-0 mr-3 md:mr-3 inline-block h-10 w-10"><svg width="41" height="42" viewBox="0 0 41 42" fill="none" xmlns="http://www.w3.org/2000/svg"><g clip-path="url(#clip0_213_1927)"><path d="M39.75 21C39.75 31.6315 31.1315 40.25 20.5 40.25C9.86852 40.25 1.25 31.6315 1.25 21C1.25 10.3685 9.86852 1.75 20.5 1.75C31.1315 1.75 39.75 10.3685 39.75 21Z" stroke="currentColor" stroke-width="1.5" stroke-linecap="round" stroke-linejoin="round"></path><path d="M25 22L16 22" stroke="currentColor" stroke-width="1.5" stroke-linecap="round"></path><path d="M20 25L16 25" stroke="currentColor" stroke-width="1.5" stroke-linecap="round"></path><path d="M16 17C16 16.4477 16.4477 16 17 16H24C24.5523 16 25 16.4477 25 17V18C25 18.5523 24.5523 19 24 19H17C16.4477 19 16 18.5523 16 18V17Z" stroke="currentColor" stroke-width="1.5"></path><rect x="13" y="13" width="15" height="15" rx="2" stroke="currentColor" stroke-width="1.5"></rect></g><defs><clipPath id="clip0_213_1927"><rect width="40.5" height="40.5" fill="white" transform="translate(0.25 0.75)"></rect></clipPath></defs></svg></span><a class="group inline-block w-full text-black hover:text-black" href="/au/editions/summer2024"><div class="text-base font-medium"><span class="inline-block arrow-animation">Summer ’24 Edition<span class="sr-only">.</span></span></div><div class="text-sm text-shade-70 group-hover:text-black">The latest 100+ product updates</div></a></li><li class="flex mb-6 pr-4 border-r border-shade-30 last:border-0 col-span-3"><span aria-hidden="true" class="-ml-2 lg:ml-0 mr-3 md:mr-3 inline-block h-10 w-10"><svg width="41" height="42" viewBox="0 0 41 42" fill="none" xmlns="http://www.w3.org/2000/svg"><g clip-path="url(#clip0_213_2183)"><path d="M40 21C40 31.6315 31.3815 40.25 20.75 40.25C10.1185 40.25 1.5 31.6315 1.5 21C1.5 10.3685 10.1185 1.75 20.75 1.75C31.3815 1.75 40 10.3685 40 21Z" stroke="currentColor" stroke-width="1.5" stroke-linecap="round" stroke-linejoin="round"></path><path d="M27 21L18 21" stroke="currentColor" stroke-width="1.5" stroke-linecap="round"></path><path d="M22 24L18 24" stroke="currentColor" stroke-width="1.5" stroke-linecap="round"></path><path d="M18 16C18 15.4477 18.4477 15 19 15H26C26.5523 15 27 15.4477 27 16V17C27 17.5523 26.5523 18 26 18H19C18.4477 18 18 17.5523 18 17V16Z" stroke="currentColor" stroke-width="1.5"></path><path d="M15 14C15 12.8954 15.8954 12 17 12H28C29.1046 12 30 12.8954 30 14V25C30 26.1046 29.1046 27 28 27H17C15.8954 27 15 26.1046 15 25V14Z" stroke="currentColor" stroke-width="1.5"></path><path d="M14 16V16C12.8954 16 12 16.8954 12 18V28C12 29.1046 12.8954 30 14 30H24.5C25.6046 30 26.5 29.1046 26.5 28V28" stroke="currentColor" stroke-width="1.5" stroke-linecap="round"></path></g><defs><clipPath id="clip0_213_2183"><rect width="40.5" height="40.5" fill="white" transform="translate(0.5 0.75)"></rect></clipPath></defs></svg></span><a class="group inline-block w-full text-black hover:text-black" href="/editions/all"><div class="text-base font-medium"><span class="inline-block arrow-animation">All Editions<span class="sr-only">.</span></span></div><div class="text-sm text-shade-70 group-hover:text-black">Archive of past Shopify Editions</div></a></li><li class="flex mb-6 pr-4 border-r border-shade-30 last:border-0 col-span-3"><span aria-hidden="true" class="-ml-2 lg:ml-0 mr-3 md:mr-3 inline-block h-10 w-10"><svg width="42" height="42" viewBox="0 0 42 42" fill="none" xmlns="http://www.w3.org/2000/svg"><path d="M40.25 21C40.25 31.6315 31.6315 40.25 21 40.25C10.3685 40.25 1.75 31.6315 1.75 21C1.75 10.3685 10.3685 1.75 21 1.75C31.6315 1.75 40.25 10.3685 40.25 21Z" stroke="currentColor" stroke-width="1.5" stroke-linecap="round" stroke-linejoin="round"></path><path d="M17.341 24.6079L18.8363 26.9574" stroke="currentColor" stroke-width="1.5" stroke-linecap="round"></path><path d="M26.9609 14.7523C28.2811 15.4085 29.324 16.6069 29.7356 18.1429C30.1472 19.679 29.8432 21.2382 29.028 22.4667" stroke="currentColor" stroke-width="1.5" stroke-linecap="round"></path><path d="M26.9769 20.7052C27.2556 20.1447 27.3388 19.4842 27.164 18.832C26.9893 18.1799 26.587 17.6495 26.0654 17.3034" stroke="currentColor" stroke-width="1.5" stroke-linecap="round"></path><path d="M14.5357 20.5604C14.4233 20.1409 14.5945 19.6968 14.9595 19.4613L21.4187 15.2941C21.9885 14.9265 22.7512 15.2206 22.9267 15.8756L24.9726 23.5109C25.1481 24.1659 24.6346 24.802 23.9574 24.7685L16.2799 24.3892C15.8461 24.3678 15.4758 24.0688 15.3633 23.6493L14.5357 20.5604Z" stroke="currentColor" stroke-width="1.5"></path><path d="M12.0335 21.5081L12.7226 24.0796" stroke="currentColor" stroke-width="1.5" stroke-linecap="round"></path></svg></span><a class="group inline-block w-full text-black hover:text-black" href="https://shopify.com/news" aria-label="External source: Newsroom . All company news and press releases"><div class="text-base font-medium"><span class="inline-block arrow-animation">Newsroom<span class="sr-only">.</span></span></div><div class="text-sm text-shade-70 group-hover:text-black">All company news and press releases</div></a></li></ul></div></div></div></div></li></ul></nav><div class="ml-auto transition-opacity duration-200 opacity-100 delay-100"><ul class="lg:flex hidden items-center"><li class="mr-8 text-base"><a class="whitespace-nowrap hover:underline text-black" href="/au/login?ui_locales=en-AU" data-component-name="login">Log in</a></li><li class="leading-[0]"><a href="https://accounts.shopify.com/store-create?language=en&amp;locale=en-AU&amp;signup_page=https%3A%2F%2Fwww.shopify.com%2Fau%2Fblog%2Faverage-order-value&amp;signup_types[]=paid_trial_experience" class="inline-block self-center overflow-hidden max-w-full ring-inset rounded-button font-button-font transition-all duration-150 focus-visible:outline-2 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after:absolute after:w-full after:h-[3px] after:bottom-0 hover:underline after:hidden after:bg-black"><a href="/au/blog/what-is-ecommerce" class="flex items-center h-full outline-state-focus outline-4 focus-visible:outline" data-secondary-nav-tier="1">Ecommerce Guide</a></li><li class="relative flex flex-col items-center h-full after:absolute after:w-full after:h-[3px] after:bottom-0 hover:underline after:hidden after:bg-black"><a href="/au/blog/ecommerce-business-blueprint" class="flex items-center h-full outline-state-focus outline-4 focus-visible:outline" data-secondary-nav-tier="1">How to Start</a></li><li class="relative flex flex-col items-center h-full after:absolute after:w-full after:h-[3px] after:bottom-0 hover:underline after:hidden after:bg-black"><a href="/au/blog/ai-tools-for-ecommerce" class="flex items-center h-full outline-state-focus outline-4 focus-visible:outline" data-secondary-nav-tier="1">AI Tools for Ecommerce</a></li><li class="relative flex flex-col 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hover:text-link-light-hover topic-link">blog</a><span class="richtext px-2.5 text-xs">|</span><a href="/au/blog/topics/retention" class="no-underline hover:text-link-light-hover topic-link">Retention</a></div><h1 class="richtext font-medium tracking-[-0.02em] text-[28px] leading-9 tablet-xl:text-[40px] tablet-xl:leading-[48px]" itemProp="headline">Average Order Value: Definition and 5 Ways To Grow It (2024)</h1><p class="richtext font-normal tracking-[-0.02em] text-[18px] leading-[26px] tablet-xl:text-[20px] tablet-xl:leading-7 desktop:text-[22px] desktop:leading-8 mt-4 desktop:mt-4">Looking for cost-effective ways to earn more revenue for your online store? Check out these five ideas to increase average order value—and the Shopify apps to help you execute.</p><div class="lg:hidden mt-4 tablet-xl:mt-12"><div class="gap-x-1 flex flex-wrap font-bold sm:justify-center !text-lg text-legacy-gray-90 last:[&amp;_&gt;div]:justify-start sm:last:[&amp;_&gt;div]:justify-center"> <!-- -->by <span itemProp="author" itemscope="" itemType="https://schema.org/Person"><a href="/au/blog/authors/sara-yin" class="no-underline" itemProp="url"><span itemProp="name">Sara Yin</span></a></span></div><div class="text-body-sm text-shade-50">Last updated<!-- --> <time>31 May 2023</time></div></div></div></div><div class="tablet:container desktop:w-9/12 desktop:mx-auto overflow-hidden flex justify-center"><img class="" src="https://cdn.shopify.com/s/files/1/0070/7032/articles/Average_order_value_eb7de2d4-ffb9-4525-82fa-7d1d615e60ab.png?v=1729112605&amp;originalWidth=1848&amp;originalHeight=782" alt="Average order value" loading="eager" decoding="async" width="1848" 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[&amp;_.marketing-code]:font-bold [&amp;_.marketing-code]:p-1 [&amp;_.marketing-code.marketing-code--block]:p-4 [&amp;_.marketing-code--block]:block [&amp;_.marketing-code--block]:max-w-full [&amp;_.marketing-code--block]:overflow-x-scroll [&amp;_.marketing-code--block]:mb-5 [&amp;_.partners-signup]:mt-6 [&amp;_.partners-signup]:mb-12 [&amp;_.partners-signup]:bg-gray-200 [&amp;_.partners-signup]:p-3 [&amp;_.partners-signup]:md:p-6 [&amp;_.table]:block [&amp;_.table]:overflow-x-scroll [&amp;_.table]:max-w-full" itemProp="articleBody"><div class="hidden leadpage-container leadpage__image leadpage__content marketing-button hide--mobile block--bordered"></div><div><p>Traffic to your site is high. Conversion rates are good. But then you read the fine print: your order values, the amount customers buy at checkout, are consistently low.</p> <p>Average order value (AOV) is a useful metric to monitor as you grow your business. Traditionally, it’s one of the first numbers business owners try to improve to increase revenue or <a href="/au/blog/scale-facebook-ads" target="_blank">optimize return on ad spend</a>. It sounds simple enough: If you can get people to spend more money per order, you’ll make more money, right?</p> <p>Not so fast. Like most important metrics, average order value has its limitations. Below,&nbsp;learn how to think about your AOV, and discover methods of increasing AOV that may lead to not just more revenue, but more profit.</p><div id="text-cta" class="hidden lg:block"></div> <ul> <li><a href="#averageorder">What is average order value?</a></li> <li><a href="#better">A better way to think about average order value</a></li> <li><a href="#five">Five ways to increase average order value</a></li> <li><a href="#sellmore">Sell more to people who want to buy</a></li> <li><a href="#faq">Average order value FAQ</a></li> <ul></ul> </ul> <h2>What is average order value?</h2> <p>Average order value (AOV) is a key metric that measures the average amount spent by customers per transaction. Calculating AOV involves dividing total revenue by the number of orders. Increasing AOV can be achieved through strategies like upselling, cross-selling, and offering incentives for larger purchases, ultimately enhancing profitability for ecommerce businesses.</p> <p><span style="font-weight: 400;">Let’s look at a hypothetical example: If your store has a total revenue of $2,000 split between 100 orders, your average order value is $20. This means that, on average, a customer spends $20 each time they make a purchase from your store.</span></p> <p><span style="font-weight: 400;">If you’re a Shopify customer, you can find this number (along with many others) </span><a href="https://help.shopify.com/en/manual/reports-and-analytics/shopify-reports/report-types/customers-reports"><span style="font-weight: 400;">in your customer reports</span></a><span style="font-weight: 400;">.</span></p> <p><span style="font-weight: 400;">Traditionally, online businesses that know their AOV focus on getting customers to spend past that threshold—for instance, if their AOV is $20, by offering free shipping on orders over $25. But while increasing order value this way can help your revenue stream, it may not bring you the highest profit margins</span>.</p> <a name="better"></a> <h2>A better way to think about average order value</h2> <p><span style="font-weight: 400;">Taylor Holiday, co-founder of marketing agency </span><a href="https://commonthreadco.com/" rel="nofollow noopener noreferrer" target="_blank"><span style="font-weight: 400;">Common Thread Collective</span></a><span style="font-weight: 400;">,&nbsp;is quick to point out the limitations of average order value as a lever for revenue growth.</span></p> <p><span style="font-weight: 400;">“When it comes to measures of central tendency (mean, median, mode) there is a saying in statistics: no measure of central tendency is best, but using only one is certainly the worst," Taylor says.&nbsp;</span></p> <p><span style="font-weight: 400;">Taylor argues that looking at average order value will only give you a partial picture of your customer behavior. To increase order value, he recommends business owners consider all three measures of central tendency:&nbsp;</span></p> <ul> <li style="font-weight: 400;"> <b>Mean: </b><span style="font-weight: 400;">the average value of all orders (traditionally called the average order value)</span> </li> <li style="font-weight: 400;"> <b>Median: </b><span style="font-weight: 400;">the middle value of all orders</span> </li> <li style="font-weight: 400;"> <b>Mode: </b><span style="font-weight: 400;">the most frequently occurring order value</span> </li> </ul> <p><span style="font-weight: 400;">Here’s a practical example of how this can affect your strategies, using our demo store, </span><a href="https://kindahotsauce.shop/" rel="nofollow noopener noreferrer" target="_blank"><span style="font-weight: 400;">Kinda Hot Sauce</span></a>:</p> <p><img src="https://cdn.shopify.com/s/files/1/0070/7032/files/Screen_Shot_2020-11-17_at_5.23.14_PM.png?v=1605662687"></p> <p><span style="font-weight: 400;">Above is a histogram of order frequency, along with the mean, median, and mode calculated. Notice that the mean (or average) of $24 is substantially higher than the mode (most common dollar amount of orders) of $15. There are a few high dollar orders that skew up the average.&nbsp;</span></p> <p><span style="font-weight: 400;">Taylor says that if store owners want to develop strategies that impact average order value, the best approach is to concentrate on moving the </span><b>modal</b><span style="font-weight: 400;"> orders up. For Kinda Hot Sauce, the most common orders are for $15. “So as we think about strategies to affect the overall AOV, we begin by understanding these orders and what upsells might be appropriate,” Taylor says.</span></p> <blockquote class="border-l-2 pl-4 font-aktivgroteskextended text-xl font-medium tracking-tight my-12 [&amp;_p]:mb-4 [&amp;_cite]:font-aktivgroteskextended [&amp;_cite]:text-sm [&amp;_cite]:not-italic [&amp;_cite]:font-medium [&amp;_cite]:tracking-[-0.0175rem] [&amp;_footer]:mt-4 [&amp;_cite::before]:content-[&quot;–&quot;] [&amp;_cite::before]:mr-1 border-blog-highlight"> <p>Look at your modal, or your most frequent, order values as a starting point for your efforts to increase your overall revenue.</p> </blockquote> <p><span style="font-weight: 400;">All of this is to say: AOV is important to track, but it shouldn’t be your only metric of business health. That would be as misleading as counting calories for the purpose of leading a healthier, longer life. Some calories are good (avocado), others less so (table sugar), and it’s better for your health to cut down on the bad calories rather than the good ones.</span></p> <p><span style="font-weight: 400;">With that in mind, let’s turn to five tactics cited by business owners and consultants.</span></p> <a name="five"></a> <h2>Five ways to increase average order value</h2> <h3><b>1. Create an order minimum for “free shipping” and other gifts</b></h3> <p><span style="font-weight: 400;">Customer expectations around shipping costs are a major consideration when it comes to increasing average order value. Free shipping is a commonplace but still highly effective way to nudge customers to spend more. And it’s easy to </span><a href="https://docs.shopify.com/manual/settings/shipping/shipping-rates#free-shipping"><span style="font-weight: 400;">set up with Shopify</span></a><span style="font-weight: 400;">.</span></p> <p><span style="font-weight: 400;">To calculate your threshold, start with </span><b>modal</b><span style="font-weight: 400;"> order value, or the most common order values. For instance, if most of your orders are in the $35 range, you might offer free shipping to orders over $50.&nbsp;</span></p> <p><span style="font-weight: 400;">Digital marketing consultant Aaron Zakowski </span><a href="https://aaronzakowski.com/increase-average-order-values" rel="nofollow noopener noreferrer" target="_blank"><span style="font-weight: 400;">suggests</span></a><span style="font-weight: 400;"> setting your threshold at 30% higher than your AOV (but again, consider using your modal order value here). The goal is to make free shipping feel attainable to the greatest number of customers, thereby increasing your overall revenues. Setting the threshold too high risks abandoned carts.&nbsp;</span></p> <p><span style="font-weight: 400;">Returning to the Kinda Hot Sauce example, if it had set its free shipping threshold at $35, based on its AOV of $24, the vast majority of customers spending $15 would probably abandon their carts. If your goal is to weed out lower-paying customers, then this is a great strategy—but I’m guessing it’s not.&nbsp;</span></p> <p><span style="font-weight: 400;">A variation of free shipping is offering volume discounts, or a set discount for orders over a certain threshold. For example, you might offer a $10 coupon for orders above $50. You could also offer a 10% discount for orders above $50, but this makes profits more unpredictable.</span></p> <h3><span style="font-size: 15px;"><a href="https://koparibeauty.com/" rel="nofollow noopener noreferrer" target="_blank"><span style="font-weight: 400;">Kopari Beauty</span></a><span style="font-weight: 400;"> offers free gifts with a minimum purchase order and promotes this through its in-cart messaging</span>:</span></h3> <p><img alt="Kopari beauty" src="https://cdn.shopify.com/s/files/1/0070/7032/files/Kopari.png?v=1605660714" loading="lazy"></p> <div class="marketing-block marketing-block--light marketing-block--padded my-12 border-l-2 pl-4 [&amp;_h2]:!mt-0 [&amp;_h2]:mb-6 [&amp;_h2]:text-t5 [&amp;_h3]:!mt-0 [&amp;_h3]:mb-6 [&amp;_h3]:text-t7 [&amp;_h4]:!mt-0 [&amp;_h4]:mb-6 [&amp;_h4]:text-t8 [&amp;_ul]:!mt-0 [&amp;_ul]:mb-6 [&amp;_ul:last-child]:mb-0 [&amp;_ol]:!mt-0 [&amp;_ol]:mb-6 [&amp;_ol:last-child]:mb-0 [&amp;_p]:!mt-0 [&amp;_p]:mb-6 [&amp;_p:last-child]:mb-0 border-blog-highlight"> <p><strong>💡 TIP:&nbsp;</strong>Consider using a <a href="https://apps.shopify.com/search?q=promotion+bar&amp;button=">promotion bar</a> on your website to make it obvious that you’re offering a minimum order incentive.</p> </div> <h3><b>2. Bundle products or create packages</b></h3> <p><span style="font-weight: 400;">If you want customers to purchase more items, try adjusting your pricing strategy by creating product bundles that cost less than if the same items were purchased individually.</span></p> <p><span style="font-weight: 400;">By bundling products, you’re increasing the perceived value of a customer’s purchase. One great approach to product bundling is offering a package of products that create an all-in-one solution for the desired experience.</span></p> <p><span style="font-size: 15px;"><span style="font-weight: 400;">For example, </span><a href="https://bioliteenergy.com/products/campstove-2-bundle" rel="nofollow noopener noreferrer" target="_blank"><span style="font-weight: 400;">BioLite</span></a><span style="font-weight: 400;"> bundles together a stove and accessories—the basic essentials to cook a meal while camping. This makes it easier for customers to get everything they need in one shot, while also eliminating the need to conduct further research. And you’ve sold multiple products instead of one</span>.&nbsp;</span></p> <p><img alt="Increase cart value with bundles" src="//cdn.shopify.com/s/files/1/0070/7032/files/order-value-bundle.jpg?v=1555364307" href="https://cdn.shopify.com/s/files/1/0070/7032/files/order-value-bundle.jpg?v=1555364307" loading="lazy"></p> <p><span style="font-weight: 400;">You&nbsp;can also&nbsp;empower your customers to create their own bundles by allowing for custom products or packages that let them choose which features or add-ons they want in their order.</span></p> <p><span style="font-weight: 400;">For example, </span><a href="https://contrado.com/" rel="nofollow noopener noreferrer" target="_blank"><span style="font-weight: 400;">Contrado</span></a><span style="font-weight: 400;">, a clothing store, allows customers to design their own face masks and add upgraded materials, white labeling, and other unique add-ons that may increase the order total</span>.</p> <p><img alt="customized face masks" src="https://cdn.shopify.com/s/files/1/0070/7032/files/Contrado_mask.png?v=1605658908" loading="lazy"></p> <p><span style="font-weight: 400;">At </span><a href="https://wearlively.com/" rel="nofollow noopener noreferrer" target="_blank"><span style="font-weight: 400;">Lively</span></a><span style="font-weight: 400;">, a bra retailer that </span><a href="/au/retail/lively"><span style="font-weight: 400;">turned to Shopify</span></a><span style="font-weight: 400;"> to build an omnichannel presence, founder Michelle Grant took inspiration from behavior she found in retail stores. She knew from experience that 90% of customers would buy two or three bras at a time after their custom fitting. So Lively made bundling available online as well: buy two or three bras at a time for a slight discount</span>.</p> <p><img alt="Lively bra bundle" src="https://cdn.shopify.com/s/files/1/0070/7032/files/Screen_Shot_2020-11-17_at_4.23.54_PM.png?v=1605659172" loading="lazy"></p> <p><span style="font-weight: 400;">“Within the course of two weeks of launching, that became over 50% of our sales and has driven up our average order value exponentially,” Grant says.&nbsp;</span></p> <p><b>Shopify apps to create product bundles: </b><span style="font-weight: 400;">If you’re interested in adding product bundles or custom bundles to your store, check out a range of free and paid bundling apps in the </span><a href="https://apps.shopify.com/search/query?utf8=%E2%9C%93&amp;q=bundles"><span style="font-weight: 400;">Shopify App Store</span></a><span style="font-weight: 400;">.</span></p> <h3><b>3. Upsell or cross-sell complementary products</b></h3> <p><a href="/au/blog/upselling-and-cross-selling"><span style="font-weight: 400;">Upselling and cross-selling</span></a><span style="font-weight: 400;"> are </span><i><span style="font-weight: 400;">at least </span></i><span style="font-weight: 400;">as old as the McDonald’s refrain, “Would you like fries with that?” Like bundling, upselling and cross-selling are all about nudging customers to buy complementary or upgraded versions of the products they already intend to purchase.&nbsp;</span></p> <p><span style="font-weight: 400;">And like any tactic, it can experience diminishing returns with overuse. Preetam Nath of </span><a href="https://delightchat.io/" rel="nofollow noopener noreferrer" target="_blank"><span style="font-weight: 400;">DelightChat</span></a><span style="font-weight: 400;"> shares ways to evolve your upselling strategy, based on advising hundreds of online stores:&nbsp;</span></p> <ul> <li style="font-weight: 400;"> <b>Don’t upsell too much: recommend like a friend would.</b><span style="font-weight: 400;"> Nobody wants to feel like they are being sold to. Your upsell needs to appear helpful and genuine, like how a friend might suggest a product. Instead of simply suggesting other popular items from your store, hand-pick products that pair perfectly with the item in the user’s cart, such as accessories or add-ons. For example, a mouse for a laptop or batteries for a remote control.</span> </li> <li style="font-weight: 400;"> <b>Offer low-value upsells to increase the likelihood of purchase.</b><span style="font-weight: 400;"> If someone is out to purchase $50 to $100 worth of goods, it’s hard to convince them to purchase another $100, but easy to convince them to add a $20 product that complements their purchase.</span> </li> <li style="font-weight: 400;"> <b>Test with post-purchase upsells.</b><span style="font-weight: 400;"> If a brand is worried about affecting their conversion rates when trying to bundle complementary products, a low-risk way to test is by implementing post-purchase upsells, maybe using an app like ReConvert. That way, you can use data to inform you which products people buy together. And then create a bundle pre-purchase for the same.</span> </li> </ul> <p><b>Shopify apps for cross-selling and upselling your customers:&nbsp;</b></p> <p><span style="font-weight: 400;">Check out the </span><a href="https://apps.shopify.com/search?q=product+recommendations"><span style="font-weight: 400;">Shopify App Store</span></a><span style="font-weight: 400;"> to find the right product recommendation app for your store. Here are a few options:</span></p> <ul> <li style="font-weight: 400;"> <a href="https://apps.shopify.com/zipify-oneclickupsell?utm_source=blog&amp;utm_medium=aov_post"><b>Zipify One Click Upsell</b></a><b>:</b><span style="font-weight: 400;"> Built for Plus customers, this app boosts average order value with one-click upsell offers.</span> </li> <li style="font-weight: 400;"> <a href="https://apps.shopify.com/candyrack"><b>Candy Rack</b></a><b>:</b><span style="font-weight: 400;"> Build post-purchase upsell funnels with one-click purchases.</span> </li> <li style="font-weight: 400;"> <a href="https://apps.shopify.com/post-purchase-offers-carthook?utm_source=blog&amp;utm_medium=aov_post"><b>CartHook Post Purchase Offers</b></a><b>:</b><span style="font-weight: 400;"> Add native one-click promotions including upsells and free gifts to your Shopify store.</span> </li> <li style="font-weight: 400;"> <a href="https://apps.shopify.com/post-purchase-promotions?utm_source=blog&amp;utm_medium=aov_posts"><b>Post Checkout Upsells &amp; Promos</b></a><b>:</b><span style="font-weight: 400;"> Boost revenue with native post-purchase upsells and more.</span> </li> <li style="font-weight: 400;"> <a href="https://apps.shopify.com/special-offers?utm_source=blog&amp;utm_medium=aov_post"><b>Ultimate Special Offers</b></a><b>:</b><span style="font-weight: 400;"> Create one-click offer upsells directly in your store checkout.&nbsp;</span> </li> </ul> <h3><b>4. Set up a customer loyalty program</b></h3> <p><span style="font-weight: 400;">If your store sells consumable products—something your customer base needs to repurchase, like razors or shaving cream—consider setting up a rewards or loyalty program. Creating a </span><a href="/au/blog/loyalty-program"><span style="font-weight: 400;">customer loyalty program</span></a><span style="font-weight: 400;"> is a </span><a href="/au/blog/customer-retention-strategies"><span style="font-weight: 400;">retention strategy</span></a><span style="font-weight: 400;"> that helps you forge relationships with your customers and increase </span><a href="/au/blog/customer-lifetime-value"><span style="font-weight: 400;">customer lifetime value</span></a><span style="font-weight: 400;">.</span></p> <p><span style="font-weight: 400;">It’s important to make sure your loyalty programs evolve with consumer preferences. During a global pandemic and looming economic downturn, for instance, it may not make sense to reward buyers with unnecessarily lavish gifts for spending a lot.</span></p> <p><span style="font-weight: 400;">Claire’s, an accessory store aimed at teens and tweens, recently </span><a href="https://chainstoreage.com/claires-stores-launches-its-first-ever-loyalty-program-these-are-perks" rel="nofollow noopener noreferrer" target="_blank"><span style="font-weight: 400;">launched a loyalty program</span></a><span style="font-weight: 400;"> offering cash back incentives ($5 back for every 100 points). The company realizes that, for its young clientele, every dollar counts</span>.&nbsp;</p> <p><img alt="Claire's" src="https://cdn.shopify.com/s/files/1/0070/7032/files/Claire_s.png?v=1605659704" loading="lazy"></p> <p><span style="font-weight: 400;">When there’s an incentive for your customers to earn points under your loyalty program, you can expect to see your average order value increase significantly.&nbsp;</span></p> <p><b>Learn how to run a loyalty program for your store:</b></p> <ul> <li style="font-weight: 400;"><a href="/au/blog/117007237-how-to-start-a-loyalty-program-that-keeps-customers-coming-back"><span style="font-weight: 400;">Start a Loyalty Program that Keeps Customers Coming Back</span></a></li> <li style="font-weight: 400;"><a href="/enterprise/loyalty-programs"><span style="font-weight: 400;">Loyalty Program Examples: 36 Strategies &amp; 100+ Statistics</span></a></li> <li style="font-weight: 400;"><a href="/au/retail/10-innovative-loyalty-programs"><span style="font-weight: 400;">7 Examples of Innovative Retail Loyalty Programs</span></a></li> </ul> <h3><b>5. Provide fully staffed live chat support for quick questions</b></h3> <p><a href="/au/blog/live-chat-customer-service"><span style="font-weight: 400;">Live chat</span></a><span style="font-weight: 400;"> usually conjures images of headset-clad support agents sitting in an office, triaging problems. Nowadays, ecommerce businesses that staff a live chat sell more—10% to 15% more per cart, according to </span><a href="https://go.forrester.com/blogs/retailers-without-chat-a-missed-opportunity" rel="nofollow noopener noreferrer" target="_blank"><span style="font-weight: 400;">Forrester</span></a></p> <p><span style="font-weight: 400;">“Being available through live chat helps customers get their immediate questions answered, which means greater potential for a sale and fewer abandoned items,” says Jaime Schmidt, founder of Schmidt’s Naturals and author of </span><i><span style="font-weight: 400;">Supermaker: Crafting Business on Your Own Terms</span></i><span style="font-weight: 400;">. Schmidt calls live chat an “underutilized weapon” for increasing AOV</span>.</p> <figure style="text-align: center;"><img style="float: none;" src="https://cdn.shopify.com/s/files/1/0070/7032/files/Ping.png?v=1605660142" alt="Live chat for customer service" loading="lazy"><br> <figcaption>Try <a href="/inbox" target="_blank">Shopify Inbox</a>&nbsp;to save sales and solve problems right at the point of purchase.</figcaption> </figure> <p>Another way to think about live chat is that it helps your highest-intent buyers complete purchases. You’ll be chatting with visitors who intentionally came to your site to browse or buy, but who might need specific questions answered to gain the confidence to hit the Buy button.</p> <p><span style="font-weight: 400;">Live chat is especially useful for high-ticket items, like mattresses and furniture, which may require more handholding to reach the checkout line. Online business ask a lot of buyers:&nbsp;they ask them to find and pay for products, usually sight unseen. Product reviews, testimonials, and other social proof can also help, but live chat can close the deal when it counts the most</span>.&nbsp;</p> <blockquote class="border-l-2 pl-4 font-aktivgroteskextended text-xl font-medium tracking-tight my-12 [&amp;_p]:mb-4 [&amp;_cite]:font-aktivgroteskextended [&amp;_cite]:text-sm [&amp;_cite]:not-italic [&amp;_cite]:font-medium [&amp;_cite]:tracking-[-0.0175rem] [&amp;_footer]:mt-4 [&amp;_cite::before]:content-[&quot;–&quot;] [&amp;_cite::before]:mr-1 border-blog-highlight"> <p>Being available through live chat helps customers get their immediate questions answered, which means greater potential for a sale and fewer abandoned items.</p> </blockquote> <p><span style="font-weight: 400;">What’s more, if you provide a way for your buyers to instantly connect with you, you’re not only helping sell once, but you’re fostering a conversation that can encourage repeat sales.&nbsp;</span></p> <p><b>For more on using live chat for sales, check out:&nbsp;</b></p> <ul> <li style="font-weight: 400;"><a href="/au/blog/ecommerce-live-chat"><span style="font-weight: 400;">How To Drive More Ecommerce Sales With Live Chat</span></a></li> <li style="font-weight: 400;"><a href="/au/blog/shopify-chat"><span style="font-weight: 400;">Close More Sales Through Real-Time Conversations</span></a></li> </ul> <h2 id="sellmore">Sell more to people who want to buy</h2> <p><span style="font-weight: 400;">The beauty of focusing on average order value is that you’re concentrating on visitors who already want to buy. They’ve come to your site with high intent; they may even have items in their carts. All you have to do is help them discover and buy other items relevant to them.&nbsp;</span></p> <p><span style="font-weight: 400;">When you focus on engaging and activating those who are already spending with you, you have fewer barriers to overcome. Instead of spinning your wheels on the customer acquisition treadmill, it’s about creating a greater exchange of value—the customers who spend more, get more</span>.</p> <p><em>Illustration by Gracia Lam</em></p> <div class="clear"></div> <div id=":R0:" data-component-name="blog-read-more" class="marketing-block marketing-block--light marketing-block--padded text-body-sm text-left my-8 tablet:my-16 p-8 bg-marketingBg border-t-2 [&amp;_h2]:text-t5 border-blog-highlight"><h2 class="!mt-0 mb-6 font-aktivgroteskextended">Read more</h2><ul class="!mt-0 !mb-0"><li class="mt-2"><a href="/au/blog/cheap-ecommerce-platforms">The 10 Best Cheap Ecommerce Platforms for Small Businesses (2024)</a></li><li class="mt-2"><a href="/au/blog/etsy-alternatives">9 Etsy Alternatives To Sell Your Crafts On (2024)</a></li><li class="mt-2"><a href="/au/blog/120928069-how-to-create-faq-page">21 Best FAQ Page Examples (+ How To Create Your Own)</a></li><li class="mt-2"><a href="/au/blog/57720581-7-automated-email-campaigns-that-win-customers-and-keep-them-coming-back">The Beginner’s Guide to Email Automation: Campaign Ideas and Tips</a></li><li class="mt-2"><a href="/au/blog/market-demand">What Is Market Demand and How To Calculate It</a></li><li class="mt-2"><a href="/au/blog/best-ecommerce-platforms">11 Best Ecommerce Platforms for Your Business in 2024</a></li><li class="mt-2"><a href="/au/blog/customer-complaints">Upset Customers? Here's How To Avoid Customer Complaints Before They Happen</a></li><li class="mt-2"><a href="/au/blog/best-crm-software-for-small-business">Best CRM Software for Small Businesses: 5 Popular CRMs</a></li><li class="mt-2"><a href="/au/blog/loyalty-program">What Is a Loyalty Program? 5 Best Examples (2024)</a></li></ul></div><div class="marketing-block marketing-block--light marketing-block--padded my-12 border-l-2 pl-4 [&amp;_h2]:!mt-0 [&amp;_h2]:mb-6 [&amp;_h2]:text-t5 [&amp;_h3]:!mt-0 [&amp;_h3]:mb-6 [&amp;_h3]:text-t7 [&amp;_h4]:!mt-0 [&amp;_h4]:mb-6 [&amp;_h4]:text-t8 [&amp;_ul]:!mt-0 [&amp;_ul]:mb-6 [&amp;_ul:last-child]:mb-0 [&amp;_ol]:!mt-0 [&amp;_ol]:mb-6 [&amp;_ol:last-child]:mb-0 [&amp;_p]:!mt-0 [&amp;_p]:mb-6 [&amp;_p:last-child]:mb-0 border-blog-highlight text-body-sm my-8 tablet:my-16 p-8 bg-marketingBg !border-l-0 border-t-2 pl-8 [&amp;_[itemscope]]:mb-6 [&amp;_[itemscope]:last-child]:mb-0" style="text-align: left;" id="faq-section"> <div itemtype="https://schema.org/FAQPage" itemscope=""> <h2>Average order value FAQ</h2> <div itemtype="https://schema.org/Question" itemprop="mainEntity" itemscope=""> <h3 itemprop="name">Why is average order value important?</h3> <div itemtype="https://schema.org/Answer" itemprop="acceptedAnswer" itemscope=""> <div itemprop="text">Average order value (AOV) is an important metric for any ecommerce business because it measures the average amount of money spent by each customer. A higher average order value suggests that a business is driving sales by promoting more expensive products or cross-selling.</div> </div> </div> <div itemtype="https://schema.org/Question" itemprop="mainEntity" itemscope=""> <h3 itemprop="name">How do you measure AOV?</h3> <div itemtype="https://schema.org/Answer" itemprop="acceptedAnswer" itemscope=""> <div itemprop="text">To calculate average order values for your business, simply divide your total revenue by the number of customers who have made a purchase over the same period.</div> </div> </div> <div itemtype="https://schema.org/Question" itemprop="mainEntity" itemscope=""> <h3 itemprop="name">What is average order value KPI?</h3> <div itemtype="https://schema.org/Answer" itemprop="acceptedAnswer" itemscope=""> <div itemprop="text">Average order value (AOV) is a key performance indicator (KPI) that measures the average dollar amount spent per order placed on a website or ecommerce store. To calculate AOV, simply divide the total revenue by the total number of orders.</div> </div> </div> <div itemtype="https://schema.org/Question" itemprop="mainEntity" itemscope=""> <h3 itemprop="name">What affects average order value?</h3> <div itemtype="https://schema.org/Answer" itemprop="acceptedAnswer" itemscope=""> <div itemprop="text">Average order value is affected by a variety of factors, such as marketing and pricing strategies, customer segmentation, delivery options, and customer loyalty.</div> </div> </div> </div> </div></div></div><div class="border-t tablet-xl:border-[#d4d4d8] my-16 py-6 flex tablet-xl:flex-row justify-between flex-col"><div class="flex items-center tablet-xl:justify-start tablet-xl:flex-row flex-row-reverse justify-between"><div class="self-center flex flex-col"><div class="gap-x-1 flex flex-wrap text-lg font-aktivgroteskextended leading-[18px] font-bold mb-2"> <!-- -->by <span itemProp="author" itemscope="" itemType="https://schema.org/Person"><a 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Yin","avatarUrl":"https://www.gravatar.com/avatar/d41d8cd98f00b204e9800998ecf8427e?s=200\u0026d=404","isDisabledAuthor":false},"id":"gid://shopify/Article/45499333","handle":"average-order-value","title":"Average Order Value: Definition and 5 Ways To Grow It (2024)","publishedAt":"2023-05-31T13:30:00Z","image":{"__typename":"Image","url":"https://cdn.shopify.com/s/files/1/0070/7032/articles/Average_order_value_eb7de2d4-ffb9-4525-82fa-7d1d615e60ab.png?v=1729112605","altText":"Average order value","width":1848,"height":782},"tags":["Retention"],"contentHtml":"\n\u003cp\u003eTraffic to your site is high. Conversion rates are good. But then you read the fine print: your order values, the amount customers buy at checkout, are consistently low.\u003c/p\u003e\n\u003cp\u003eAverage order value (AOV) is a useful metric to monitor as you grow your business. Traditionally, it’s one of the first numbers business owners try to improve to increase revenue or \u003ca href=\"/blog/scale-facebook-ads\" target=\"_blank\"\u003eoptimize return on ad spend\u003c/a\u003e. It sounds simple enough: If you can get people to spend more money per order, you’ll make more money, right?\u003c/p\u003e\n\u003cp\u003eNot so fast. Like most important metrics, average order value has its limitations. Below, learn how to think about your AOV, and discover methods of increasing AOV that may lead to not just more revenue, but more profit.\u003c/p\u003e\n\u003cul\u003e\n\u003cli\u003e\u003ca href=\"#averageorder\"\u003eWhat is average order value?\u003c/a\u003e\u003c/li\u003e\n\u003cli\u003e\u003ca href=\"#better\"\u003eA better way to think about average order value\u003c/a\u003e\u003c/li\u003e\n\u003cli\u003e\u003ca href=\"#five\"\u003eFive ways to increase average order value\u003c/a\u003e\u003c/li\u003e\n\u003cli\u003e\u003ca href=\"#sellmore\"\u003eSell more to people who want to buy\u003c/a\u003e\u003c/li\u003e\n\u003cli\u003e\u003ca href=\"#faq\"\u003eAverage order value FAQ\u003c/a\u003e\u003c/li\u003e\n\u003cul\u003e\u003c/ul\u003e\n\u003c/ul\u003e\n\u003ch2\u003eWhat is average order value?\u003c/h2\u003e\n\u003cp\u003eAverage order value (AOV) is a key metric that measures the average amount spent by customers per transaction. Calculating AOV involves dividing total revenue by the number of orders. Increasing AOV can be achieved through strategies like upselling, cross-selling, and offering incentives for larger purchases, ultimately enhancing profitability for ecommerce businesses.\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eLet’s look at a hypothetical example: If your store has a total revenue of $2,000 split between 100 orders, your average order value is $20. This means that, on average, a customer spends $20 each time they make a purchase from your store.\u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eIf you’re a Shopify customer, you can find this number (along with many others) \u003c/span\u003e\u003ca href=\"https://help.shopify.com/en/manual/reports-and-analytics/shopify-reports/report-types/customers-reports\"\u003e\u003cspan style=\"font-weight: 400;\"\u003ein your customer reports\u003c/span\u003e\u003c/a\u003e\u003cspan style=\"font-weight: 400;\"\u003e.\u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eTraditionally, online businesses that know their AOV focus on getting customers to spend past that threshold—for instance, if their AOV is $20, by offering free shipping on orders over $25. But while increasing order value this way can help your revenue stream, it may not bring you the highest profit margins\u003c/span\u003e.\u003c/p\u003e\n\u003ca name=\"better\"\u003e\u003c/a\u003e\n\u003ch2\u003eA better way to think about average order value\u003c/h2\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eTaylor Holiday, co-founder of marketing agency \u003c/span\u003e\u003ca href=\"https://commonthreadco.com/\"\u003e\u003cspan style=\"font-weight: 400;\"\u003eCommon Thread Collective\u003c/span\u003e\u003c/a\u003e\u003cspan style=\"font-weight: 400;\"\u003e, is quick to point out the limitations of average order value as a lever for revenue growth.\u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003e“When it comes to measures of central tendency (mean, median, mode) there is a saying in statistics: no measure of central tendency is best, but using only one is certainly the worst,\" Taylor says. \u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eTaylor argues that looking at average order value will only give you a partial picture of your customer behavior. To increase order value, he recommends business owners consider all three measures of central tendency: \u003c/span\u003e\u003c/p\u003e\n\u003cul\u003e\n\u003cli style=\"font-weight: 400;\"\u003e\n\u003cb\u003eMean: \u003c/b\u003e\u003cspan style=\"font-weight: 400;\"\u003ethe average value of all orders (traditionally called the average order value)\u003c/span\u003e\n\u003c/li\u003e\n\u003cli style=\"font-weight: 400;\"\u003e\n\u003cb\u003eMedian: \u003c/b\u003e\u003cspan style=\"font-weight: 400;\"\u003ethe middle value of all orders\u003c/span\u003e\n\u003c/li\u003e\n\u003cli style=\"font-weight: 400;\"\u003e\n\u003cb\u003eMode: \u003c/b\u003e\u003cspan style=\"font-weight: 400;\"\u003ethe most frequently occurring order value\u003c/span\u003e\n\u003c/li\u003e\n\u003c/ul\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eHere’s a practical example of how this can affect your strategies, using our demo store, \u003c/span\u003e\u003ca href=\"https://kindahotsauce.shop/\"\u003e\u003cspan style=\"font-weight: 400;\"\u003eKinda Hot Sauce\u003c/span\u003e\u003c/a\u003e:\u003c/p\u003e\n\u003cp\u003e\u003cimg src=\"https://cdn.shopify.com/s/files/1/0070/7032/files/Screen_Shot_2020-11-17_at_5.23.14_PM.png?v=1605662687\"\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eAbove is a histogram of order frequency, along with the mean, median, and mode calculated. Notice that the mean (or average) of $24 is substantially higher than the mode (most common dollar amount of orders) of $15. There are a few high dollar orders that skew up the average. \u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eTaylor says that if store owners want to develop strategies that impact average order value, the best approach is to concentrate on moving the \u003c/span\u003e\u003cb\u003emodal\u003c/b\u003e\u003cspan style=\"font-weight: 400;\"\u003e orders up. For Kinda Hot Sauce, the most common orders are for $15. “So as we think about strategies to affect the overall AOV, we begin by understanding these orders and what upsells might be appropriate,” Taylor says.\u003c/span\u003e\u003c/p\u003e\n\u003cblockquote\u003e\n\u003cp\u003eLook at your modal, or your most frequent, order values as a starting point for your efforts to increase your overall revenue.\u003c/p\u003e\n\u003c/blockquote\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eAll of this is to say: AOV is important to track, but it shouldn’t be your only metric of business health. That would be as misleading as counting calories for the purpose of leading a healthier, longer life. Some calories are good (avocado), others less so (table sugar), and it’s better for your health to cut down on the bad calories rather than the good ones.\u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eWith that in mind, let’s turn to five tactics cited by business owners and consultants.\u003c/span\u003e\u003c/p\u003e\n\u003ca name=\"five\"\u003e\u003c/a\u003e\n\u003ch2\u003eFive ways to increase average order value\u003c/h2\u003e\n\u003ch3\u003e\u003cb\u003e1. Create an order minimum for “free shipping” and other gifts\u003c/b\u003e\u003c/h3\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eCustomer expectations around shipping costs are a major consideration when it comes to increasing average order value. Free shipping is a commonplace but still highly effective way to nudge customers to spend more. And it’s easy to \u003c/span\u003e\u003ca href=\"https://docs.shopify.com/manual/settings/shipping/shipping-rates#free-shipping\"\u003e\u003cspan style=\"font-weight: 400;\"\u003eset up with Shopify\u003c/span\u003e\u003c/a\u003e\u003cspan style=\"font-weight: 400;\"\u003e.\u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eTo calculate your threshold, start with \u003c/span\u003e\u003cb\u003emodal\u003c/b\u003e\u003cspan style=\"font-weight: 400;\"\u003e order value, or the most common order values. For instance, if most of your orders are in the $35 range, you might offer free shipping to orders over $50. \u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eDigital marketing consultant Aaron Zakowski \u003c/span\u003e\u003ca href=\"https://aaronzakowski.com/increase-average-order-values\"\u003e\u003cspan style=\"font-weight: 400;\"\u003esuggests\u003c/span\u003e\u003c/a\u003e\u003cspan style=\"font-weight: 400;\"\u003e setting your threshold at 30% higher than your AOV (but again, consider using your modal order value here). The goal is to make free shipping feel attainable to the greatest number of customers, thereby increasing your overall revenues. Setting the threshold too high risks abandoned carts. \u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eReturning to the Kinda Hot Sauce example, if it had set its free shipping threshold at $35, based on its AOV of $24, the vast majority of customers spending $15 would probably abandon their carts. If your goal is to weed out lower-paying customers, then this is a great strategy—but I’m guessing it’s not. \u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eA variation of free shipping is offering volume discounts, or a set discount for orders over a certain threshold. For example, you might offer a $10 coupon for orders above $50. You could also offer a 10% discount for orders above $50, but this makes profits more unpredictable.\u003c/span\u003e\u003c/p\u003e\n\u003ch3\u003e\u003cspan style=\"font-size: 15px;\"\u003e\u003ca href=\"https://koparibeauty.com/\"\u003e\u003cspan style=\"font-weight: 400;\"\u003eKopari Beauty\u003c/span\u003e\u003c/a\u003e\u003cspan style=\"font-weight: 400;\"\u003e offers free gifts with a minimum purchase order and promotes this through its in-cart messaging\u003c/span\u003e:\u003c/span\u003e\u003c/h3\u003e\n\u003cp\u003e\u003cimg alt=\"Kopari beauty\" src=\"https://cdn.shopify.com/s/files/1/0070/7032/files/Kopari.png?v=1605660714\"\u003e\u003c/p\u003e\n\u003cdiv class=\"marketing-block marketing-block--light marketing-block--padded\"\u003e\n\u003cp\u003e\u003cstrong\u003e💡 TIP: \u003c/strong\u003eConsider using a \u003ca href=\"https://apps.shopify.com/search?q=promotion+bar\u0026amp;button=\"\u003epromotion bar\u003c/a\u003e on your website to make it obvious that you’re offering a minimum order incentive.\u003c/p\u003e\n\u003c/div\u003e\n\u003ch3\u003e\u003cb\u003e2. Bundle products or create packages\u003c/b\u003e\u003c/h3\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eIf you want customers to purchase more items, try adjusting your pricing strategy by creating product bundles that cost less than if the same items were purchased individually.\u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eBy bundling products, you’re increasing the perceived value of a customer’s purchase. One great approach to product bundling is offering a package of products that create an all-in-one solution for the desired experience.\u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-size: 15px;\"\u003e\u003cspan style=\"font-weight: 400;\"\u003eFor example, \u003c/span\u003e\u003ca href=\"https://bioliteenergy.com/products/campstove-2-bundle\"\u003e\u003cspan style=\"font-weight: 400;\"\u003eBioLite\u003c/span\u003e\u003c/a\u003e\u003cspan style=\"font-weight: 400;\"\u003e bundles together a stove and accessories—the basic essentials to cook a meal while camping. This makes it easier for customers to get everything they need in one shot, while also eliminating the need to conduct further research. And you’ve sold multiple products instead of one\u003c/span\u003e. \u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cimg alt=\"Increase cart value with bundles\" src=\"//cdn.shopify.com/s/files/1/0070/7032/files/order-value-bundle.jpg?v=1555364307\"\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eYou can also empower your customers to create their own bundles by allowing for custom products or packages that let them choose which features or add-ons they want in their order.\u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eFor example, \u003c/span\u003e\u003ca href=\"https://contrado.com/\"\u003e\u003cspan style=\"font-weight: 400;\"\u003eContrado\u003c/span\u003e\u003c/a\u003e\u003cspan style=\"font-weight: 400;\"\u003e, a clothing store, allows customers to design their own face masks and add upgraded materials, white labeling, and other unique add-ons that may increase the order total\u003c/span\u003e.\u003c/p\u003e\n\u003cp\u003e\u003cimg alt=\"customized face masks\" src=\"https://cdn.shopify.com/s/files/1/0070/7032/files/Contrado_mask.png?v=1605658908\"\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eAt \u003c/span\u003e\u003ca href=\"https://wearlively.com/\"\u003e\u003cspan style=\"font-weight: 400;\"\u003eLively\u003c/span\u003e\u003c/a\u003e\u003cspan style=\"font-weight: 400;\"\u003e, a bra retailer that \u003c/span\u003e\u003ca href=\"https://shopify.com/retail/lively\"\u003e\u003cspan style=\"font-weight: 400;\"\u003eturned to Shopify\u003c/span\u003e\u003c/a\u003e\u003cspan style=\"font-weight: 400;\"\u003e to build an omnichannel presence, founder Michelle Grant took inspiration from behavior she found in retail stores. She knew from experience that 90% of customers would buy two or three bras at a time after their custom fitting. So Lively made bundling available online as well: buy two or three bras at a time for a slight discount\u003c/span\u003e.\u003c/p\u003e\n\u003cp\u003e\u003cimg alt=\"Lively bra bundle\" src=\"https://cdn.shopify.com/s/files/1/0070/7032/files/Screen_Shot_2020-11-17_at_4.23.54_PM.png?v=1605659172\"\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003e“Within the course of two weeks of launching, that became over 50% of our sales and has driven up our average order value exponentially,” Grant says. \u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cb\u003eShopify apps to create product bundles: \u003c/b\u003e\u003cspan style=\"font-weight: 400;\"\u003eIf you’re interested in adding product bundles or custom bundles to your store, check out a range of free and paid bundling apps in the \u003c/span\u003e\u003ca href=\"https://apps.shopify.com/search/query?utf8=%E2%9C%93\u0026amp;q=bundles\"\u003e\u003cspan style=\"font-weight: 400;\"\u003eShopify App Store\u003c/span\u003e\u003c/a\u003e\u003cspan style=\"font-weight: 400;\"\u003e.\u003c/span\u003e\u003c/p\u003e\n\u003ch3\u003e\u003cb\u003e3. Upsell or cross-sell complementary products\u003c/b\u003e\u003c/h3\u003e\n\u003cp\u003e\u003ca href=\"https://shopify.com/blog/upselling-and-cross-selling\"\u003e\u003cspan style=\"font-weight: 400;\"\u003eUpselling and cross-selling\u003c/span\u003e\u003c/a\u003e\u003cspan style=\"font-weight: 400;\"\u003e are \u003c/span\u003e\u003ci\u003e\u003cspan style=\"font-weight: 400;\"\u003eat least \u003c/span\u003e\u003c/i\u003e\u003cspan style=\"font-weight: 400;\"\u003eas old as the McDonald’s refrain, “Would you like fries with that?” Like bundling, upselling and cross-selling are all about nudging customers to buy complementary or upgraded versions of the products they already intend to purchase. \u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eAnd like any tactic, it can experience diminishing returns with overuse. Preetam Nath of \u003c/span\u003e\u003ca href=\"https://delightchat.io/\"\u003e\u003cspan style=\"font-weight: 400;\"\u003eDelightChat\u003c/span\u003e\u003c/a\u003e\u003cspan style=\"font-weight: 400;\"\u003e shares ways to evolve your upselling strategy, based on advising hundreds of online stores: \u003c/span\u003e\u003c/p\u003e\n\u003cul\u003e\n\u003cli style=\"font-weight: 400;\"\u003e\n\u003cb\u003eDon’t upsell too much: recommend like a friend would.\u003c/b\u003e\u003cspan style=\"font-weight: 400;\"\u003e Nobody wants to feel like they are being sold to. Your upsell needs to appear helpful and genuine, like how a friend might suggest a product. Instead of simply suggesting other popular items from your store, hand-pick products that pair perfectly with the item in the user’s cart, such as accessories or add-ons. For example, a mouse for a laptop or batteries for a remote control.\u003c/span\u003e\n\u003c/li\u003e\n\u003cli style=\"font-weight: 400;\"\u003e\n\u003cb\u003eOffer low-value upsells to increase the likelihood of purchase.\u003c/b\u003e\u003cspan style=\"font-weight: 400;\"\u003e If someone is out to purchase $50 to $100 worth of goods, it’s hard to convince them to purchase another $100, but easy to convince them to add a $20 product that complements their purchase.\u003c/span\u003e\n\u003c/li\u003e\n\u003cli style=\"font-weight: 400;\"\u003e\n\u003cb\u003eTest with post-purchase upsells.\u003c/b\u003e\u003cspan style=\"font-weight: 400;\"\u003e If a brand is worried about affecting their conversion rates when trying to bundle complementary products, a low-risk way to test is by implementing post-purchase upsells, maybe using an app like ReConvert. That way, you can use data to inform you which products people buy together. And then create a bundle pre-purchase for the same.\u003c/span\u003e\n\u003c/li\u003e\n\u003c/ul\u003e\n\u003cp\u003e\u003cb\u003eShopify apps for cross-selling and upselling your customers: \u003c/b\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eCheck out the \u003c/span\u003e\u003ca href=\"https://apps.shopify.com/search?q=product+recommendations\"\u003e\u003cspan style=\"font-weight: 400;\"\u003eShopify App Store\u003c/span\u003e\u003c/a\u003e\u003cspan style=\"font-weight: 400;\"\u003e to find the right product recommendation app for your store. Here are a few options:\u003c/span\u003e\u003c/p\u003e\n\u003cul\u003e\n\u003cli style=\"font-weight: 400;\"\u003e\n\u003ca href=\"https://apps.shopify.com/zipify-oneclickupsell?utm_source=blog\u0026amp;utm_medium=aov_post\"\u003e\u003cb\u003eZipify One Click Upsell\u003c/b\u003e\u003c/a\u003e\u003cb\u003e:\u003c/b\u003e\u003cspan style=\"font-weight: 400;\"\u003e Built for Plus customers, this app boosts average order value with one-click upsell offers.\u003c/span\u003e\n\u003c/li\u003e\n\u003cli style=\"font-weight: 400;\"\u003e\n\u003ca href=\"https://apps.shopify.com/candyrack\"\u003e\u003cb\u003eCandy Rack\u003c/b\u003e\u003c/a\u003e\u003cb\u003e:\u003c/b\u003e\u003cspan style=\"font-weight: 400;\"\u003e Build post-purchase upsell funnels with one-click purchases.\u003c/span\u003e\n\u003c/li\u003e\n\u003cli style=\"font-weight: 400;\"\u003e\n\u003ca href=\"https://apps.shopify.com/post-purchase-offers-carthook?utm_source=blog\u0026amp;utm_medium=aov_post\"\u003e\u003cb\u003eCartHook Post Purchase Offers\u003c/b\u003e\u003c/a\u003e\u003cb\u003e:\u003c/b\u003e\u003cspan style=\"font-weight: 400;\"\u003e Add native one-click promotions including upsells and free gifts to your Shopify store.\u003c/span\u003e\n\u003c/li\u003e\n\u003cli style=\"font-weight: 400;\"\u003e\n\u003ca href=\"https://apps.shopify.com/post-purchase-promotions?utm_source=blog\u0026amp;utm_medium=aov_posts\"\u003e\u003cb\u003ePost Checkout Upsells \u0026amp; Promos\u003c/b\u003e\u003c/a\u003e\u003cb\u003e:\u003c/b\u003e\u003cspan style=\"font-weight: 400;\"\u003e Boost revenue with native post-purchase upsells and more.\u003c/span\u003e\n\u003c/li\u003e\n\u003cli style=\"font-weight: 400;\"\u003e\n\u003ca href=\"https://apps.shopify.com/special-offers?utm_source=blog\u0026amp;utm_medium=aov_post\"\u003e\u003cb\u003eUltimate Special Offers\u003c/b\u003e\u003c/a\u003e\u003cb\u003e:\u003c/b\u003e\u003cspan style=\"font-weight: 400;\"\u003e Create one-click offer upsells directly in your store checkout. \u003c/span\u003e\n\u003c/li\u003e\n\u003c/ul\u003e\n\u003ch3\u003e\u003cb\u003e4. Set up a customer loyalty program\u003c/b\u003e\u003c/h3\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eIf your store sells consumable products—something your customer base needs to repurchase, like razors or shaving cream—consider setting up a rewards or loyalty program. Creating a \u003c/span\u003e\u003ca href=\"https://shopify.com/blog/loyalty-program\"\u003e\u003cspan style=\"font-weight: 400;\"\u003ecustomer loyalty program\u003c/span\u003e\u003c/a\u003e\u003cspan style=\"font-weight: 400;\"\u003e is a \u003c/span\u003e\u003ca href=\"https://shopify.com/blog/customer-retention-strategies\"\u003e\u003cspan style=\"font-weight: 400;\"\u003eretention strategy\u003c/span\u003e\u003c/a\u003e\u003cspan style=\"font-weight: 400;\"\u003e that helps you forge relationships with your customers and increase \u003c/span\u003e\u003ca href=\"https://shopify.com/blog/customer-lifetime-value\"\u003e\u003cspan style=\"font-weight: 400;\"\u003ecustomer lifetime value\u003c/span\u003e\u003c/a\u003e\u003cspan style=\"font-weight: 400;\"\u003e.\u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eIt’s important to make sure your loyalty programs evolve with consumer preferences. During a global pandemic and looming economic downturn, for instance, it may not make sense to reward buyers with unnecessarily lavish gifts for spending a lot.\u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eClaire’s, an accessory store aimed at teens and tweens, recently \u003c/span\u003e\u003ca href=\"https://chainstoreage.com/claires-stores-launches-its-first-ever-loyalty-program-these-are-perks\"\u003e\u003cspan style=\"font-weight: 400;\"\u003elaunched a loyalty program\u003c/span\u003e\u003c/a\u003e\u003cspan style=\"font-weight: 400;\"\u003e offering cash back incentives ($5 back for every 100 points). The company realizes that, for its young clientele, every dollar counts\u003c/span\u003e. \u003c/p\u003e\n\u003cp\u003e\u003cimg alt=\"Claire's\" src=\"https://cdn.shopify.com/s/files/1/0070/7032/files/Claire_s.png?v=1605659704\"\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eWhen there’s an incentive for your customers to earn points under your loyalty program, you can expect to see your average order value increase significantly. \u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cb\u003eLearn how to run a loyalty program for your store:\u003c/b\u003e\u003c/p\u003e\n\u003cul\u003e\n\u003cli style=\"font-weight: 400;\"\u003e\u003ca href=\"https://shopify.com/blog/117007237-how-to-start-a-loyalty-program-that-keeps-customers-coming-back\"\u003e\u003cspan style=\"font-weight: 400;\"\u003eStart a Loyalty Program that Keeps Customers Coming Back\u003c/span\u003e\u003c/a\u003e\u003c/li\u003e\n\u003cli style=\"font-weight: 400;\"\u003e\u003ca href=\"https://shopify.com/enterprise/loyalty-programs\"\u003e\u003cspan style=\"font-weight: 400;\"\u003eLoyalty Program Examples: 36 Strategies \u0026amp; 100+ Statistics\u003c/span\u003e\u003c/a\u003e\u003c/li\u003e\n\u003cli style=\"font-weight: 400;\"\u003e\u003ca href=\"https://shopify.com/retail/10-innovative-loyalty-programs\"\u003e\u003cspan style=\"font-weight: 400;\"\u003e7 Examples of Innovative Retail Loyalty Programs\u003c/span\u003e\u003c/a\u003e\u003c/li\u003e\n\u003c/ul\u003e\n\u003ch3\u003e\u003cb\u003e5. Provide fully staffed live chat support for quick questions\u003c/b\u003e\u003c/h3\u003e\n\u003cp\u003e\u003ca href=\"https://shopify.com/blog/live-chat-customer-service\"\u003e\u003cspan style=\"font-weight: 400;\"\u003eLive chat\u003c/span\u003e\u003c/a\u003e\u003cspan style=\"font-weight: 400;\"\u003e usually conjures images of headset-clad support agents sitting in an office, triaging problems. Nowadays, ecommerce businesses that staff a live chat sell more—10% to 15% more per cart, according to \u003c/span\u003e\u003ca href=\"https://go.forrester.com/blogs/retailers-without-chat-a-missed-opportunity\"\u003e\u003cspan style=\"font-weight: 400;\"\u003eForrester\u003c/span\u003e\u003c/a\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003e“Being available through live chat helps customers get their immediate questions answered, which means greater potential for a sale and fewer abandoned items,” says Jaime Schmidt, founder of Schmidt’s Naturals and author of \u003c/span\u003e\u003ci\u003e\u003cspan style=\"font-weight: 400;\"\u003eSupermaker: Crafting Business on Your Own Terms\u003c/span\u003e\u003c/i\u003e\u003cspan style=\"font-weight: 400;\"\u003e. Schmidt calls live chat an “underutilized weapon” for increasing AOV\u003c/span\u003e.\u003c/p\u003e\n\u003cfigure style=\"text-align: center;\"\u003e\u003cimg style=\"float: none;\" src=\"https://cdn.shopify.com/s/files/1/0070/7032/files/Ping.png?v=1605660142\" alt=\"Live chat for customer service\"\u003e\u003cbr\u003e\n\u003cfigcaption\u003eTry \u003ca href=\"https://www.shopify.com/inbox\" target=\"_blank\"\u003eShopify Inbox\u003c/a\u003e to save sales and solve problems right at the point of purchase.\u003c/figcaption\u003e\n\u003c/figure\u003e\n\u003cp\u003eAnother way to think about live chat is that it helps your highest-intent buyers complete purchases. You’ll be chatting with visitors who intentionally came to your site to browse or buy, but who might need specific questions answered to gain the confidence to hit the Buy button.\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eLive chat is especially useful for high-ticket items, like mattresses and furniture, which may require more handholding to reach the checkout line. Online business ask a lot of buyers: they ask them to find and pay for products, usually sight unseen. Product reviews, testimonials, and other social proof can also help, but live chat can close the deal when it counts the most\u003c/span\u003e. \u003c/p\u003e\n\u003cblockquote\u003e\n\u003cp\u003eBeing available through live chat helps customers get their immediate questions answered, which means greater potential for a sale and fewer abandoned items.\u003c/p\u003e\n\u003c/blockquote\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eWhat’s more, if you provide a way for your buyers to instantly connect with you, you’re not only helping sell once, but you’re fostering a conversation that can encourage repeat sales. \u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cb\u003eFor more on using live chat for sales, check out: \u003c/b\u003e\u003c/p\u003e\n\u003cul\u003e\n\u003cli style=\"font-weight: 400;\"\u003e\u003ca href=\"https://shopify.com/blog/ecommerce-live-chat\"\u003e\u003cspan style=\"font-weight: 400;\"\u003eHow To Drive More Ecommerce Sales With Live Chat\u003c/span\u003e\u003c/a\u003e\u003c/li\u003e\n\u003cli style=\"font-weight: 400;\"\u003e\u003ca href=\"https://shopify.com/blog/shopify-chat\"\u003e\u003cspan style=\"font-weight: 400;\"\u003eClose More Sales Through Real-Time Conversations\u003c/span\u003e\u003c/a\u003e\u003c/li\u003e\n\u003c/ul\u003e\n\u003ch2 id=\"sellmore\"\u003eSell more to people who want to buy\u003c/h2\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eThe beauty of focusing on average order value is that you’re concentrating on visitors who already want to buy. They’ve come to your site with high intent; they may even have items in their carts. All you have to do is help them discover and buy other items relevant to them. \u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eWhen you focus on engaging and activating those who are already spending with you, you have fewer barriers to overcome. Instead of spinning your wheels on the customer acquisition treadmill, it’s about creating a greater exchange of value—the customers who spend more, get more\u003c/span\u003e.\u003c/p\u003e\n\u003cp\u003e\u003cem\u003eIllustration by Gracia Lam\u003c/em\u003e\u003c/p\u003e\n\u003cdiv class=\"clear\"\u003e\u003c/div\u003e\n\u003cdiv class=\"marketing-block marketing-block--light marketing-block--padded\" style=\"text-align: left;\"\u003e\n\u003cdiv itemtype=\"https://schema.org/FAQPage\" itemscope=\"\"\u003e\n\u003ch2\u003eAverage order value FAQ\u003c/h2\u003e\n\u003cdiv itemtype=\"https://schema.org/Question\" itemprop=\"mainEntity\" itemscope=\"\"\u003e\n\u003ch3 itemprop=\"name\"\u003eWhy is average order value important?\u003c/h3\u003e\n\u003cdiv itemtype=\"https://schema.org/Answer\" itemprop=\"acceptedAnswer\" itemscope=\"\"\u003e\n\u003cdiv itemprop=\"text\"\u003eAverage order value (AOV) is an important metric for any ecommerce business because it measures the average amount of money spent by each customer. A higher average order value suggests that a business is driving sales by promoting more expensive products or cross-selling.\u003c/div\u003e\n\u003c/div\u003e\n\u003c/div\u003e\n\u003cdiv itemtype=\"https://schema.org/Question\" itemprop=\"mainEntity\" itemscope=\"\"\u003e\n\u003ch3 itemprop=\"name\"\u003eHow do you measure AOV?\u003c/h3\u003e\n\u003cdiv itemtype=\"https://schema.org/Answer\" itemprop=\"acceptedAnswer\" itemscope=\"\"\u003e\n\u003cdiv itemprop=\"text\"\u003eTo calculate average order values for your business, simply divide your total revenue by the number of customers who have made a purchase over the same period.\u003c/div\u003e\n\u003c/div\u003e\n\u003c/div\u003e\n\u003cdiv itemtype=\"https://schema.org/Question\" itemprop=\"mainEntity\" itemscope=\"\"\u003e\n\u003ch3 itemprop=\"name\"\u003eWhat is average order value KPI?\u003c/h3\u003e\n\u003cdiv itemtype=\"https://schema.org/Answer\" itemprop=\"acceptedAnswer\" itemscope=\"\"\u003e\n\u003cdiv itemprop=\"text\"\u003eAverage order value (AOV) is a key performance indicator (KPI) that measures the average dollar amount spent per order placed on a website or ecommerce store. To calculate AOV, simply divide the total revenue by the total number of orders.\u003c/div\u003e\n\u003c/div\u003e\n\u003c/div\u003e\n\u003cdiv itemtype=\"https://schema.org/Question\" itemprop=\"mainEntity\" itemscope=\"\"\u003e\n\u003ch3 itemprop=\"name\"\u003eWhat affects average order value?\u003c/h3\u003e\n\u003cdiv itemtype=\"https://schema.org/Answer\" itemprop=\"acceptedAnswer\" itemscope=\"\"\u003e\n\u003cdiv itemprop=\"text\"\u003eAverage order value is affected by a variety of factors, such as marketing and pricing strategies, customer segmentation, delivery options, and customer loyalty.\u003c/div\u003e\n\u003c/div\u003e\n\u003c/div\u003e\n\u003c/div\u003e\n\u003c/div\u003e","excerpt":"Looking for cost-effective ways to earn more revenue for your online store? Check out these five ideas to increase average order value—and the Shopify apps to help you execute.","excerptHtml":"\u003cp\u003e\u003cimg src=\"https://cdn.shopify.com/s/files/1/0070/7032/files/Average_order_value.png?v=1677888375\" alt=\"Average order value\"\u003e\u003c/p\u003e\n\u003cp\u003eLooking for cost-effective ways to earn more revenue for your online store? Check out these five ideas to increase average order value—and the Shopify apps to help you execute.\u003c/p\u003e","seo":{"__typename":"SEO","title":"Average Order Value: Definition and 5 Ways To Grow It (2024)","description":"Wondering how to increase average order value (AOV) for your online store? Learn five strategies to increase AOV, from up-selling to product bundles."},"metafields":[null,null,null,{"__typename":"Metafield","value":"{\"en-CA\":\"https://www.shopify.com/ca/blog/average-order-value\",\"en-GB\":\"https://www.shopify.com/uk/blog/average-order-value\",\"en-AU\":\"https://www.shopify.com/au/blog/average-order-value\",\"en-ID\":\"https://www.shopify.com/id/blog/average-order-value\",\"en-NZ\":\"https://www.shopify.com/nz/blog/average-order-value\",\"en-ZA\":\"https://www.shopify.com/za/blog/average-order-value\",\"en-NG\":\"https://www.shopify.com/ng/blog/average-order-value\",\"en-PH\":\"https://www.shopify.com/ph/blog/average-order-value\",\"en-SG\":\"https://www.shopify.com/sg/blog/average-order-value\",\"en-HK\":\"https://www.shopify.com/hk/blog/average-order-value\",\"en-IE\":\"https://www.shopify.com/ie/blog/average-order-value\",\"en-MY\":\"https://www.shopify.com/my/blog/average-order-value\",\"pt\":\"https://www.shopify.com/br/blog/aumentar-ticket-medio\",\"ja-JP\":\"https://www.shopify.com/jp/blog/average-order-value\",\"de\":\"https://www.shopify.com/de/blog/durchschnittlicher-bestellwert\",\"es\":\"https://www.shopify.com/es/blog/46501829-5-maneras-de-incrementar-el-promedio-de-compra-en-tu-tienda-online\",\"fr\":\"https://www.shopify.com/fr/blog/comment-calculer-augmenter-panier-moyen\",\"it\":\"https://www.shopify.com/it/blog/valore-medio-dell-ordine-aov\",\"nl\":\"https://www.shopify.com/nl/blog/omzetgroei\"}","key":"hreflang_json"},{"__typename":"Metafield","value":"[{\"title\":\"The 10 Best Cheap Ecommerce Platforms for Small Businesses (2024)\",\"url\":\"blog/cheap-ecommerce-platforms\"},{\"title\":\"9 Etsy Alternatives To Sell Your Crafts On (2024)\",\"url\":\"blog/etsy-alternatives\"},{\"title\":\"21 Best FAQ Page Examples (+ How To Create Your Own)\",\"url\":\"blog/120928069-how-to-create-faq-page\"},{\"title\":\"The Beginner’s Guide to Email Automation: Campaign Ideas and Tips\",\"url\":\"blog/57720581-7-automated-email-campaigns-that-win-customers-and-keep-them-coming-back\"},{\"title\":\"What Is Market Demand and How To Calculate It\",\"url\":\"blog/market-demand\"},{\"title\":\"11 Best Ecommerce Platforms for Your Business in 2024\",\"url\":\"blog/best-ecommerce-platforms\"},{\"title\":\"Upset Customers? Here's How To Avoid Customer Complaints Before They Happen\",\"url\":\"blog/customer-complaints\"},{\"title\":\"Best CRM Software for Small Businesses: 5 Popular CRMs\",\"url\":\"blog/best-crm-software-for-small-business\"},{\"title\":\"What Is a Loyalty Program? 5 Best Examples (2024)\",\"url\":\"blog/loyalty-program\"}]","key":"interlinkings_json"},null,{"__typename":"Metafield","value":"[{\"title\":\"How To Make Money on Instagram in 2024 (9 Actionable Ideas)\",\"tags\":[\"Social Media Optimization\"],\"handle\":\"make-money-on-instagram\",\"imageUrl\":\"https://cdn.shopify.com/s/files/1/0070/7032/files/how-to-make-money-on-instagram.png?format=webp\u0026v=1693586866\u0026\",\"imageAltText\":\"Graphic of a mobile phone with heart shapes bubbles floating around it\",\"modifiedAt\":\"2023-11-08\"},{\"title\":\"How To Start an Ecommerce Business: Guide for 2024\",\"tags\":[\"Starting Up\"],\"handle\":\"ecommerce-business-blueprint\",\"imageUrl\":\"https://cdn.shopify.com/s/files/1/0070/7032/files/Header_43a6fbaa-305a-4bda-8ef7-5e7f4e1278da.png?format=webp\u0026v=1694450194\",\"imageAltText\":\"3D models of a shopping cart and a smartphone on a turquoise background.\",\"modifiedAt\":\"2023-09-01\"},{\"title\":\"What Is Dropshipping and How Does It Work? (2024)\",\"tags\":[\"Guides\"],\"handle\":\"what-is-dropshipping\",\"imageUrl\":\"https://cdn.shopify.com/s/files/1/0070/7032/files/shopify_dropshipping_chapter_1.jpg?v=1590420594\",\"imageAltText\":\"\",\"modifiedAt\":\"2023-12-05\"},{\"title\":\"What Is Print on Demand \u0026 How To Start a Business (2024)\",\"tags\":[\"Find an Idea\"],\"handle\":\"print-on-demand\",\"imageUrl\":\"https://cdn.shopify.com/s/files/1/0070/7032/files/what-is-print-on-demand.jpg?v=1598910000\",\"imageAltText\":\"An introduction to print on demand and how to get started.\",\"modifiedAt\":\"2023-11-09\"},{\"title\":\"How To Create a Website in 9 Steps (2024)\",\"tags\":[\"Sell Online\"],\"handle\":\"build-a-website\",\"imageUrl\":\"https://cdn.shopify.com/s/files/1/0070/7032/files/1-build-a-website.jpg?v=1615422396\",\"imageAltText\":\"Placeholder\",\"modifiedAt\":\"2023-09-20\"},{\"title\":\"How To Start an Online Store in 2024 (Step-by-Step Guide)\",\"tags\":[\"Starting Up\"],\"handle\":\"start-online-store\",\"imageUrl\":\"https://cdn.shopify.com/s/files/1/0070/7032/files/store-setup-guide-hero-min.png?v=1593698881\",\"imageAltText\":\"illustration of a chef cooking up a shopify store: how to start an online store\",\"modifiedAt\":\"2023-11-23\"},{\"title\":\"How To Make and Sell Merch Your Fans Will Love (2024)\",\"tags\":[\"Find an Idea\"],\"handle\":\"make-sell-merch\",\"imageUrl\":\"https://cdn.shopify.com/s/files/1/0070/7032/files/make-sell-merch_dd3029b8-46e0-4593-abc4-ea17f12c0c2e.jpg?v=1664569520\",\"imageAltText\":\"sweatshirt and socks from MrBeast merch line\",\"modifiedAt\":\"2023-12-02\"},{\"title\":\"10 Best Ecommerce Website Builders for Your Online Store (2024)\",\"tags\":[\"Sell Online\"],\"handle\":\"best-ecommerce-website-builder\",\"imageUrl\":\"https://cdn.shopify.com/s/files/1/0070/7032/files/best-ecommerce-website-builder.jpg?v=1615833626\",\"imageAltText\":\"Illustration of a basket made out of bricks and mortar, showcasing how an ecommerce website builder can help you construct an online store\",\"modifiedAt\":\"2023-11-06\"}]","key":"popular_blog_post_json"}],"imageUrl":"https://cdn.shopify.com/s/files/1/0070/7032/articles/Average_order_value_eb7de2d4-ffb9-4525-82fa-7d1d615e60ab.png?v=1729112605","imageAltText":"Average order value","imageClass":"","modifiedAt":"31 May 2023","modifiedAtRaw":"2023-05-31T13:30:00Z"},"metaDescription":"Wondering how to increase average order value (AOV) for your online store? Learn five strategies to increase AOV, from up-selling to product bundles.","contentHtml":"\u003cp\u003eTraffic to your site is high. Conversion rates are good. But then you read the fine print: your order values, the amount customers buy at checkout, are consistently low.\u003c/p\u003e\n\u003cp\u003eAverage order value (AOV) is a useful metric to monitor as you grow your business. Traditionally, it’s one of the first numbers business owners try to improve to increase revenue or \u003ca href=\"/au/blog/scale-facebook-ads\" target=\"_blank\"\u003eoptimize return on ad spend\u003c/a\u003e. It sounds simple enough: If you can get people to spend more money per order, you’ll make more money, right?\u003c/p\u003e\n\u003cp\u003eNot so fast. Like most important metrics, average order value has its limitations. Below,\u0026nbsp;learn how to think about your AOV, and discover methods of increasing AOV that may lead to not just more revenue, but more profit.\u003c/p\u003e\u003cdiv id=\"text-cta\" class=\"hidden lg:block\"\u003e\u003c/div\u003e\n\u003cul\u003e\n\u003cli\u003e\u003ca href=\"#averageorder\"\u003eWhat is average order value?\u003c/a\u003e\u003c/li\u003e\n\u003cli\u003e\u003ca href=\"#better\"\u003eA better way to think about average order value\u003c/a\u003e\u003c/li\u003e\n\u003cli\u003e\u003ca href=\"#five\"\u003eFive ways to increase average order value\u003c/a\u003e\u003c/li\u003e\n\u003cli\u003e\u003ca href=\"#sellmore\"\u003eSell more to people who want to buy\u003c/a\u003e\u003c/li\u003e\n\u003cli\u003e\u003ca href=\"#faq\"\u003eAverage order value FAQ\u003c/a\u003e\u003c/li\u003e\n\u003cul\u003e\u003c/ul\u003e\n\u003c/ul\u003e\n\u003ch2\u003eWhat is average order value?\u003c/h2\u003e\n\u003cp\u003eAverage order value (AOV) is a key metric that measures the average amount spent by customers per transaction. Calculating AOV involves dividing total revenue by the number of orders. Increasing AOV can be achieved through strategies like upselling, cross-selling, and offering incentives for larger purchases, ultimately enhancing profitability for ecommerce businesses.\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eLet’s look at a hypothetical example: If your store has a total revenue of $2,000 split between 100 orders, your average order value is $20. This means that, on average, a customer spends $20 each time they make a purchase from your store.\u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eIf you’re a Shopify customer, you can find this number (along with many others) \u003c/span\u003e\u003ca href=\"https://help.shopify.com/en/manual/reports-and-analytics/shopify-reports/report-types/customers-reports\"\u003e\u003cspan style=\"font-weight: 400;\"\u003ein your customer reports\u003c/span\u003e\u003c/a\u003e\u003cspan style=\"font-weight: 400;\"\u003e.\u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eTraditionally, online businesses that know their AOV focus on getting customers to spend past that threshold—for instance, if their AOV is $20, by offering free shipping on orders over $25. But while increasing order value this way can help your revenue stream, it may not bring you the highest profit margins\u003c/span\u003e.\u003c/p\u003e\n\u003ca name=\"better\"\u003e\u003c/a\u003e\n\u003ch2\u003eA better way to think about average order value\u003c/h2\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eTaylor Holiday, co-founder of marketing agency \u003c/span\u003e\u003ca href=\"https://commonthreadco.com/\" rel=\"nofollow noopener noreferrer\" target=\"_blank\"\u003e\u003cspan style=\"font-weight: 400;\"\u003eCommon Thread Collective\u003c/span\u003e\u003c/a\u003e\u003cspan style=\"font-weight: 400;\"\u003e,\u0026nbsp;is quick to point out the limitations of average order value as a lever for revenue growth.\u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003e“When it comes to measures of central tendency (mean, median, mode) there is a saying in statistics: no measure of central tendency is best, but using only one is certainly the worst,\" Taylor says.\u0026nbsp;\u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eTaylor argues that looking at average order value will only give you a partial picture of your customer behavior. To increase order value, he recommends business owners consider all three measures of central tendency:\u0026nbsp;\u003c/span\u003e\u003c/p\u003e\n\u003cul\u003e\n\u003cli style=\"font-weight: 400;\"\u003e\n\u003cb\u003eMean: \u003c/b\u003e\u003cspan style=\"font-weight: 400;\"\u003ethe average value of all orders (traditionally called the average order value)\u003c/span\u003e\n\u003c/li\u003e\n\u003cli style=\"font-weight: 400;\"\u003e\n\u003cb\u003eMedian: \u003c/b\u003e\u003cspan style=\"font-weight: 400;\"\u003ethe middle value of all orders\u003c/span\u003e\n\u003c/li\u003e\n\u003cli style=\"font-weight: 400;\"\u003e\n\u003cb\u003eMode: \u003c/b\u003e\u003cspan style=\"font-weight: 400;\"\u003ethe most frequently occurring order value\u003c/span\u003e\n\u003c/li\u003e\n\u003c/ul\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eHere’s a practical example of how this can affect your strategies, using our demo store, \u003c/span\u003e\u003ca href=\"https://kindahotsauce.shop/\" rel=\"nofollow noopener noreferrer\" target=\"_blank\"\u003e\u003cspan style=\"font-weight: 400;\"\u003eKinda Hot Sauce\u003c/span\u003e\u003c/a\u003e:\u003c/p\u003e\n\u003cp\u003e\u003cimg src=\"https://cdn.shopify.com/s/files/1/0070/7032/files/Screen_Shot_2020-11-17_at_5.23.14_PM.png?v=1605662687\"\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eAbove is a histogram of order frequency, along with the mean, median, and mode calculated. Notice that the mean (or average) of $24 is substantially higher than the mode (most common dollar amount of orders) of $15. There are a few high dollar orders that skew up the average.\u0026nbsp;\u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eTaylor says that if store owners want to develop strategies that impact average order value, the best approach is to concentrate on moving the \u003c/span\u003e\u003cb\u003emodal\u003c/b\u003e\u003cspan style=\"font-weight: 400;\"\u003e orders up. For Kinda Hot Sauce, the most common orders are for $15. “So as we think about strategies to affect the overall AOV, we begin by understanding these orders and what upsells might be appropriate,” Taylor says.\u003c/span\u003e\u003c/p\u003e\n\u003cblockquote class=\"border-l-2 pl-4 font-aktivgroteskextended text-xl font-medium tracking-tight my-12 [\u0026amp;_p]:mb-4 [\u0026amp;_cite]:font-aktivgroteskextended [\u0026amp;_cite]:text-sm [\u0026amp;_cite]:not-italic [\u0026amp;_cite]:font-medium [\u0026amp;_cite]:tracking-[-0.0175rem] [\u0026amp;_footer]:mt-4 [\u0026amp;_cite::before]:content-[\u0026quot;–\u0026quot;] [\u0026amp;_cite::before]:mr-1 border-blog-highlight\"\u003e\n\u003cp\u003eLook at your modal, or your most frequent, order values as a starting point for your efforts to increase your overall revenue.\u003c/p\u003e\n\u003c/blockquote\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eAll of this is to say: AOV is important to track, but it shouldn’t be your only metric of business health. That would be as misleading as counting calories for the purpose of leading a healthier, longer life. Some calories are good (avocado), others less so (table sugar), and it’s better for your health to cut down on the bad calories rather than the good ones.\u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eWith that in mind, let’s turn to five tactics cited by business owners and consultants.\u003c/span\u003e\u003c/p\u003e\n\u003ca name=\"five\"\u003e\u003c/a\u003e\n\u003ch2\u003eFive ways to increase average order value\u003c/h2\u003e\n\u003ch3\u003e\u003cb\u003e1. Create an order minimum for “free shipping” and other gifts\u003c/b\u003e\u003c/h3\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eCustomer expectations around shipping costs are a major consideration when it comes to increasing average order value. Free shipping is a commonplace but still highly effective way to nudge customers to spend more. And it’s easy to \u003c/span\u003e\u003ca href=\"https://docs.shopify.com/manual/settings/shipping/shipping-rates#free-shipping\"\u003e\u003cspan style=\"font-weight: 400;\"\u003eset up with Shopify\u003c/span\u003e\u003c/a\u003e\u003cspan style=\"font-weight: 400;\"\u003e.\u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eTo calculate your threshold, start with \u003c/span\u003e\u003cb\u003emodal\u003c/b\u003e\u003cspan style=\"font-weight: 400;\"\u003e order value, or the most common order values. For instance, if most of your orders are in the $35 range, you might offer free shipping to orders over $50.\u0026nbsp;\u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eDigital marketing consultant Aaron Zakowski \u003c/span\u003e\u003ca href=\"https://aaronzakowski.com/increase-average-order-values\" rel=\"nofollow noopener noreferrer\" target=\"_blank\"\u003e\u003cspan style=\"font-weight: 400;\"\u003esuggests\u003c/span\u003e\u003c/a\u003e\u003cspan style=\"font-weight: 400;\"\u003e setting your threshold at 30% higher than your AOV (but again, consider using your modal order value here). The goal is to make free shipping feel attainable to the greatest number of customers, thereby increasing your overall revenues. Setting the threshold too high risks abandoned carts.\u0026nbsp;\u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eReturning to the Kinda Hot Sauce example, if it had set its free shipping threshold at $35, based on its AOV of $24, the vast majority of customers spending $15 would probably abandon their carts. If your goal is to weed out lower-paying customers, then this is a great strategy—but I’m guessing it’s not.\u0026nbsp;\u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eA variation of free shipping is offering volume discounts, or a set discount for orders over a certain threshold. For example, you might offer a $10 coupon for orders above $50. You could also offer a 10% discount for orders above $50, but this makes profits more unpredictable.\u003c/span\u003e\u003c/p\u003e\n\u003ch3\u003e\u003cspan style=\"font-size: 15px;\"\u003e\u003ca href=\"https://koparibeauty.com/\" rel=\"nofollow noopener noreferrer\" target=\"_blank\"\u003e\u003cspan style=\"font-weight: 400;\"\u003eKopari Beauty\u003c/span\u003e\u003c/a\u003e\u003cspan style=\"font-weight: 400;\"\u003e offers free gifts with a minimum purchase order and promotes this through its in-cart messaging\u003c/span\u003e:\u003c/span\u003e\u003c/h3\u003e\n\u003cp\u003e\u003cimg alt=\"Kopari beauty\" src=\"https://cdn.shopify.com/s/files/1/0070/7032/files/Kopari.png?v=1605660714\" loading=\"lazy\"\u003e\u003c/p\u003e\n\u003cdiv class=\"marketing-block marketing-block--light marketing-block--padded my-12 border-l-2 pl-4 [\u0026amp;_h2]:!mt-0 [\u0026amp;_h2]:mb-6 [\u0026amp;_h2]:text-t5 [\u0026amp;_h3]:!mt-0 [\u0026amp;_h3]:mb-6 [\u0026amp;_h3]:text-t7 [\u0026amp;_h4]:!mt-0 [\u0026amp;_h4]:mb-6 [\u0026amp;_h4]:text-t8 [\u0026amp;_ul]:!mt-0 [\u0026amp;_ul]:mb-6 [\u0026amp;_ul:last-child]:mb-0 [\u0026amp;_ol]:!mt-0 [\u0026amp;_ol]:mb-6 [\u0026amp;_ol:last-child]:mb-0 [\u0026amp;_p]:!mt-0 [\u0026amp;_p]:mb-6 [\u0026amp;_p:last-child]:mb-0 border-blog-highlight\"\u003e\n\u003cp\u003e\u003cstrong\u003e💡 TIP:\u0026nbsp;\u003c/strong\u003eConsider using a \u003ca href=\"https://apps.shopify.com/search?q=promotion+bar\u0026amp;button=\"\u003epromotion bar\u003c/a\u003e on your website to make it obvious that you’re offering a minimum order incentive.\u003c/p\u003e\n\u003c/div\u003e\n\u003ch3\u003e\u003cb\u003e2. Bundle products or create packages\u003c/b\u003e\u003c/h3\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eIf you want customers to purchase more items, try adjusting your pricing strategy by creating product bundles that cost less than if the same items were purchased individually.\u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eBy bundling products, you’re increasing the perceived value of a customer’s purchase. One great approach to product bundling is offering a package of products that create an all-in-one solution for the desired experience.\u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-size: 15px;\"\u003e\u003cspan style=\"font-weight: 400;\"\u003eFor example, \u003c/span\u003e\u003ca href=\"https://bioliteenergy.com/products/campstove-2-bundle\" rel=\"nofollow noopener noreferrer\" target=\"_blank\"\u003e\u003cspan style=\"font-weight: 400;\"\u003eBioLite\u003c/span\u003e\u003c/a\u003e\u003cspan style=\"font-weight: 400;\"\u003e bundles together a stove and accessories—the basic essentials to cook a meal while camping. This makes it easier for customers to get everything they need in one shot, while also eliminating the need to conduct further research. And you’ve sold multiple products instead of one\u003c/span\u003e.\u0026nbsp;\u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cimg alt=\"Increase cart value with bundles\" src=\"//cdn.shopify.com/s/files/1/0070/7032/files/order-value-bundle.jpg?v=1555364307\" href=\"https://cdn.shopify.com/s/files/1/0070/7032/files/order-value-bundle.jpg?v=1555364307\" loading=\"lazy\"\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eYou\u0026nbsp;can also\u0026nbsp;empower your customers to create their own bundles by allowing for custom products or packages that let them choose which features or add-ons they want in their order.\u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eFor example, \u003c/span\u003e\u003ca href=\"https://contrado.com/\" rel=\"nofollow noopener noreferrer\" target=\"_blank\"\u003e\u003cspan style=\"font-weight: 400;\"\u003eContrado\u003c/span\u003e\u003c/a\u003e\u003cspan style=\"font-weight: 400;\"\u003e, a clothing store, allows customers to design their own face masks and add upgraded materials, white labeling, and other unique add-ons that may increase the order total\u003c/span\u003e.\u003c/p\u003e\n\u003cp\u003e\u003cimg alt=\"customized face masks\" src=\"https://cdn.shopify.com/s/files/1/0070/7032/files/Contrado_mask.png?v=1605658908\" loading=\"lazy\"\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eAt \u003c/span\u003e\u003ca href=\"https://wearlively.com/\" rel=\"nofollow noopener noreferrer\" target=\"_blank\"\u003e\u003cspan style=\"font-weight: 400;\"\u003eLively\u003c/span\u003e\u003c/a\u003e\u003cspan style=\"font-weight: 400;\"\u003e, a bra retailer that \u003c/span\u003e\u003ca href=\"/au/retail/lively\"\u003e\u003cspan style=\"font-weight: 400;\"\u003eturned to Shopify\u003c/span\u003e\u003c/a\u003e\u003cspan style=\"font-weight: 400;\"\u003e to build an omnichannel presence, founder Michelle Grant took inspiration from behavior she found in retail stores. She knew from experience that 90% of customers would buy two or three bras at a time after their custom fitting. So Lively made bundling available online as well: buy two or three bras at a time for a slight discount\u003c/span\u003e.\u003c/p\u003e\n\u003cp\u003e\u003cimg alt=\"Lively bra bundle\" src=\"https://cdn.shopify.com/s/files/1/0070/7032/files/Screen_Shot_2020-11-17_at_4.23.54_PM.png?v=1605659172\" loading=\"lazy\"\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003e“Within the course of two weeks of launching, that became over 50% of our sales and has driven up our average order value exponentially,” Grant says.\u0026nbsp;\u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cb\u003eShopify apps to create product bundles: \u003c/b\u003e\u003cspan style=\"font-weight: 400;\"\u003eIf you’re interested in adding product bundles or custom bundles to your store, check out a range of free and paid bundling apps in the \u003c/span\u003e\u003ca href=\"https://apps.shopify.com/search/query?utf8=%E2%9C%93\u0026amp;q=bundles\"\u003e\u003cspan style=\"font-weight: 400;\"\u003eShopify App Store\u003c/span\u003e\u003c/a\u003e\u003cspan style=\"font-weight: 400;\"\u003e.\u003c/span\u003e\u003c/p\u003e\n\u003ch3\u003e\u003cb\u003e3. Upsell or cross-sell complementary products\u003c/b\u003e\u003c/h3\u003e\n\u003cp\u003e\u003ca href=\"/au/blog/upselling-and-cross-selling\"\u003e\u003cspan style=\"font-weight: 400;\"\u003eUpselling and cross-selling\u003c/span\u003e\u003c/a\u003e\u003cspan style=\"font-weight: 400;\"\u003e are \u003c/span\u003e\u003ci\u003e\u003cspan style=\"font-weight: 400;\"\u003eat least \u003c/span\u003e\u003c/i\u003e\u003cspan style=\"font-weight: 400;\"\u003eas old as the McDonald’s refrain, “Would you like fries with that?” Like bundling, upselling and cross-selling are all about nudging customers to buy complementary or upgraded versions of the products they already intend to purchase.\u0026nbsp;\u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eAnd like any tactic, it can experience diminishing returns with overuse. Preetam Nath of \u003c/span\u003e\u003ca href=\"https://delightchat.io/\" rel=\"nofollow noopener noreferrer\" target=\"_blank\"\u003e\u003cspan style=\"font-weight: 400;\"\u003eDelightChat\u003c/span\u003e\u003c/a\u003e\u003cspan style=\"font-weight: 400;\"\u003e shares ways to evolve your upselling strategy, based on advising hundreds of online stores:\u0026nbsp;\u003c/span\u003e\u003c/p\u003e\n\u003cul\u003e\n\u003cli style=\"font-weight: 400;\"\u003e\n\u003cb\u003eDon’t upsell too much: recommend like a friend would.\u003c/b\u003e\u003cspan style=\"font-weight: 400;\"\u003e Nobody wants to feel like they are being sold to. Your upsell needs to appear helpful and genuine, like how a friend might suggest a product. Instead of simply suggesting other popular items from your store, hand-pick products that pair perfectly with the item in the user’s cart, such as accessories or add-ons. For example, a mouse for a laptop or batteries for a remote control.\u003c/span\u003e\n\u003c/li\u003e\n\u003cli style=\"font-weight: 400;\"\u003e\n\u003cb\u003eOffer low-value upsells to increase the likelihood of purchase.\u003c/b\u003e\u003cspan style=\"font-weight: 400;\"\u003e If someone is out to purchase $50 to $100 worth of goods, it’s hard to convince them to purchase another $100, but easy to convince them to add a $20 product that complements their purchase.\u003c/span\u003e\n\u003c/li\u003e\n\u003cli style=\"font-weight: 400;\"\u003e\n\u003cb\u003eTest with post-purchase upsells.\u003c/b\u003e\u003cspan style=\"font-weight: 400;\"\u003e If a brand is worried about affecting their conversion rates when trying to bundle complementary products, a low-risk way to test is by implementing post-purchase upsells, maybe using an app like ReConvert. That way, you can use data to inform you which products people buy together. And then create a bundle pre-purchase for the same.\u003c/span\u003e\n\u003c/li\u003e\n\u003c/ul\u003e\n\u003cp\u003e\u003cb\u003eShopify apps for cross-selling and upselling your customers:\u0026nbsp;\u003c/b\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eCheck out the \u003c/span\u003e\u003ca href=\"https://apps.shopify.com/search?q=product+recommendations\"\u003e\u003cspan style=\"font-weight: 400;\"\u003eShopify App Store\u003c/span\u003e\u003c/a\u003e\u003cspan style=\"font-weight: 400;\"\u003e to find the right product recommendation app for your store. Here are a few options:\u003c/span\u003e\u003c/p\u003e\n\u003cul\u003e\n\u003cli style=\"font-weight: 400;\"\u003e\n\u003ca href=\"https://apps.shopify.com/zipify-oneclickupsell?utm_source=blog\u0026amp;utm_medium=aov_post\"\u003e\u003cb\u003eZipify One Click Upsell\u003c/b\u003e\u003c/a\u003e\u003cb\u003e:\u003c/b\u003e\u003cspan style=\"font-weight: 400;\"\u003e Built for Plus customers, this app boosts average order value with one-click upsell offers.\u003c/span\u003e\n\u003c/li\u003e\n\u003cli style=\"font-weight: 400;\"\u003e\n\u003ca href=\"https://apps.shopify.com/candyrack\"\u003e\u003cb\u003eCandy Rack\u003c/b\u003e\u003c/a\u003e\u003cb\u003e:\u003c/b\u003e\u003cspan style=\"font-weight: 400;\"\u003e Build post-purchase upsell funnels with one-click purchases.\u003c/span\u003e\n\u003c/li\u003e\n\u003cli style=\"font-weight: 400;\"\u003e\n\u003ca href=\"https://apps.shopify.com/post-purchase-offers-carthook?utm_source=blog\u0026amp;utm_medium=aov_post\"\u003e\u003cb\u003eCartHook Post Purchase Offers\u003c/b\u003e\u003c/a\u003e\u003cb\u003e:\u003c/b\u003e\u003cspan style=\"font-weight: 400;\"\u003e Add native one-click promotions including upsells and free gifts to your Shopify store.\u003c/span\u003e\n\u003c/li\u003e\n\u003cli style=\"font-weight: 400;\"\u003e\n\u003ca href=\"https://apps.shopify.com/post-purchase-promotions?utm_source=blog\u0026amp;utm_medium=aov_posts\"\u003e\u003cb\u003ePost Checkout Upsells \u0026amp; Promos\u003c/b\u003e\u003c/a\u003e\u003cb\u003e:\u003c/b\u003e\u003cspan style=\"font-weight: 400;\"\u003e Boost revenue with native post-purchase upsells and more.\u003c/span\u003e\n\u003c/li\u003e\n\u003cli style=\"font-weight: 400;\"\u003e\n\u003ca href=\"https://apps.shopify.com/special-offers?utm_source=blog\u0026amp;utm_medium=aov_post\"\u003e\u003cb\u003eUltimate Special Offers\u003c/b\u003e\u003c/a\u003e\u003cb\u003e:\u003c/b\u003e\u003cspan style=\"font-weight: 400;\"\u003e Create one-click offer upsells directly in your store checkout.\u0026nbsp;\u003c/span\u003e\n\u003c/li\u003e\n\u003c/ul\u003e\n\u003ch3\u003e\u003cb\u003e4. Set up a customer loyalty program\u003c/b\u003e\u003c/h3\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eIf your store sells consumable products—something your customer base needs to repurchase, like razors or shaving cream—consider setting up a rewards or loyalty program. Creating a \u003c/span\u003e\u003ca href=\"/au/blog/loyalty-program\"\u003e\u003cspan style=\"font-weight: 400;\"\u003ecustomer loyalty program\u003c/span\u003e\u003c/a\u003e\u003cspan style=\"font-weight: 400;\"\u003e is a \u003c/span\u003e\u003ca href=\"/au/blog/customer-retention-strategies\"\u003e\u003cspan style=\"font-weight: 400;\"\u003eretention strategy\u003c/span\u003e\u003c/a\u003e\u003cspan style=\"font-weight: 400;\"\u003e that helps you forge relationships with your customers and increase \u003c/span\u003e\u003ca href=\"/au/blog/customer-lifetime-value\"\u003e\u003cspan style=\"font-weight: 400;\"\u003ecustomer lifetime value\u003c/span\u003e\u003c/a\u003e\u003cspan style=\"font-weight: 400;\"\u003e.\u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eIt’s important to make sure your loyalty programs evolve with consumer preferences. During a global pandemic and looming economic downturn, for instance, it may not make sense to reward buyers with unnecessarily lavish gifts for spending a lot.\u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eClaire’s, an accessory store aimed at teens and tweens, recently \u003c/span\u003e\u003ca href=\"https://chainstoreage.com/claires-stores-launches-its-first-ever-loyalty-program-these-are-perks\" rel=\"nofollow noopener noreferrer\" target=\"_blank\"\u003e\u003cspan style=\"font-weight: 400;\"\u003elaunched a loyalty program\u003c/span\u003e\u003c/a\u003e\u003cspan style=\"font-weight: 400;\"\u003e offering cash back incentives ($5 back for every 100 points). The company realizes that, for its young clientele, every dollar counts\u003c/span\u003e.\u0026nbsp;\u003c/p\u003e\n\u003cp\u003e\u003cimg alt=\"Claire's\" src=\"https://cdn.shopify.com/s/files/1/0070/7032/files/Claire_s.png?v=1605659704\" loading=\"lazy\"\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eWhen there’s an incentive for your customers to earn points under your loyalty program, you can expect to see your average order value increase significantly.\u0026nbsp;\u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cb\u003eLearn how to run a loyalty program for your store:\u003c/b\u003e\u003c/p\u003e\n\u003cul\u003e\n\u003cli style=\"font-weight: 400;\"\u003e\u003ca href=\"/au/blog/117007237-how-to-start-a-loyalty-program-that-keeps-customers-coming-back\"\u003e\u003cspan style=\"font-weight: 400;\"\u003eStart a Loyalty Program that Keeps Customers Coming Back\u003c/span\u003e\u003c/a\u003e\u003c/li\u003e\n\u003cli style=\"font-weight: 400;\"\u003e\u003ca href=\"/enterprise/loyalty-programs\"\u003e\u003cspan style=\"font-weight: 400;\"\u003eLoyalty Program Examples: 36 Strategies \u0026amp; 100+ Statistics\u003c/span\u003e\u003c/a\u003e\u003c/li\u003e\n\u003cli style=\"font-weight: 400;\"\u003e\u003ca href=\"/au/retail/10-innovative-loyalty-programs\"\u003e\u003cspan style=\"font-weight: 400;\"\u003e7 Examples of Innovative Retail Loyalty Programs\u003c/span\u003e\u003c/a\u003e\u003c/li\u003e\n\u003c/ul\u003e\n\u003ch3\u003e\u003cb\u003e5. Provide fully staffed live chat support for quick questions\u003c/b\u003e\u003c/h3\u003e\n\u003cp\u003e\u003ca href=\"/au/blog/live-chat-customer-service\"\u003e\u003cspan style=\"font-weight: 400;\"\u003eLive chat\u003c/span\u003e\u003c/a\u003e\u003cspan style=\"font-weight: 400;\"\u003e usually conjures images of headset-clad support agents sitting in an office, triaging problems. Nowadays, ecommerce businesses that staff a live chat sell more—10% to 15% more per cart, according to \u003c/span\u003e\u003ca href=\"https://go.forrester.com/blogs/retailers-without-chat-a-missed-opportunity\" rel=\"nofollow noopener noreferrer\" target=\"_blank\"\u003e\u003cspan style=\"font-weight: 400;\"\u003eForrester\u003c/span\u003e\u003c/a\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003e“Being available through live chat helps customers get their immediate questions answered, which means greater potential for a sale and fewer abandoned items,” says Jaime Schmidt, founder of Schmidt’s Naturals and author of \u003c/span\u003e\u003ci\u003e\u003cspan style=\"font-weight: 400;\"\u003eSupermaker: Crafting Business on Your Own Terms\u003c/span\u003e\u003c/i\u003e\u003cspan style=\"font-weight: 400;\"\u003e. Schmidt calls live chat an “underutilized weapon” for increasing AOV\u003c/span\u003e.\u003c/p\u003e\n\u003cfigure style=\"text-align: center;\"\u003e\u003cimg style=\"float: none;\" src=\"https://cdn.shopify.com/s/files/1/0070/7032/files/Ping.png?v=1605660142\" alt=\"Live chat for customer service\" loading=\"lazy\"\u003e\u003cbr\u003e\n\u003cfigcaption\u003eTry \u003ca href=\"/inbox\" target=\"_blank\"\u003eShopify Inbox\u003c/a\u003e\u0026nbsp;to save sales and solve problems right at the point of purchase.\u003c/figcaption\u003e\n\u003c/figure\u003e\n\u003cp\u003eAnother way to think about live chat is that it helps your highest-intent buyers complete purchases. You’ll be chatting with visitors who intentionally came to your site to browse or buy, but who might need specific questions answered to gain the confidence to hit the Buy button.\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eLive chat is especially useful for high-ticket items, like mattresses and furniture, which may require more handholding to reach the checkout line. Online business ask a lot of buyers:\u0026nbsp;they ask them to find and pay for products, usually sight unseen. Product reviews, testimonials, and other social proof can also help, but live chat can close the deal when it counts the most\u003c/span\u003e.\u0026nbsp;\u003c/p\u003e\n\u003cblockquote class=\"border-l-2 pl-4 font-aktivgroteskextended text-xl font-medium tracking-tight my-12 [\u0026amp;_p]:mb-4 [\u0026amp;_cite]:font-aktivgroteskextended [\u0026amp;_cite]:text-sm [\u0026amp;_cite]:not-italic [\u0026amp;_cite]:font-medium [\u0026amp;_cite]:tracking-[-0.0175rem] [\u0026amp;_footer]:mt-4 [\u0026amp;_cite::before]:content-[\u0026quot;–\u0026quot;] [\u0026amp;_cite::before]:mr-1 border-blog-highlight\"\u003e\n\u003cp\u003eBeing available through live chat helps customers get their immediate questions answered, which means greater potential for a sale and fewer abandoned items.\u003c/p\u003e\n\u003c/blockquote\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eWhat’s more, if you provide a way for your buyers to instantly connect with you, you’re not only helping sell once, but you’re fostering a conversation that can encourage repeat sales.\u0026nbsp;\u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cb\u003eFor more on using live chat for sales, check out:\u0026nbsp;\u003c/b\u003e\u003c/p\u003e\n\u003cul\u003e\n\u003cli style=\"font-weight: 400;\"\u003e\u003ca href=\"/au/blog/ecommerce-live-chat\"\u003e\u003cspan style=\"font-weight: 400;\"\u003eHow To Drive More Ecommerce Sales With Live Chat\u003c/span\u003e\u003c/a\u003e\u003c/li\u003e\n\u003cli style=\"font-weight: 400;\"\u003e\u003ca href=\"/au/blog/shopify-chat\"\u003e\u003cspan style=\"font-weight: 400;\"\u003eClose More Sales Through Real-Time Conversations\u003c/span\u003e\u003c/a\u003e\u003c/li\u003e\n\u003c/ul\u003e\n\u003ch2 id=\"sellmore\"\u003eSell more to people who want to buy\u003c/h2\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eThe beauty of focusing on average order value is that you’re concentrating on visitors who already want to buy. They’ve come to your site with high intent; they may even have items in their carts. All you have to do is help them discover and buy other items relevant to them.\u0026nbsp;\u003c/span\u003e\u003c/p\u003e\n\u003cp\u003e\u003cspan style=\"font-weight: 400;\"\u003eWhen you focus on engaging and activating those who are already spending with you, you have fewer barriers to overcome. Instead of spinning your wheels on the customer acquisition treadmill, it’s about creating a greater exchange of value—the customers who spend more, get more\u003c/span\u003e.\u003c/p\u003e\n\u003cp\u003e\u003cem\u003eIllustration by Gracia Lam\u003c/em\u003e\u003c/p\u003e\n\u003cdiv class=\"clear\"\u003e\u003c/div\u003e\n\u003cdiv id=\":R0:\" data-component-name=\"blog-read-more\" class=\"marketing-block marketing-block--light marketing-block--padded text-body-sm text-left my-8 tablet:my-16 p-8 bg-marketingBg border-t-2 [\u0026amp;_h2]:text-t5 border-blog-highlight\"\u003e\u003ch2 class=\"!mt-0 mb-6 font-aktivgroteskextended\"\u003eRead more\u003c/h2\u003e\u003cul class=\"!mt-0 !mb-0\"\u003e\u003cli class=\"mt-2\"\u003e\u003ca href=\"/au/blog/cheap-ecommerce-platforms\"\u003eThe 10 Best Cheap Ecommerce Platforms for Small Businesses (2024)\u003c/a\u003e\u003c/li\u003e\u003cli class=\"mt-2\"\u003e\u003ca href=\"/au/blog/etsy-alternatives\"\u003e9 Etsy Alternatives To Sell Your Crafts On (2024)\u003c/a\u003e\u003c/li\u003e\u003cli class=\"mt-2\"\u003e\u003ca href=\"/au/blog/120928069-how-to-create-faq-page\"\u003e21 Best FAQ Page Examples (+ How To Create Your Own)\u003c/a\u003e\u003c/li\u003e\u003cli class=\"mt-2\"\u003e\u003ca href=\"/au/blog/57720581-7-automated-email-campaigns-that-win-customers-and-keep-them-coming-back\"\u003eThe Beginner’s Guide to Email Automation: Campaign Ideas and Tips\u003c/a\u003e\u003c/li\u003e\u003cli class=\"mt-2\"\u003e\u003ca href=\"/au/blog/market-demand\"\u003eWhat Is Market Demand and How To Calculate It\u003c/a\u003e\u003c/li\u003e\u003cli class=\"mt-2\"\u003e\u003ca href=\"/au/blog/best-ecommerce-platforms\"\u003e11 Best Ecommerce Platforms for Your Business in 2024\u003c/a\u003e\u003c/li\u003e\u003cli class=\"mt-2\"\u003e\u003ca href=\"/au/blog/customer-complaints\"\u003eUpset Customers? Here's How To Avoid Customer Complaints Before They Happen\u003c/a\u003e\u003c/li\u003e\u003cli class=\"mt-2\"\u003e\u003ca href=\"/au/blog/best-crm-software-for-small-business\"\u003eBest CRM Software for Small Businesses: 5 Popular CRMs\u003c/a\u003e\u003c/li\u003e\u003cli class=\"mt-2\"\u003e\u003ca href=\"/au/blog/loyalty-program\"\u003eWhat Is a Loyalty Program? 5 Best Examples (2024)\u003c/a\u003e\u003c/li\u003e\u003c/ul\u003e\u003c/div\u003e\u003cdiv class=\"marketing-block marketing-block--light marketing-block--padded my-12 border-l-2 pl-4 [\u0026amp;_h2]:!mt-0 [\u0026amp;_h2]:mb-6 [\u0026amp;_h2]:text-t5 [\u0026amp;_h3]:!mt-0 [\u0026amp;_h3]:mb-6 [\u0026amp;_h3]:text-t7 [\u0026amp;_h4]:!mt-0 [\u0026amp;_h4]:mb-6 [\u0026amp;_h4]:text-t8 [\u0026amp;_ul]:!mt-0 [\u0026amp;_ul]:mb-6 [\u0026amp;_ul:last-child]:mb-0 [\u0026amp;_ol]:!mt-0 [\u0026amp;_ol]:mb-6 [\u0026amp;_ol:last-child]:mb-0 [\u0026amp;_p]:!mt-0 [\u0026amp;_p]:mb-6 [\u0026amp;_p:last-child]:mb-0 border-blog-highlight text-body-sm my-8 tablet:my-16 p-8 bg-marketingBg !border-l-0 border-t-2 pl-8 [\u0026amp;_[itemscope]]:mb-6 [\u0026amp;_[itemscope]:last-child]:mb-0\" style=\"text-align: left;\" id=\"faq-section\"\u003e\n\u003cdiv itemtype=\"https://schema.org/FAQPage\" itemscope=\"\"\u003e\n\u003ch2\u003eAverage order value FAQ\u003c/h2\u003e\n\u003cdiv itemtype=\"https://schema.org/Question\" itemprop=\"mainEntity\" itemscope=\"\"\u003e\n\u003ch3 itemprop=\"name\"\u003eWhy is average order value important?\u003c/h3\u003e\n\u003cdiv itemtype=\"https://schema.org/Answer\" itemprop=\"acceptedAnswer\" itemscope=\"\"\u003e\n\u003cdiv itemprop=\"text\"\u003eAverage order value (AOV) is an important metric for any ecommerce business because it measures the average amount of money spent by each customer. A higher average order value suggests that a business is driving sales by promoting more expensive products or cross-selling.\u003c/div\u003e\n\u003c/div\u003e\n\u003c/div\u003e\n\u003cdiv itemtype=\"https://schema.org/Question\" itemprop=\"mainEntity\" itemscope=\"\"\u003e\n\u003ch3 itemprop=\"name\"\u003eHow do you measure AOV?\u003c/h3\u003e\n\u003cdiv itemtype=\"https://schema.org/Answer\" itemprop=\"acceptedAnswer\" itemscope=\"\"\u003e\n\u003cdiv itemprop=\"text\"\u003eTo calculate average order values for your business, simply divide your total revenue by the number of customers who have made a purchase over the same period.\u003c/div\u003e\n\u003c/div\u003e\n\u003c/div\u003e\n\u003cdiv itemtype=\"https://schema.org/Question\" itemprop=\"mainEntity\" itemscope=\"\"\u003e\n\u003ch3 itemprop=\"name\"\u003eWhat is average order value KPI?\u003c/h3\u003e\n\u003cdiv itemtype=\"https://schema.org/Answer\" itemprop=\"acceptedAnswer\" itemscope=\"\"\u003e\n\u003cdiv itemprop=\"text\"\u003eAverage order value (AOV) is a key performance indicator (KPI) that measures the average dollar amount spent per order placed on a website or ecommerce store. To calculate AOV, simply divide the total revenue by the total number of orders.\u003c/div\u003e\n\u003c/div\u003e\n\u003c/div\u003e\n\u003cdiv itemtype=\"https://schema.org/Question\" itemprop=\"mainEntity\" itemscope=\"\"\u003e\n\u003ch3 itemprop=\"name\"\u003eWhat affects average order value?\u003c/h3\u003e\n\u003cdiv itemtype=\"https://schema.org/Answer\" itemprop=\"acceptedAnswer\" itemscope=\"\"\u003e\n\u003cdiv itemprop=\"text\"\u003eAverage order value is affected by a variety of factors, such as marketing and pricing strategies, customer segmentation, delivery options, and customer loyalty.\u003c/div\u003e\n\u003c/div\u003e\n\u003c/div\u003e\n\u003c/div\u003e\n\u003c/div\u003e","latestArticles":[],"contentNavigationLinks":[],"blogHandle":"blog","settings":{"topSectionImages":[{"src":"https://cdn.shopify.com/b/shopify-brochure2-assets/b57973373cb5af3ba8e59f0b966065e7.webp?originalWidth=500\u0026originalHeight=641"},{"src":"https://cdn.shopify.com/b/shopify-brochure2-assets/05383e2e9b6568812f1ccc7bbc28ac3d.webp?originalWidth=500\u0026originalHeight=641"},{"src":"https://cdn.shopify.com/b/shopify-brochure2-assets/2baeeeb3c9bab2dfbfac6428fad929e1.webp?originalWidth=500\u0026originalHeight=641"}],"images":{"guides-modal-default":"https://cdn.shopify.com/shopifycloud/brochure/assets/content-marketing/blog/guides/default-popup-small-507879111d55acdd759b202ab869ea0b8bd0f4af9f9aaa7c540efe59b8e046db.jpg","guides-modal-photography":"https://cdn.shopify.com/b/shopify-brochure2-assets/1bd4b072dc187a774c9af650d0f16d0b.jpg","guides-modal-seo":"https://cdn.shopify.com/b/shopify-brochure2-assets/63781344c2932de6e553a54b02291692.jpg","subscription":{"image":{"en":"https://cdn.shopify.com/b/shopify-brochure2-assets/c46f986d892538f4b0a15f25692330f7.png?originalWidth=1420\u0026originalHeight=1040"}},"rightColSideBannerImg":"https://cdn.shopify.com/b/shopify-brochure2-assets/c8790c0f3c1fa91ccc845e45ce067bbe.png","rightColSideBannerGetInTouchImg":"https://cdn.shopify.com/b/shopify-brochure2-assets/e2a124c9e2e7ae76119a66cfc515535b.png","articleNavigation":{"banner":{"en":"https://cdn.shopify.com/b/shopify-brochure2-assets/e570727d45209fec56c410f802faa0fe.png"}}},"subscription":{"settings":{"subscriptionId":"DE84EF61-2A02-4778-8807-F01B108DE974"}},"citation":{"high-ticket-affiliate-programs":[{"text":"Zip Recruiter - 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[Associates Program Participation Requirements]","url":"https://affiliate-program.amazon.com/help/node/topic/G9SMD8TQHFJ7728F"},{"text":"Themenhero - [Men’s Guide For Brands \u0026 Fashion]","url":"https://themenhero.com/"},{"text":"Zip Recruiter - [Amazon Affiliate Salary]","url":"https://www.ziprecruiter.com/Salaries/Amazon-Affiliate-Salary"},{"text":"Amazon Associates - [Associates Program Participation Requirements]","url":"https://affiliate-program.amazon.com/help/operating/policies#Associates%20Program%20Participation%20Requirements"},{"text":"Amazon - [Application Review Process]","url":"https://affiliate-program.amazon.com/help/node/topic/G8TW5AE9XL2VX9VM"},{"text":"Coffee Brewing Pro - [Coffee Brewing Pro]","url":"https://coffeebrewingpro.com/"},{"text":"Sprocker Lovers - [Sprocker Lovers]","url":"https://sprockerlovers.com/"},{"text":"McKinsey \u0026 Company - [What is omnichannel marketing?]","url":"https://www.mckinsey.com/featured-insights/mckinsey-explainers/what-is-omnichannel-marketing"},{"text":"Package Free Shop - [Package Free Shop]","url":"https://packagefreeshop.com/"},{"text":"McKinsey \u0026 Company - [Five-star growth: Using online ratings to design better product]","url":"https://www.mckinsey.com/industries/consumer-packaged-goods/our-insights/five-star-growth-using-online-ratings-to-design-better-products"},{"text":"The Every Day Farmhouse - [Homesteading Gift Ideas]","url":"https://theeverydayfarmhouse.com/homesteading-gift-ideas/"},{"text":"insider Intelligence -[Over 60% of US online shoppers start their product search on Amazon]","url":"https://www.insiderintelligence.com/content/online-shoppers-search-on-amazon"}],"pinterest-affiliate-marketing":[{"text":"Pinterest- [Your audience is here]","url":"https://business.pinterest.com/audience/"},{"text":"Pinterest - [Community guidelines]","url":"https://policy.pinterest.com/en/community-guidelines"},{"text":"FTC - [Online advertising disclosure guidelines]","url":"https://www.ftc.gov/sites/default/files/attachments/press-releases/ftc-staff-revises-online-advertising-disclosure-guidelines/130312dotcomdisclosures.pdf"},{"text":"TheWaystoWealth - 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Pacifier]","url":"https://bitten-design.com/products/moustache-pacifier?variant=839047215"},{"text":"USPTO - [United States Patent and Trademark Office]","url":"https://www.uspto.gov/"},{"text":"Cornel Law School - [35 U.S. Code § 101 - Inventions patentable]","url":"https://www.law.cornell.edu/uscode/text/35/101"},{"text":"Nolo - [Patent Searching Online]","url":"https://www.nolo.com/legal-encyclopedia/patent-searching-online-29551.html"},{"text":"USPTO - [Fee schedule]","url":"https://www.uspto.gov/learning-and-resources/fees-and-payment/uspto-fee-schedule"},{"text":"USPTO - [First Office Action Estimator]","url":"https://www.uspto.gov/learning-and-resources/statistics/first-office-action-estimator"},{"text":"USPTO - 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This simple template helps you set clear objectives and track key results for measurable success.","cta":"Get the template now","modal_headline":"Get your template delivered right to your inbox.","modal_success_heading":"Thanks for downloading. You'll receive your free template soon. In the meantime, start building your store with a free trial of Shopify."},"one_pager":{"heading":"Free One Pager Template","content":"Present your ideas clearly and concisely. This template helps you summarize your key points perfectly.","cta":"Get the template now","modal_headline":"Get your template delivered right to your inbox.","modal_success_heading":"Thanks for downloading. You'll receive your free template soon. In the meantime, start building your store with a free trial of Shopify."},"opening_closing_checklist":{"heading":"Free Checklist for Opening and Closing Your Store","content":"Ensure all protocols and procedures are completed each time you open and close your store with this handy, easy-to-follow checklist.","cta":"Get the free checklist","modal_headline":"Get our Opening and Closing Checklist delivered right to your inbox.","modal_success_heading":"Thanks for downloading. You'll receive your free download soon. In the meantime, start building your store with a free trial of Shopify."},"optimization":{"heading":"Free Reading List: Conversion Optimization for Beginners","content":"Turn more website visitors into customers by getting a crash course in conversion optimization. Access our free, curated list of high-impact articles below.","cta":"Get the free reading list","modal_headline":"Get our Conversion Optimization reading list delivered right to your inbox."},"packaging_calculator":{"heading":"Calculate your packaging costs","content":"Use this free calculator to estimate your packaging expenses. Get insights into labor, materials, and design costs to make informed decisions for your business.","cta":"Download calculator","modal_headline":"Get the calculator delivered right to your inbox."},"packing_slip":{"heading":"Free Packing Slip Template","content":"Save time and effort by ensuring proper delivery of your products. Our free packing slip template helps you get started.","cta":"Get the template now","modal_headline":"Get the packing slip template delivered right to your inbox."},"parentpreneur":{"heading":"Playbook for the Aspiring Parentpreneur","content":"Unleash your creativity and turn your passion into a thriving business with our Parentprenuer brainstorming guide. Discover new ideas, set realistic goals, and map out a plan for success.","cta":"Download now","modal_headline":"Check your inbox for your copy of the Parentpreneur Playbook."},"persona_template":{"heading":"Free User Persona Template","content":"Maximize your product’s potential. Unlock insights to fine-tune your offerings and impress users. Our template makes it easy.","cta":"Download template","modal_headline":"Get our template delivered right to your inbox.","modal_success_heading":"Thanks for downloading. You'll receive your free download soon. In the meantime, start building your store with a free trial of Shopify."},"phonecases":{"heading":"Get a Free Phone Case Business in a Box","content":"Free high quality phone case stock photos and a list of some places you can look to find phone case suppliers to work with.","cta":"Download startup bundle","modal_headline":"Get our startup bundle delivered right to your inbox."},"photobrief":{"heading":"Get perfect product photography","content":"This free template will help you write detailed, professional creative briefs that help photographers know exactly what you're looking for.","cta":"Download template","modal_headline":"Get the template delivered right to your inbox."},"photochecklist":{"heading":"All the images your store needs","content":"This free photo shot list helps you plan every image for your online store, from homepage banners to product cards.","cta":"Download shot list","modal_headline":"Get the shot list delivered right to your inbox."},"photographer_checklist":{"heading":"Make your next photo shoot a success","content":"Use this free checklist to help you hire the perfect photographer for your product photos—complete with budget tips and outreach email templates.","cta":"Download checklist","modal_headline":"Get the checklist delivered right to your inbox."},"photography":{"heading":"Free Guide: DIY Product Photography","content":"Learn how to take beautiful product photos on a budget with our free, comprehensive video guide.","cta":"Get your free guide","modal_headline":"Get our DIY Guide to Beautiful Product Photography delivered right to your inbox."},"popup_guide":{"heading":"Pop-Up Shop Quickstart Guide","content":"Thinking about hosting a Pop-Up Shop? 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In the meantime, start building your store with a free trial of Shopify."},"press_kit":{"heading":"Free Press Kit Template","content":"Get your business the spotlight it deserves. Our all-in-one template makes it a breeze for journalists and media to share your story.","cta":"Download template","modal_headline":"Get the template delivered right to your inbox.","modal_success_heading":"Thanks for downloading. You'll receive your free download soon. In the meantime, start building your store with a free trial of Shopify."},"pressrelease":{"heading":"Free: Press Release Template","content":"To help you get started, we put together this template to help you structure your story using a common press release format. You can replace each component with your own information and adapt it according to your needs.","cta":"Get the template now","modal_headline":"Get the press release template delivered right to your inbox."},"problem_statement":{"heading":"Free Problem Statement Template","content":"See your challenges clearly. This simple template helps you create powerful problem statements that lead to meaningful solutions.","cta":"Get the template now","modal_headline":"Get the template delivered right to your inbox.","modal_success_heading":"Thanks for downloading. You'll receive your free download soon. In the meantime, start building your store with a free trial of Shopify."},"process_map":{"heading":"Free Process Mapping Template","content":"Simplify your operations with a clear picture of your processes. This template helps you outline and improve workflows for more productivity.","cta":"Get the template now","modal_headline":"Get the template delivered right to your inbox.","modal_success_heading":"Thanks for downloading. You'll receive your free download soon. In the meantime, start building your store with a free trial of Shopify."},"productivity":{"heading":"Free Reading List: Ecommerce Motivation","content":"Having trouble focusing on growing your small business? Get access to our free, curated list of high-impact productivity articles.","cta":"Get the free reading list","modal_headline":"Get our Ecommerce Motivation reading list delivered right to your inbox."},"products":{"heading":"Free Guide: How to Find a Profitable Product to Sell Online","content":"Excited about starting a business, but not sure where to start? This free, comprehensive guide will teach you how to find great, newly trending products with high sales potential.","cta":"Get the free guide","modal_headline":"Get How To Find A Product To Sell Online: The Definitive Guide PDF delivered right to your inbox."},"product_vision":{"heading":"Free Product Vision Template","content":"Developing a new product? This free template will help give you a clear picture of your product’s future, by defining effective goals and strategies.","cta":"Get the template now","modal_headline":"Get the template delivered right to your inbox.","modal_success_heading":"Thanks for downloading. You'll receive your free download soon. In the meantime, start building your store with a free trial of Shopify."},"profit_loss":{"heading":"Free Profit and Loss Statement Template","content":"Need help keeping an eye on your business's financial performance? Our free, user-friendly template will help you make informed decisions with ease.","cta":"Get the template now","modal_headline":"Thanks for downloading. You'll receive your free download soon. In the meantime, start building your store with a free trial of Shopify."},"purchase_order":{"heading":"Create a purchase order","content":"Use this free template to create clear, detailed purchase orders for your business. Keep all your information organized and easy to understand.","cta":"Download template","modal_headline":"Get the template delivered right to your inbox."},"retail_marketing":{"heading":"Free Download: From Clicks to Customers: How to Measure Your Retail Store's Marketing Success","content":"Every marketing campaign is an investment of your time, energy, and money. Do you ever wonder if your efforts were worth it? Read this guide and build a framework to plan, track, and measure the success of retail marketing campaigns.","cta":"Get your free guide","modal_headline":"Get your free Retail Marketing Success PDF delivered right to your inbox.","modal_success_heading":"Thanks for downloading. You'll receive your free download soon. In the meantime, start building your store with a free trial of Shopify."},"retention_audit":{"heading":"Free Download: Retention Audit Checklist","content":"Struggling with customer retention? This free checklist will help you build a retention mindset throughout your company by auditing retention strategies at every level of your business.","cta":"Get your free checklist","modal_headline":"Get this free Retention Audit Checklist PDF delivered right to your inbox.","modal_success_heading":"Thanks for downloading. You'll receive your free download soon. In the meantime, start building your store with a free trial of Shopify."},"rfp_template":{"heading":"Free RFP Template","content":"Make writing requests for proposals easier and faster with our free RFP template.","cta":"Get the template now","modal_headline":"Get the RFP template delivered right to your inbox."},"root_cause":{"heading":"Free Root Cause Analysis Template","content":"Get to the heart of your business problems and find effective solutions. This template helps you find and address the underlying causes.","cta":"Get the template now","modal_headline":"Get this free template delivered right to your inbox.","modal_success_heading":"Thanks for downloading. You'll receive your free download soon. In the meantime, start building your store with a free trial of Shopify."},"rotating_schedules":{"heading":"Free Download: Rotating Schedules Templates","content":"Struggling to keep your stores fully staffed and running smoothly? Consider implementing a rotating shift program. Download these free templates to find the right schedule for you and your employees.","cta":"Get your free templates","modal_headline":"Get these free Rotating Schedules Templates delivered right to your inbox.","modal_success_heading":"Thanks for downloading. You'll receive your free download soon. In the meantime, start building your store with a free trial of Shopify."},"sales_email":{"heading":"Free Sales Email Templates","content":"Craft compelling emails that convert! Our customizable templates help you engage prospects and close deals.","cta":"Get your free templates","modal_headline":"Get these free templates delivered right to your inbox.","modal_success_heading":"Thanks for downloading. You'll receive your free download soon. In the meantime, start building your store with a free trial of Shopify."},"sales_funnel_template":{"heading":"Free Sales Funnel Template","content":"Make your sales process smoother and close deals faster. Our template maps out each stage, so you never miss an opportunity.","cta":"Download template","modal_headline":"Get this free sales funnel template delivered right to your inbox.","modal_success_heading":"Thanks for downloading. You'll receive your free download soon. In the meantime, start building your store with a free trial of Shopify."},"sales_plan_template":{"heading":"Free Sales Planning Template","content":"Supercharge your sales strategy with our all-in-one planning tool. Set your targets, track your progress, and reach your goals with confidence and ease.","cta":"Get the template now","modal_headline":"Get this free sales planning template delivered right to your inbox.","modal_success_heading":"Thanks for downloading. You'll receive your free download soon. In the meantime, start building your store with a free trial of Shopify."},"scope_template":{"heading":"Free Scope of Work Template","content":"Set clear expectations and ensure project success. This template provides a simple outline to help you define project deliverables and run programs smoothly.","cta":"Get the template now","modal_headline":"Get this free template delivered right to your inbox.","modal_success_heading":"Thanks for downloading. You'll receive your free download soon. In the meantime, start building your store with a free trial of Shopify."},"seo":{"heading":"Free Download: SEO Checklist","content":"Want to rank higher in search results? Get access to our free, checklist on search engine optimization.","cta":"Get the free checklist","modal_headline":"Get our SEO Checklist delivered right to your inbox."},"services_price":{"heading":"Your Time is Valuable, so Price it Right","content":"Ensure your business is profitable with this easy-to-use pricing calculator. 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In the meantime, start building your store with a free trial of Shopify."},"social":{"heading":"Social media strategy and planning templates","content":"Ready to get started with your social media strategy? These free, customizable templates give you tools to plan and execute a strategy that connects you with your target audience while keeping your content calendar organized.","cta":"Download now and start seeing results","modal_headline":"Get your social media strategy and planning templates delivered right to your inbox.","modal_success_heading":"Thanks for downloading. You'll receive your free copy soon. In the meantime, start building your store with a free trial of Shopify."},"social_media_kit":{"heading":"Free Social Media Toolkit","content":"Boost your engagement and grow your audience with this free toolkit. 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In the meantime, start building your store with a free trial of Shopify."},"sop_template":{"heading":"Free SOP Template","content":"Turn your tangle of tasks into simple steps anyone can follow. Our user-friendly template makes it a breeze.","cta":"Download template","modal_headline":"Get our template delivered right to your inbox.","modal_success_heading":"Thanks for downloading. You'll receive your free download soon. In the meantime, start building your store with a free trial of Shopify."},"store_layouts":{"heading":"Free Download: Store Layout Templates","content":"Trying to decide which layout is right for your store? Download these free templates to learn which types of layouts work best for different industries and draw inspiration for your own design.","cta":"Get your free templates","modal_headline":"Get these free templates delivered right to your inbox.","modal_success_heading":"Thanks for downloading. You'll receive your free download soon. In the meantime, start building your store with a free trial of Shopify."},"swot":{"heading":"Free: SWOT Analysis Template","content":"Get your free SWOT Analysis Template. Use this free PDF to future-proof your business by identifying your strengths, weaknesses, opportunities, and threats.","cta":"Get the template now","modal_headline":"Get the SWOT analysis template delivered right to your inbox."},"tax_season":{"heading":"Free Download: 6 Steps to Get Your Business Ready for Tax Season","content":"Tax season is stressful for any business owner. This guide will go through the process of filing income taxes in America and provide you with checklists to keep you organized and prepared.","cta":"Get your free guide now","modal_headline":"Get your free guide","modal_success_heading":"Thanks for downloading. You'll receive your free copy soon. In the meantime, start building your store with a free trial of Shopify."},"trust":{"heading":"Free: Shopify Store Trust Checklist","content":"Shopify’s research team conducted a series of in-depth interviews with North American shoppers to learn how customer trust is formed in online stores. This checklist is a summary of their findings, created to help business owners understand what essential aspects of their online store experience creates trust among customers, along with the trust-busting mistakes to avoid.","cta":"Get the checklist now","modal_headline":"Get the checklist delivered right to your inbox."},"tshirt_guide":{"heading":"Your Complete Guide To Starting a T-Shirt Business","content":"Turn your passion for fashion into a thriving business. 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In the meantime, start building your store with a free trial of Shopify."},"value_chain":{"heading":"Free Value Chain Template","content":"Explore your business activities and discover new ways to lower costs and improve quality. This template helps you analyze each step for better performance.","cta":"Get the template now","modal_headline":"Get our template delivered right to your inbox.","modal_success_heading":"Thanks for downloading. You'll receive your free download soon. In the meantime, start building your store with a free trial of Shopify."},"value_prop_template":{"heading":"Free Value Proposition Template","content":"Share what makes your brand stand out. Convince customers to consider, click, and buy. Our template makes it easy.","cta":"Download template","modal_headline":"Get the template delivered right to your inbox.","modal_success_heading":"Thanks for downloading. You'll receive your free download soon. 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