Average order value data
January 18, 2017 | Shares:

How To Boost Average Order Value For Your Business

Average order value is one of the most important metrics to track. 

Data shows that online shoppers are more likely to convert and become lifelong customers by implementing simple AOV eCommerce best practices.

Leveraging certain social media platforms, bundling products, optimizing social proof, and implementing coupon offerings are just some of the ways to increase your average order value per customer.

Let’s get into some of the raw data, and see why increasing AOV is an eCommerce benchmark you cannot ignore.

How to Calculate AOV:

Before we dive into how to increase your average order value, let’s take a moment to visualize how it’s calculated. Here’s a great visual from Sweet Tooth Rewards:

As you can see above, the process is really quite simple. Simply take the total revenue of your business and divide it by the total number of orders taken.

Calculating average order value may be easy. Increasing it though? That proves to be a more difficult venture.

Average Order Value By Social Platform:

As an online store, leveraging social media as a strategy to increase sales is a no brainer. Broadening your customer reach across multiple social platforms is one of the best ways to increase average order value for your business.

Data curated from our friends at Shopify breaks down which social channel generates the highest AOV.

Average order value by social channel

As you can see above, Polyvore surprised everyone by bringing in the highest average order value of all social media platforms. Easily the least recognizable channel out of all the ones listed, Polyvore has nonetheless created an engaged, loyal community where eCommerce retailers have heavily focused their AOV marketing.

It is a great reminder to all of us in the eCommerce world that the best revenue can oftentimes come from the least likely of outlets.

The Desktop Still Reigns Supreme:

In the age of cellular connectivity, data shows that average order value from desktop purchases still significantly outperforms mobile conversions.

According to AOV eCommerce benchmark data from Demac Media, desktop AOV is 20% percent higher than that of AOV on mobile.

AOV for eCommerce by device

Although there is a clear uptick in mobile AOV, shoppers still tend to feel more comfortable completing purchases on a bigger screen.

Mobile websites are not always optimized for path-to-purchase, making it more difficult to navigate through the process.

When deciding where to strategize your AOV marketing, knowing this data is critical in effective decision making.

Top Tips to Improve Your AOV Marketing:

The good news for eCommerce retailers is that there are great tips and tricks to increase average order value. We listed some of our favorites that have proven to be tried and true ways your business can effectively increase AOV.

Create Social Proof Around Your Products

Social proof is one of the best ways to improve both average order value, as well as customer lifetime value.

Social proof occurs when customers are heavily influenced by other shoppers thoughts and experiences. This includes ratings and reviewsuser-generated content, and community Q&A.

By providing a platform for customers to express and voice their online shopping experience, AOV per-shopper will see a big boost.

social proof example

Bundle Products Together

Bundling products together in packages is a great tactic to increase average order value.

Shoppers always appreciate when they can purchase multiple products at a discount, such as a starter pack or holiday bundle packages.

Another effective way to use bundling is a sampler package. This gives the customer a taste of a variety of products, and can bring them back for a larger order size.

This proves that less is sometimes more in the long-run when implementing AOV marketing.

AOV marketing example of bundled products

Utilize Cross-Selling with a Review Widget

Cross-selling is a tool in which to show off relevant products that a customer may be interested in purchasing when looking on a product page.

Online shoppers tend to be looking for more than just one item when browsing, so cross-selling can be an effective way to increase average order value.

Check out the Yotpo review widget where you can display up to eight relevant products.

Cross-sell with a review widget

Offer Coupons to Entice Shoppers and Increase AOV

Offering coupons to customers is a great way to get them back purchasing on your site. Shoppers always appreciate when businesses offer discounts for a second go-around of purchasing, in turn increasing average order value of said customer.

Nothing says we value your loyalty more than offering coupons for their business.

Coupon offer example

Target Customers With Email Upsells

One of our favorite AOV marketing growth hacks, email upsells is a Yotpo secret weapon.

Our smart algorithm chooses the products that are most likely to entice customers back to your site in the mail after purchase form.

This clever tactic is a proven way to intrigue shoppers who have already purchased about similar products, boosting AOV across the board.

Upsell in emails to increase the average order value

Conclusion:

Ultimately, average order value will go hand-in-hand with increased profits and growth for your eCommerce business.

When deciding where to allocate your AOV marketing budget, focus on the social platforms that have proven to convert passive shoppers into excited purchasers.

Using tips and best practices such as creating social proof, cross-selling products, and offering coupons are proven growth hacks to increase average order value for countless retailers.

What are some of your favorite ways to increase AOV? Let us know in the comment box below!

Corey Bloom
Corey Bloom, Content Marketing Manager at Yotpo
Corey is a Toronto native living in Tel Aviv. You can find him looking for the best place to eat wherever wanderlust takes him next.
user generated content
No account? Sign Up

Interested in Yotpo?

Schedule a demo with one of our marketing consultants to learn how Yotpo generates reviews and turns them into sales.

It's completely FREE
Thank you.
We'll be in touch ASAP.
In the meantime, enjoy these: