Are you ready to get customers to spend more?
Imagine transforming casual browsers into enthusiastic buyers with just a few creative tweaks. You can do this by doing things to increase your average order value. Whether you’re running an online shop or a brick-and-mortar store, there are many ways to boost those numbers.
From bundles to upsell tactics, we’ve got ten ideas that will not only make shopping more exciting for your customers but also fill your cash register with joy.
So, What Is Average Order Value (or AOV)?
So, what exactly is Average Order Value (AOV), and why does it matter? Well, AOV is the average amount of money a customer spends per transaction in your store or on your website. Every time a customer checks out, AOV adds up what’s in their cart and gives you a nice little snapshot of how much people are typically spending.
Why should you care? Because a higher AOV means more revenue without needing new customers—just a few clever tweaks to get your current ones to add a little more to their carts! It’s like turning every customer visit into a mini sales boost, which is both efficient and rewarding. So, if you’re ready to take your sales game to the next level, mastering your AOV is a great place to start!
What Impacts an Average Order Value?
So, what can impact your AOV? Well, there are several factors that can influence your AOV—and knowing them can give you a leg up! Here are some big ones to consider:
Category of Order: Certain categories, like electronics or luxury goods, naturally tend to have a higher AOV compared to everyday items like snacks or toiletries.
Time of Day: People’s shopping habits can change throughout the day. For example, evening shoppers might be more willing to splurge than those shopping during a quick lunch break.
Shopping Platform (Web vs. App): Where customers make purchases can also affect AOV. App users may feel more inclined to browse and add extras to their cart, especially if there are app-exclusive offers.
Seasonality: Certain times of the year—holidays, back-to-school, summer sales—are primed for higher spending, making it a great time to encourage additional items.
Promotions and Discounts: Special deals, like “spend $50 and get free shipping” or bundled discounts can help customers decide to buy more in order to reach a threshold.
By carefully watching these factors, you can find strategic ways to increase AOV and make each sale a little more rewarding.
How Can an AOV Affect Business decisions?
Average Order Value is more than just a sales metric—it’s a powerful tool for shaping smart business moves! When you know your AOV, you can make decisions that line up with your customers’ spending habits and maximize revenue. For example, if your AOV is on the lower side, you might decide to focus on upselling or bundling products to encourage bigger orders. On the flip side, if your AOV is high, you may focus on strategies to boost customer loyalty, ensuring those bigger spenders keep coming back.
AOV can also help decide where to allocate marketing spend. If app users have a higher AOV, it might make sense to invest more in mobile-exclusive deals or in-app features. Plus, AOV insights are invaluable for seasonal planning—you’ll know when to go big with promotions and when a more subtle approach can still drive high-value orders. By understanding how AOV influences buying behavior, you can create strategies that keep customers engaged, happy, and excited to add just one more thing to their cart!
How Do I Improve My AOV?
Looking to boost your Average Order Value (AOV)? Start with a game plan that’s rooted in data and a bit of creative experimentation! Here’s a roadmap:
1.Analyze and Gather Insights: First, dive into your data to uncover where you have the most potential for growth. Are there certain products or categories where people tend to add more to their cart? Or maybe specific times of day when orders are higher? This analysis can reveal golden opportunities to nudge customers toward higher-value purchases.
2. Track AOV with a Digital Analytics Platform: Using a digital analytics tool is like having a dashboard for all your AOV insights in one place. It’s critical for spotting trends, tracking the effects of your AOV-boosting efforts, and quickly seeing what’s working and what’s not. Without this, you can’t make changes.
3. Run Experiments to Improve AOV: Now comes the fun part! Test out different tactics, like offering bundles, upsell suggestions, or discounts on higher spending. Each experiment helps you find what resonates most with your customers, and you’ll gain insights that refine your strategy over time.
With these steps, you’ll be on your way to transforming AOV from just a number into a valuable guide for growing your business.
10 Creative Ways To Increase Your Average Order Value
Alright, so let’s get to the reason why you’re here. Let’s talk about 10 creative ways to increase your AOV.
1. Implement Bundle Offers
Bundles are a win-win for everyone—they make shopping easy for customers and boost your AOV. By grouping related products at a slight discount, customers are more likely to grab the whole bundle instead of buying just one item. It’s like giving them an instant upgrade without the hassle of selecting each product separately!
2. Display and Highlight a Popular Choice
Highlighting a popular item can work wonders in guiding customers toward products others already love. When customers see a “best seller” or “most popular” tag, it boosts their confidence in the item, making it easier to add that item to their cart without thinking too much about it.
3. Use a Mini-Cart Page for Upselling
The mini-cart page is the perfect place to showcase complementary products right before checkout. It’s a subtle way to suggest a few extra items they may have overlooked—like accessories for big-ticket purchases. This helps the customer feel they’re completing their order and adds more value to their cart.
4. Offer Mix & Match Discounts
Customers love flexibility, and mix-and-match discounts let them create their own bundles. For example, you could let them pick three accessories for a discounted price or selecting different items in a certain category. Mix-and-match offers encourage them to explore and buy more, increasing your customer’s overall spending.
5. Loyalty Programs
Everyone loves perks! A loyalty program gives customers a reason to spend a little more to earn points, rewards, or exclusive discounts. Over time, this kind of incentive can lead to bigger orders as shoppers get closer to reaching their next reward level.
6. Personalized Product Recommendations
Personalized recommendations help customers feel like you truly “understand” them. By showing items they’re more likely to love according to their browsing history or past purchases, you can encourage the buyer to add a few more items to their cart. This naturally boosts your AOV.
7. Limited-Time Promotions
Creating urgency with limited-time offers can give customers the final push to add a few more items to their carts. No one wants to miss out! So, flash sales or “today only” deals make them feel they’re getting a rare opportunity.
8. Using Mystery Boxes
Mystery boxes add an element of surprise for customers who love a good deal and some fun. By offering a selection of products at a lower price, mystery boxes often encourage higher spending from customers who are excited to get more for less.
9. Recommend Similar Products
When customers are viewing a particular item, showing similar products can increase the chance of an extra purchase. Whether it’s a variation on what they’re eyeing or something that complements it, similar product recommendations make it easy to add more items that feel like a good fit for them.
10. Visual Product Discovery
An immersive shopping experience with high-quality images, videos, or even 3D views helps customers feel more confident in their purchases. When they can see details up close and visualize the product in action, it’s easier for them to feel certain about their choices and explore other products they might have missed!
As we wrap up, keep in mind that increasing your Average Order Value is all about experimentation and creativity. Embrace the playful strategies we’ve explored—whether it’s offering enticing bundles, showcasing popular choices, or introducing some mystery with surprise boxes. The key is to regularly analyze your AOV and keep adjusting your tactics to find what resonates best with your customers.
So, don’t be afraid to mix things up and try new approaches; your sales will thank you.
