5 Ways to Increase Average Order Value

Why you should increase your average order value (AOV)

The obvious benefit is that an increase in AOV equates to an increase in revenue and therefore profit. If customers are spending more money, you’re making more money.

Acquiring customers always has a cost, whether that is through advertising, social media, SEO etc. By increasing the money a single customer spends, you are getting more return on your investment.

Another bonus to increasing the average order value is that your stock will move quicker. A faster-moving stock means that you’re able to sell more products and keep things flowing.

1. Add more products to your site

If you are a one-product site, the chances of someone buying the same product twice or more are very slim. By offering a more diverse range of products to choose from, customers are more likely to browse and therefore make an additional purchase.

2.Optimise delivery options for higher AOV

An effective way to increase order value is to offer free delivery when a certain order value is met. If you want to increase the average order value to £50, then advertise an offer for free delivery when spending £50. Be careful not to increase the average order value too fast. Work out your current AOV and increase the requirement to a reasonable amount. If the average order value is £5, people are unlikely to spend £100 to receive free shipping.

3. Offer discounts on minimum spends

If you already offer free delivery on your orders and want to increase your AOV, then offer a discount when customers reach a certain threshold. For example, offer £10 off when they spend £100. Again, pay attention to your current average order value and draw a balance between what’s ambitious and what is realistic.

4. Create offer bundles

Offering bundles or packages on your product pages will show your customer more of your products and also provide suggestions on what they may find useful. For example, if you sell skincare products and you’re selling a face wash, include a bundle offer that contains a moisturiser or other similar products. The bundle can be slightly cheaper than buying the products separately, but overall, you’ve convinced the customer to spend more with you

5. Create a trustworthy and reliable site

Customers will be more inclined to spend their money with you if your website has a trustworthy appearance and has clear policies regarding customer service and delivery. Customers will rarely need to return their items. But knowing that if all goes wrong, they can get a refund means they’ll have more confidence in you. And more confidence means they are more likely to spend money and increase your average order value.

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