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AOV stands for Average Order Value in other words Average Spend per Customer per Order.
Average order value has a direct link to profitability in fashion ecommerce business. Almost all costs in ecommerce are tied to orders and transactions. For example, shipping cost is no different if order contains one or two t-shirts. Similarly, with credit card processing fees, there is a single fee no matter how many items order contained.
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In Google analytics see navigation as depicted below, it maybe minimized so only navigation icons may be visible.
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What is AOV?
AOV stands for Average Order Value in other words Average Spend per Customer per Order.
Calculation: Average Order Value = Total Sales Value / Number of Orders
Why average order value is important?
Average order value has a direct link to profitability in fashion ecommerce business. Almost all costs in ecommerce are tied to orders and transactions. For example, shipping cost is no different if order contains one or two t-shirts. Similarly, with credit card processing fees, there is a single fee no matter how many items order contained.
So, increasing average order value should be on high on any ecommerce to do list.
How to increase average order value online?
How to increase average order value on Shopify?
How to increase average order value on Shopify?
• Mobile first - You should target to increase average spend on mobile devices first, since your website will be seeing more visitors from mobile than any other platform.
• Speed – seek how to show more products to your customers within the limited time frame that customers spend on your website (average session time).
• Real time personalisation – mobile devices have limited view port in comparison to desktop. Meaning that mobile visitors during their time spent on your website will see less products. Therefore, real time content personalisation will increase chances of customer seeing more clothes that they like, cutting out irrelevant items.
• Size recommendation – AI powered technology matching customer body shape to garment SKU in real time will speed up decision making process for your customers, allowing them to see more relevant products and spend more.
How to find average order value in Google Analytics?
In Google analytics see navigation as depicted below, it maybe minimized so only navigation icons may be visible.
Look for the Flag icon that represents Conversions and then click on E-commerce, then Overview.
Now you shall see average order value on the right hand side.
Want to know more ?
Contact Prime AI now for many more methods and techniques to increase Average Order Value online.
Regardless of your business size we can provide you with solution that will work.
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