Metrics > Average Order Value
Average Order Value (AOV)
Definition: Average Order Value (AOV) measures the average revenue per transaction.
Formula:
AOV = Total Revenue / Total Orders
Why It Matters:
A higher AOV indicates better customer spending habits and profitability.
How to Improve:
- Offer product bundles and upsells
- Use free shipping thresholds to encourage larger purchases
- Promote loyalty discounts for bigger orders
Relevant Integrations:
- Google Analytics
- WooCommerce
- Shopify
Example Calculation:
If a store earns $10,000 from 200 orders, the AOV is:
AOV=10000200=50