How to Increase Average Order Value (AOV)
You may be struggling with a problem: each order you get has the same order value and the same quantity. This leads to the fact that you have a lot of orders, but low AOV, and so low sales revenue.
In a word, AOV is the average money amount that a customer spends when placing an order on your store. You can find your AOV using the following simple formula:
In order to boost your AOV, you have two ways. First, find new customers to generate more sales. But that costs five times more than retaining existing customers.
Second, convince existing customers to add as many items as possible in their cart before they checkout. In other words, what you’re trying to do is to increase the amount of each transaction.
The former option is (certainly) possible. Today we’ll show you crazy good tips to do that.
Tips covered:
- Show related product recommendations
- Apply the upselling and cross-selling techniques
- Offer discounts for bulk purchases
Let’s start at the top.
1. Show related product recommendations
Shoppers often pay so much attention to a product that they ignore browsing your store to check other products that they may want too.
As such, your job is to make your products appear in front of potential customers, even when they don’t look for them.
To do that, you can show product recommendations in the following places:
#1 In the product page
#2 In the cart page
The best tool to create product recommendations: Boost Upsell.
SIDENOTE:
When you install the Boost Upsell app your store, the app will automatically add the Add more items button right below the quantity selector in the cart page, like this:
When shoppers click Add more items, a popup will show to recommend them to buy other related products. Cool!
2. Apply the upselling and cross-selling techniques
Upselling and cross-selling products is one of the easiest and quickest ways to boost AOV. You can get those things done with the Boost Upsell app only.
#1 Upsell products
Simply put, upselling products means you motivate shoppers to buy more expensive items.
You can show an upsell popup after shoppers click the Add to Cart button. The trick here is to make the popup appear right before they go to their cart.
Case in point:
To make use of the upsell popup, you should also display it after a customer completes the checkout. This tactic is called a post-purchase upsell.
#2 Cross-sell products
When applying the cross-selling technique, 6-figure dropshipping or POD stores often create bundles. Why? Because they work like bonkers.
In general, a bundle allows shoppers to buy many different items at the same time at a lower price than when they buy individually.
For example, you can bundle a shirt, a hat, a tote bag, etc. together. Or, just create a pack with three different shirts, and then offer a 20% discount for anyone who buys the pack.
The best tool to upsell and cross-sell products: Boost Upsell.
3. Offer discounts for bulk purchase
This tactic works the same way as when you offer a bundle discount. The difference is you reveal cost savings when a shopper buys multiple items of the same product. In other words, the shopper will get good discounts if they purchase in bulk.
Case in point:
The best tool to create bulk discount codes: Boost Upsell.
Your turn
Whether you’re running a dropshipping or print on demand store, increasing AOV is vital to your revenue growth. That’s why you shouldn’t overlook it.
Now is the time to put all the AOV-boosting tips above into practice. In case you need any help, don’t hesitate to contact us. We’re happy to help you out.