There are many reasons to increase order value in an online store. The main benefit of increasing the average order value is that you earn more per transaction. So how do you get customers to buy more and/or more expensive items? Average Order Value (AOV) is the amount that an average customer spends in your store. It can be calculated by dividing total revenue by the number of orders taken. While this formula does not take into account the costs associated.
Order value in an online store. Table of contents:
- Offer free shipping… on a given amount
- Suggest complementary products
- Offer gift cards
- Make sure to implement a loyalty program
- Offer time-limited promotions
1. Offer free shipping… on a given amount
Setting a free shipping threshold is the easiest way to increase order value in an online store. How to do it? Calculate the average order value and add about 30% to it. The result will be the threshold beyond which the customer will not pay for the delivery.
2. Suggest complementary products
Cross-selling and upselling are other ways to increase cart value. If a customer is looking at a dress, make sure to recommend a matching belt. When she or he sees these items together, as a set, it’s more likely they decide to buy them both. Similarly, if they are looking at cheaper products (e.g. leather gloves) make sure you also recommend a more expensive one, that is (e.g. a wallet).
3. Offer gift cards
Even if the gift cards are small in value, you are increasing the chances that the customer will come back to you and… give a little extra to buy something bigger. However, you need to make sure that the prices of the products are at such a level that the gift card does not result in a free purchase for the customer.
4. Make sure to implement a loyalty program
By encouraging repeat purchases, you’re helping to create a community of fans who are likely to order more products, and – you’re creating a community of ambassadors through which you lower your marketing costs. This is important because, according to research, most of the profits in online stores come from returning customers. That’s why this is a wonderful way to increase order value in an online store.
5. Offer time-limited promotions
You can offer a 48-hour deal where users get a free gift or special discount when they order a certain amount of products. This is a great way to increase the average order value during quieter periods when regular customers don’t buy much.
Have you got any other ideas of how to increase order value in an online store? Share them below.
If you already know how to increase order value in an online store, and you’re also interested in increasing conversions in your e-commerce, read this.
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