At a fundamental level, optimization is about growing revenue. And if you want to grow your revenue you should be obsessed with increasing your average order value.
The revenue that your store generates is calculated using a simple formula:
Revenue = number of visitors x conversion rate x average order value
A solid optimization strategy incorporates all three of these metrics.
Average Order Value (AOV) boosting tips
1. Offer bundles to improve average order value
Offer products available to buy on their own as part of a bundle of two or more items, thus providing added value. The main incentive is usually a lower combined price in comparison to the same set of products bought separately.
It’s also wise to show bundles on product pages
2. Implement a free delivery threshold
Offering free delivery for orders over a certain value urges visitors to add more items to a single order or opt for higher priced items.
It’s crucial, however, to prominently advertise this offer on all of your store’s product pages and follow up on the cart page. If users qualify for free shipping, congratulate them. This will incentivize them not to abandon the order.
If they are a few euros or dollars below the threshold, remind them about the offer and suggest products that will nudge them over the limit.
3. Offer cross-sells to grow average order value
People often confuse cross-sells and up-sells. Cross-selling means selling complimentary or related products, usually at a lower price point than the main item. The aim is to sell more products per order.
You can easily promote related items on product pages and during checkout.
After displaying items on product pages, follow up with cross-sells on the cart page when a customer is about to pay for their order. And here’s a quick pro tip: it’s usually easier to cross-sell cheaper items than the one being purchased.
4. Offer up-sells
Up-selling means promoting either a more expensive item with extra features or add-ons that constitute an upgrade. As with cross-selling, this can be done on both product pages and at various points during checkout.
5. Offer upgrades through additional services
Offer upgrades to products by allowing customers to add additional services. These could be extended warranties or gift wrapping options.
After clicking “Add to Cart“, users are shown a top layer/pop-up that reiterates the offer of a protection plan, along with some additional cross-sells.
6. Offer financing options for expensive items
If you sell expensive items, it’s a good idea to offer multiple financing options. Many customers will be eager to buy a product but unable to afford it. Similarly, the option of paying in small monthly payments can make high-ticket items more appealing to certain shoppers.