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15 Ways to Boost Your Average Order Value Today

Published on September 13, 2024

In today’s rapidly evolving business landscape, the rules of the game have shifted. The cost of doing business is rising, and competition is fiercer than ever. If you’re a small business owner, an e-commerce entrepreneur, or a digital marketer looking to thrive, the solution lies in increasing your Average Order Value (AOV). This strategy is not just about ensuring a high return on your ad spend; it’s about getting customers to spend more and do so more frequently.

Increasing AOV is vital for maximizing the lifetime value (LTV) of your customers, which in turn boosts your overall return on investment (ROI). But how do you achieve this? This blog post will explore 15 innovative ways to increase your AOV, giving you the tools to adapt and thrive in today’s marketplace.

What is Average Order Value and Why Does it Matter?

Understanding AOV is crucial for any business owner. It’s a metric that tells you the average amount of money each customer spends per transaction. When you can boost this number, your business becomes more profitable without necessarily having to acquire more customers. This is particularly important given the rising costs of customer acquisition.

The Importance of AOV in Modern Business

In a world where digital advertising costs are skyrocketing, focusing on existing customers is more vital than ever. By enhancing your AOV, you improve your margins, allowing for more reinvestment into your business. This approach fosters sustainable growth and builds a loyal customer base.

Business is Not as Usual—It’s Different

The marketplace is constantly changing, and it demands that you adapt accordingly. If you stick to the old ways of doing business, you risk being left behind. Increasing AOV is a strategic move that helps you stay ahead.

How To Increase Average Order Values

Many entrepreneurs are familiar with the adage “you have to spend money to make money.” But spending money wisely is the key to staying profitable. When focused on AOV, you can allocate more resources to acquiring and retaining customers without bleeding costs.

Build Sales Funnels for Better Conversion

Traditional websites are good at showcasing products, but they often fall short in converting visitors into buyers. Sales funnels, however, guide potential customers through a purchasing path, improving conversion rates significantly. With sales funnels, you can easily adjust offers and optimize pages to maximize AOV.

Optimize Your Sales Process

Sales funnels allow you to test multiple variables like headlines, images and calls to action. This adaptability means you can continually refine your approach and offer more value to your customers, thus boosting AOV.

#1—Order Bumps

An order bump is a small additional offer presented during the checkout process. It’s typically a low-cost item related to the main purchase. Customers are more likely to add these to their cart, increasing AOV with little resistance.

#2—Product Bundles

Bundling products that naturally go together can entice customers to spend more. For instance, pairing a laptop with a protective case or a set of headphones prompts customers to buy both, boosting the total order value.

#3—Upsells & Downsells

Post-purchase upsells and downsells can dramatically increase your AOV. An upsell involves offering a higher-priced item after the original purchase, while a down-sell offers a lower-priced alternative if the upsell is declined.

#4—Search Engine Optimization

SEO can attract high-intent customers who are more likely to make larger purchases. By optimizing your website for relevant keywords, you’re ensuring that you’re attracting customers looking specifically for what you offer.

#5—Subscription Offers

Subscription models not only increase your AOV but also provide a steady revenue stream. Offering customers a discount for committing to a longer-term purchase can be highly effective.

#6—Risk Reversal

Offering a money-back guarantee or free returns can alleviate purchasing hesitations. When customers know they can return a product if it doesn’t meet their needs, they’re more inclined to make larger purchases.

#7—Free Shipping With Minimum Order Amount

Setting a threshold for free shipping encourages customers to spend more to avoid shipping fees. This classic tactic effectively drives up the average order value.

#8—Thank You Page Cross-Selling

After a purchase, use the thank you page to suggest related products. This strategy not only increases AOV but also enhances the customer experience by offering products that add value to their purchase.

#9—Email Marketing

Email campaigns can re-engage past customers and introduce them to new products or promotions. Personalized recommendations and special offers can entice customers to make additional purchases.

#10—Sell High Ticket Items

If you have premium products, make sure they’re prominently featured. High-ticket items naturally raise your AOV and can appeal to customers looking for quality and exclusivity.

#11—Loyalty Program

Implementing a loyalty program rewards customers for repeat purchases, encouraging them to spend more over time. Points, discounts, or exclusive access are effective incentives.

#12—Use Scarcity & Urgency

Limited-time offers or low-stock alerts can prompt quick purchases. This sense of urgency can push customers to act immediately, increasing order values.

#13—Exit Intent Popups

When a customer is about to leave your site, an exit intent popup offering a discount or special deal can reel them back in, turning a potential lost sale into an opportunity to increase AOV.

#14—Retargeting

Retargeting campaigns remind potential customers of your products after they’ve left your website. These targeted ads can bring them back to complete a purchase, often resulting in higher-order values.

#15—Payment Plans

Offering payment plans for larger purchases makes them more accessible to customers who might otherwise shy away due to cost. This option can boost sales of high-ticket items.

Boosting AOV for Long-term Success

Increasing your AOV is not just about the short-term gains. It’s a strategic approach that enhances the overall health of your business. By implementing these techniques, you set the stage for sustained growth and profitability.

The Road Ahead

Navigating the complexities of the modern business world requires adaptation and innovation. By focusing on increasing your AOV, you’re positioning your business for success in a competitive market. Utilize these strategies to continue growing and thriving—ensuring that your business doesn’t just survive but truly flourishes.

Take Action Today

Start experimenting with these strategies and watch your AOV climb. Monitor your progress, tweak your approach, and don’t hesitate to seek expert guidance if needed. Remember, the key to success is continuous improvement and adaptation.