What is Average Order Value?

In this Data Snacks episode, Daasity CEO, Dan LeBlanc, breaks down Average Order Value (AOV): what it is, how to calculate it, and why you actually have control over your brand's AOV.

Average Order Value Definition

Average order value is the average dollar amount that customers spend at your business, per order. To calculate AOV, simply divide total sales (over a time period) by the number of orders (over the same time period).

Here's Daasity Dan for more:

How to Increase Average Order Value

There are many ways to increase average order value. For example, you can offer complementary products that are compelling to purchase together (bundles), offer upsells ("Would you like a 10-pack instead of a 5-pack"?), tempt customers with post-purchase product offerings, or nudge them to get free shipping or a gift with purchase by adding one more product to their cart.