E-Commerce & Product Sellingintermediate
AOV
Average Order Value
Definition
The average amount a customer spends each time they place an order. AOV = Total Revenue ÷ Number of Orders.
Why it matters
Increasing AOV is one of the fastest ways to grow revenue without acquiring new customers. Even a 20% increase in AOV can transform profitability.
Example
Your store generates £10,000 from 200 orders this month. AOV = £50. Adding a bundle that takes average order to £65 would generate an extra £3,000 on the same traffic.
Related terms
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