Top 10 Strategies to Boost Average Order Value (AOV) for Ecommerce Stores in 2020
As an eCommerce business owner, do you know the key tactic of increasing average order value from your clients’ transaction? Increasing the average order value is a great way to improve your revenue, but it is still ignored. With some of the average order value techniques that we’ll share in this post, thus, you’ll learn how to deliver more great items to customers in order to produce more revenue from each order.
Many online retailers have made a mistake on paying too much attention to ramping up marketing campaigns to boost sales, however, this turns out to be ineffective sometimes. Instead, enabling consumers to buy more when on-site is a more informed way of doing stuff, which should be a key target for every eCommerce platform.
Here are the top 10 ways for eCommerce stores to raise average order value quickly and easily. First, let’s take a look at what average order value is and how it’s calculated.
What is Average Order Value?
Total Revenue/ Number of orders = Average Order Value
This simple formula is an illustration of calculating average order value. However, we highly suggest using Google Analytics. The Google algorithm helps users not only track the average order value but also provides great benefits.
Next, we are going to move to how to use this Google algorithm, first, you have to enable eCommerce tracking in your Google Analytics account.
Once you have eCommerce tracking enabled in Google Analytics, go to Conversions » Ecommerce » Overview.
You can see a nice chart as well as tables on the left showing sales & conversion rate, and on the right showing transactions. The total value of the order is in Transactions.
Now that you have a better understanding of what average order value is and how to measure it easily, let’s talk about how these 10 tips will improve your AOV.
Top 10 Strategies to Increase Average Order Value
Upsell and Cross-Sell valuable goods
Recommending better and more costly goods to consumers is known as upselling before they leave the cart on the purchase. Likewise, it’s called cross-selling to encourage them to purchase additional items complementing what they’re already purchasing. Cross-selling and upselling are completely crucial to growing the average order value, and this strategy is likely to be used on most retailers ‘websites.
The key here is to take advantage of cross-selling and upselling at the right time, especially before and after checkout.
One perfect way to upsell is to have a “Before You Buy” or “You May Like” page with some product reviews right before checkout. It’s also important that the reviews are appropriate (very close but not too expensive).
As a smart eCommerce business owner, we recommend you the best upsell and cross-sell application, assisting and supporting the best for users.
Offer gift cards or coupons
A perfect way to thank consumers for their purchase is by offering gift cards. Thus enhancing their chances of coming all the way back to purchase again at your store. Make sure the gift card number isn’t going to end up in a loss of income. Be frank about how to invest it to boost your average order value.
See more: To Coupon Or Not To Coupon.
Minimum order value for free shipping
Free shipping is the most significant buying engine for most online shoppers. So relevant indeed because the vast majority of them are willing to pay a little more if they can save on shipping costs – so why not take advantage of this?
Make freely deliverable orders with a fixed dollar value and customers can buy more. Psychology is clear. They are replacing the distribution costs they would have had to pay with a, essentially free product, to them.
It is easy to set a minimum order amount to qualify for free delivery or other discounts, especially with eCommerce platforms like Shopify and WooCommerce. And, it’s a perfect way to have your average order value increased.
Target customers through their previous purchases
By having clients’ email account through their previous purchase, you can take advantage of it to send them an email, informing that you are having a campaign that having goods relevant to their history purchase, or representing a product that may seem need, or just simply a formal thank you email.
By keeping the goods in the mind of a consumer you will exploit through their purchase chances. The more you catch the customers’ vibe, the more you gain from the average order value.
Discounts on selected items
Aside from offering free delivery, you can also try something a little different like offering a minimum discount on purchases. Free shipping is, as often happens, less of an incentive for consumers to increase their purchases because it is so widespread.
Although it might sound counterintuitive, having discounts will help increase the average value of your order. But make sure to add a minimum spend when providing discounts. For example, if you spend $75, or more, get $10 off.
If you can incentivize the customers, average order value and even sales can be dramatically improved. We recommend a few techniques which may be used by store owners:
If the order value exceeds a certain level, give back some of your money to shoppers-a well-known tactic that can be applied in this case, if it passes the threshold, you can simply discount your order.
Promotion codes with a minimum value for each order
A perfect way to get clients to buy more at a time. Sure to add a full discount, of course.
“Use code SUPRISE15 to get 15% off on your next 3 orders above $150”.
Buy x Get x Strategy
Another strategy is exceptional in average order value and works very well for a large range of types of goods.
“Buy 2 and Get 1 Free”
Customize the Shopper Pages
Check out the massive list of eCommerce optimization tools to help raise the average order value and sales to the next level.
To segment your site users, you can use a combination of popups as well as dynamically developed configuration tools that learn user behavior trends to show customers exactly what they want to see.
Rewarding loyal membership
You’ll raise the average order value by getting a membership or loyalty plan and increase the number of returning customers in one fell swoop.
Marketing is an art of consumer loyalty and retention. If building a strong consumer base for your product or service is what you are trying to achieve in 2020, following the above five measures will increase your customer database dramatically in a short time.
Submit messages of cart abandonment in Messenger
With Facebook Chat Box, upon abandoning a cart, you can reach and recover lost customers by sending them messages via Messenger, SMS, and email. You may also catch their attention by including in your message a gallery of the items.
Besides, acceptance of payment inside the chat window is crucial to recovering revenue and growing average order value.
For Shopify shops, you can integrate with Facebook Chat Box to deliver click-to-Messenger ads from your store to look alike viewers, and to send automatic cart abandonment messages via Messenger, SMS, and email for sales recovery.
Give funding solutions for expensive products
If you are selling expensive goods, offering multiple financing options is a smart idea. Many consumers would be willing to buy a commodity but can not afford it. Likewise, the ability to pay in small monthly installments will make high-ticket items more appealing to certain shoppers.
These are the top 10 best tactics to boost average order value, if you find it interesting, let us know by leaving a comment below.
See more articles at: Autoketing.
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