Is traffic to your Shopify store on the rise, but do you need to see an increase in sales? Or do you want to increase your store’s revenue without investing more in traffic? Is your order value stuck in a rut? If these scenarios sound familiar, you must rethink your approach to increasing your store’s average order value (AOV).
This guide will provide you with strategies to deal with these common challenges and help you understand how to increase AOV on Shopify. From offering discounts to bundling products, we’ll cover 10+ effective ways to increase the value of an individual order in your Shopify store. Let’s get started.
1. Upsell And Cross-Sell To Loyal Customers
Upselling and cross-selling are popular strategies to encourage customers to add additional items to their purchases at checkout. They can be extremely effective in increasing average order value on Shopify. Try offering an upgrade on a product, suggesting related items that customers may need, providing add-ons to increase the usefulness of the purchase, and more.
You can also use personalized recommendations to suggest specific products that may be a good fit for the customer, giving them options they may have yet to consider and helping them find what they need.
2. Offer Discounts and Coupons
Discounts and coupons are another great way to encourage customers to add extra items to their purchases. Consider offering discounts on bundles, multiple items, loyalty rewards, and discounts for repeat customers. Also, advertise any coupon codes you offer on your website and social media platforms.
Another way to use discounts and coupons is by offering them at checkout when customers are most likely to take advantage of them. This will encourage customers to purchase more items before they complete their order.
3. Utilize Special Offers and Promotions
Try running seasonal or holiday promotions to increase average order value. For example, you could offer a free product or discount with a purchase during the holiday season. You can create limited-time offers and deals for new customers, such as buy-one-get-one-free items or discounted bundles.
Offer special rewards programs that give customers points for every purchase they make, which they can redeem for discounts or exclusive products. Consider offering exclusive deals or loyalty rewards only available to members of your mailing list. These strategies will help customers feel valued and incentivize them to purchase more items when they shop with you.
4. Increase the Value of Your Products
Offering higher-priced items can help you increase your average order value. Consider expanding your range of products to include more expensive items, such as luxury or high-end versions of existing products and accessories that customers can add to their purchases.
Also, ensure that your products’ quality reflects their higher price point by offering top-notch customer service and resolving any issues quickly. This will help increase your customers’ trust in your brand, which could lead to more sales.
5. Offer Free Shipping
To encourage customers to purchase more items from your store, consider offering free shipping on orders over a certain amount. This will incentivize customers to add extra items to their cart to take advantage of the promotion and increase their average order value.
Remember that you may have to adjust pricing structures or absorb some shipping costs for this to be a viable option. But with careful planning, this can be an effective way to boost sales and increase average order value. Promise the free shipping threshold on your website and social media channels.
6. Make Your Website User-Friendly
Ensure that your website is user-friendly and easy to navigate, as this will make it more likely for customers to stay on your site and Shopify store. Please ensure the checkout process is simple, without any unnecessary steps or hurdles that could cause customers to abandon their cart. Optimize navigation by including product categories, best-sellers, and suggested items.
Also, ensure your website is mobile-friendly so customers can shop on any device. This will make the shopping experience easier and more enjoyable for customers, encouraging them to spend more time browsing and adding items to their carts.
7. Create Bundle Deals
Consider offering bundle deals that include multiple items at a discounted rate for products often purchased together. This encourages customers to purchase multiple items and make a larger purchase up front. Bundles can be customized for each customer or create standard bundle packages that feature popular products.
For example, if you sell swimsuits, you could offer a bundle of tank tops, bikini tops, and bathing suit bottoms. Not only does this encourage customers to purchase multiple items at once, but you can also offer a discount as an incentive. This is a great way to increase average order value while still providing customers with value.
8. Use Of Pop-Ups
Pop-up notifications are a great way to promote special offers and discounts. These notifications can be triggered either when customers enter your store or when they reach the checkout page, helping you to provide customers with an additional incentive to purchase. You could also create pop-ups for product recommendations, as these can help customers find products they may have yet to be aware of.
With the right combination of discounts and promotional offers, pop-ups can increase average order value without impacting your margins too much. It’s great to show customers you care about providing them value while increasing sales.
An example of using a pop-up to increase average order value could be offering customers 5% off their entire purchase if they spend over $100. This encourages them to buy more to take advantage of the discount and can result in a higher average amount of orders.
It’s important to ensure that the pop-ups aren’t too intrusive or obtrusive, as this could hurt your customers. Make sure that your pop-ups are relevant and not annoying.
9. Offer “Subscribe And Save” Subscriptions
For customers who purchase the same items regularly, offering a subscription service greatly increases average order value. Customers who subscribe to regular shipments of their favorite products will save time and money.
Providing a discount for subscribing can effectively entice shoppers and boost your profits in the long run. You can even allow customers to customize their subscriptions with different items or product sizes.
This service is particularly useful for shoppers who are already loyal to your brand and use a certain product often. This convenient shopping experience will encourage frequent purchases and help you increase your average order value.
10. Live Support For Shopping Assistance
Having a dedicated customer service team available to help shoppers with their questions, queries, and concerns can help increase average order value.
When customers are unsure about which product to purchase or need more information on certain features of your products, having someone to talk them through can make all the difference in increasing the amount they spend, live chat support can be a great resource for customers who are unsure what to buy and need extra assistance to make up their minds.
11. Loyalty Programs
Loyalty programs can affect the average order and money spent for businesses that offer subscription services. Rewards points and exclusive discounts encourage customers to return and purchase more items as they accumulate points.
Also, loyalty programs help to create an ongoing relationship with customers and build a sense of community around the brand. This can lead to higher customer lifetime value (CLV), and customer acquisition costs as loyalty members are more likely to return for future purchases. As a result, members tend to spend more money than non-members – making them an invaluable asset in increasing AOV.
12. BOGO Announcements
To incentivize customers to purchase more, consider offering buy one get one (BOGO) announcements. This can take a percentage or dollar amount off the total cost when two items are purchased and freebies with certain purchases. BOGO offers can increase average order value by adding more value to each purchase.
But you don’t have to limit your BOGO offers to just two items — you can offer discounts on any quantity of purchases. For instance, customers get 10% off their entire order if they buy three items. This encourages customers to stock up while helping increase average order value simultaneously. Also, advertise your offers prominently on your Shopify store and within emails to maximize their effectiveness.
1. How To Track Average Order Value on Shopify?
To compute your company’s average order value, divide the entire revenue by the number of orders. For example, let us take the month of September, in which your web store generated a sales amount of $31,000 from 1,000 orders. In this case, $31,000 divided by 1,000 is equal to $31. Thus, the average order value for September is $31. The above calculation and total revenue provide a useful indicator of how much each customer spends in your store.
2. What Is A Good Average Order Value on Shopify?
The answer depends on your business goals and industry standards, but generally speaking, an average order value of $100 or more is considered good in eCommerce. However, it would help if you also considered the context of your business, such as the average price of products and customer loyalty.
3. How Can Existing Customers Help Increase AOV on Shopify?
Existing customers are your most valuable asset in increasing average order value. For example, by upselling a product or service, you can encourage them to purchase more items in the same transaction and thus increase their total order value. In addition, customers who have purchased from you often feel more comfortable doing so again due to familiarity, making them more likely to make larger purchases.
Try Blue Owl Agency To Grow Your Shopify Store
Whether it’s AOV or CLV, Blue Owl Shopify Agency is here to help you grow your store. Our team of expert Shopify developers and marketers bring their industry experience and a proven track record of success to every customer. With our comprehensive suite of services, we can help in conversion rate optimization and AOV growth, as well as develop a comprehensive strategy for long-term success.
Our team of developers is highly experienced in integrating Shopify with third-party tools, managing customer data and tracking KPIs, creating automated workflows that help improve the customer experience and drive more conversions, and creating custom solutions to fit any business’ needs.
Let us help you unlock the true potential of your store and help grow your store. With Blue Owl Agency, you’ll get personal attention and customized solution to improve your business.