What Does Average Order Value Mean?

What Does Average Order Value Mean?

The mean of purchases made from the advertiser after clicking on a sponsored ad is called the average order value. Product price, Customers buying multiple products, or another product from the same advertiser can differ the results. Ad value + the number of orders gives me the formula for my AOV.

average order value

In the US over the course of the year 2021 the overall inflation was 7%. There was also a slight increase in the AOV of completed orders on Amazon.com but not as much as inflation. Where customers have a wide range of similar and identical products to yours it is important to set a competitive price which is a challenge for any business. Customers will often use price as an important factor in their decision-making so it’s important to research your market.

Average order value (AOV) can be improved on Amazon in a number of ways, Utilising product bundling, multi-buy promotions, variation listings and ensuring Prime eligibility with the Amazon FBA program are all great methods for increasing AOV.

Here to Help Your Average Order Value

Smorgas Box can help with maximising your Amazon potential you can book a discovery call with our founder Kerra. Alternatively, you can look at our range of services here.

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