Ecommerce Optimization #3 – Increase Your Profits And AOV (Average Order Value)

Running an online business can be hard—this much we know. And, with the evergrowing complexity of today’s marketplace, you might be wondering how you can utilize the algorithms and details to make even more revenue with your business. In fact, sometimes you might even be wondering how it all works in the first place!

However, there are ways that you can understand it. To help you get a better idea of how to increase your overall profit, in this article we’ll be taking a look at the concept of Average Order Value (AOV) and how that relates to your business.

Knowing How to Optimize Your Profit Through AOV is essential to developing your business for working with the digital marketplace, not against it.

So, without further ado, let’s get right into it:

What is AOV?

Like we mentioned above, AOV stands for Average Order Value. A good example of this is the following scenario: imagine that a customer purchases a package from you for $20 per piece, but they pay $5 for shipping. If you’re savvy enough, you can upsell your product and get more money by re-phrasing the question. Because the customer is already paying $25 in total including shipping, why not charge them $27 and include free shipping? This will give off the illusion that they are receiving something beneficial, when in reality they are paying more than they would for the product without free shipping.

This is just one of the ways in which you can increase the Average Order Value of your product. If you do this, then more and more people will continue to purchase the product at higher prices, therefore raising the overall value and subsequently your revenue.

However, there are many other ways to optimize your AOV, so we’re going to walk you through what they are.

Most Basic Ways to Increase AOV

Though there are more complicated ways in which you can approach raising your AOV, here are some of the basics to keep track of.


Many customers will not want to purchase multiple items, but will if there is some sort of disount they are benefitting from. For example, if you sell a hamburger for $10 and french fries for $5, it might be worth saying that the french fries will be only $2.5 if you purchase the hamburger.



This way, you’re able to sell both products, but one of them is cleverly upsold so the customer actually bought more than they initially intended to. This method can also be worded as “selling a product alongside another”, as it is often used to get people more interested in products they wouldn’t normally buy.


In getting customers to buy more products, listing the benefits of having two of the same product might be able to inspire them to purchase more, increasing your revenue. In situations where the customer normally would not have bought two of the same product, this has been proven to inspire them to do otherwise, making it a key point for businesses looking to increase their profit through AOV.


For example, if someone is buying a hamburger, it might be cheaper to buy it in a combo with french fries and soda, therefore leading the customer to spend more money than they initially intended to with the promise of helping out a friend in the process. By being able to upsell to your customers effectively, you can create the illusion of abundance that will definitely drive up your AOV.

Emphasize Importance

This one is a tactic you’re likely already familiar with—if you’re going to an electronics store to buy a high-quality TV, it’s natural that you’ll also be offered multiple add-ons by store members. This is actually a clever way to increase the AOV of a product, as customers are more likely to purchase additional things such as warranties when they’re presented alongside the original product.

An effective example of emphasizing the importance of a separate product is typically through helping customers understand warranties and similar types of add-ons. For example, if you’re trying to sell someone a phone, saying that their phone will run better with 64GB as opposed to the more standard 32GB can be a way to sell them the former one easier. Though they may not need the extra 32GB, since their phone will run better and they could possibly use it in the future, they feel more inclined to purchase it. This point is also factual to the product, as phones do run faster with more memory.

Convince Customers That More is More

When someone is purchasing something like a phone, being able to convince them that the phone will run better with a larger data pack is better, even if they’re not going to use the space. In person, you usually do this by hiring a very convincing sales agent, but online you can effectively do this by highlighting more expensive options as better values than the cheaper ones.

Knowing how to use these methods successfully is key to keeping your profits up, as these are the most successful and proven methods to utilize.

Other Ways to Increase AOV

In addition to the basic methods you can use to optimize your AOV, here are some other ways:

Free Gift Offers

Giving people free gifts when they purchase items of yours can be a great way to convince them that they’re getting some sort of value with their purchase. Often these gifts give the illusion that they are getting something for free when in reality they are incredibly cheap to make.

If you want to take this principle up a level, including the gift product in the cost of the original product is also a great way to cover your expenses entirely while giving the customer the illusion that they’re receiving a gift.

For example, the following scenario applies: at a pizza restaurant, it costs $40 to get a meal of two large pizzas alongside two orders of wings and garlic knots. However, if you pay for the $65 offer, they’ll double the wings and garlic knots portion and also throw in two “free” liters of soda. Though it’s clear that you’re paying for everything you get, the notion of part of it being “free” is enough to convince the customers otherwise.

Using methods such as this one allow you to give off the illusion of getting a deal that doesn’t exist, increasing the overall AOV by having customers purchase the more expensive item more frequently.

Using Multichannel Offers

Part of the complexity of the internet’s current marketplace is defined by how many avenues there are right now to market ot consumers. For example, the prevalence in recent years of social media has completely changed the landscape, giving businesses many different options for marketing their products and associated deals differently.

Having a multichannel offer means using a service that can run similar ad campaigns on multiple formats. This means having the same ad run on Facebook, Instagram, and your online emailing list. It’s also possible to manage these things on your own, but it can get quite overwhelming when you have to cater to the specifications of each format.

Alicia Florletta articulates this style of marketing well in this article. She also argues that it can be even more inspiring for customers to be offered gifts in exchange for getting others to interact with a certain company as well. For example, gifting out coupons to someone who refers 5 people to work with your company can be a good way for you to bring up your AOV and also give clients something extra for helping out!

Diligence is Key

No matter which method you choose for getting people to purchase more of your products, it’s important that you have diligence. Any campaign done without enough of a repetitive push isn’t likely to be successful, meaning that your offers should be shown to customers multiple times throughout the process of ordering something online. If a customer sees the same offer on multiple pages, it increases the chance of it sticking in their mind and getting them to purchase more.

We hope this article has been helpful and you’re able to begin increasing your AOV immediately! Are there any tips that you liked best? Any that you’re already practicing with your online business? Let us know!

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