When it comes to increasing your revenue, most entrepreneurs think of attracting new customers. But it’s not the only way to get more money.

By boosting the Average Order Value, you can grow your business even without resorting to advertising campaigns.

In most cases, when shoppers land on your website, they buy products that solve their problems and don’t make spontaneous purchases. But armed with some marketing tricks, you can significantly improve your purchase rates and balance cash flows.

In this blog post, we’ll show you the best strategies to boost your AOV and provide a better experience for your visitors with minimum effort.

But before listing the killer strategies, let’s define the AOV meaning.

What is AOV in marketing & How to calculate it?

The Average Order Value, abbreviated as AOV, refers to the number of orders per shopper over a specific period. Simply put, AOV measures the average dollar amount shoppers spend when they make purchases on your webstore.

The AOV formula is pretty simple: total revenue/total orders.

How to calculate the Average Order Value?

For instance, if your webstore generated $2,000 in October with 25 orders placed, the average order value is $2,000/25 = $80.

So, AOV is a highly informative metric that helps determine your customers’ purchasing habits, elaborate an effective pricing policy, and plan advertising campaigns.

The best 13 tactics for AOV marketing optimization

1. Learn more about your audience

Have you ever visited your local corner shop hungry? If yes, you know for sure how many unnecessary products you can grab. Why? Because when you are hungry, you tend to purchase more than planned. So, why not use this mechanism for your online store?

Some of your potential clients come to your website “hungry,” some of them not. And here, your main goal is to find out what makes your target audience craving for purchases and address customer needs accordingly. This way, you’ll have all chances to increase your average order value.

Below you’ll find three steps to start with :

  • Communicate with your audience and gather feedback: Use all communication channels to talk to your clients. Staying in touch and direct contact are the shortest and the most effective ways to learn what your visitors are “hungry” for. For instance, gather information from your customer service, conduct surveys and polls, run focus groups, etc.
  • Keep an eye on your competitors: Never underestimate the importance of competitor research. No, you are not going to copy them. Instead, you just accumulate the most effective tactics and approaches that spark customer interest.
  • Analyze the data you already have: Get the most out of your analytics. By analyzing the performance of your past campaigns, you’ll fine-tune your future marketing activities to specific customer needs.

2. Personalize Recommendations

In the era of fast-growing advanced technologies, people value personalized customer service. The concept underlying personalization is to deliver product recommendations that are unique for every viewer.

According to statistics, 88% of U.S. marketers reported seeing significant improvements as a result of personalization initiatives.

Here’s an example of product recommendations in action from loefflerrandall.com:

The example of Product Recommendations

How does a recommendation system work? Usually, a recommendation engine analyzes customers’ on-site behavior to suggest the products they will like most.

But the Recom.ai app completely changes the game, offering a new approach to online shopping and personalized suggestions in particular. Its Amazon-like Scout feature lets users upvote and downvote products right in the widget with recommendations. Then it automatically adjusts items selection to customer preferences in real time. This way, store visitors get maximally relevant recommendations and add more products to the cart.

3. Upsell and cross-sell everywhere

These days, product upselling and cross-selling are commonplace, and no wonder. By using these techniques, you can effortlessly increase your purchase rates and improve the customer shopping experience. 

The idea behind successful product suggestions is to add them everywhere.

Why not implement any product recommendation type on your “404” page and give your visitors a quick way to return to the homepage?

A product recommendation box on your checkout page is an excellent way to deliver similar products (around the same price point) that may satisfy user’s needs even better.

  • What’s cross-selling?

Cross-selling is an act of suggesting your shoppers similar, related, or complementary items. Like this:

The example of product cross-selling

It’s an effective method to suggest additional products that perfectly match the already chosen items. In this case, shoppers are more likely to add them to the cart, thereby growing your sales.

  • What’s upselling?

Upselling has the same purpose – boost  AOV – but it suggests premium or more advanced models of the products already added to their carts.

Here is a visual:

The example of product upselling

You can easily optimize upselling and cross-selling recommendations for any store page to follow visitors along the sales funnel. To get a general idea about how it works, look at the examples below.

Add product recommendations in unexpected places
  • Home page

When it comes to the introductory page of the webstore, nothing beats the power of the “Cult Classic,” “Trending right now,” or “What’s new” strategies, which deliver new collections and popular products to visitors.

  • Product information page

“Buy The Look,” “Bought together,” “Similar Products” are perfect options for product pages. The reason? Visitors who come to a product page are still in discovery mode. So, timely displayed recommendations motivate spontaneous purchasing. And on the other hand, inspirational looks encourage shoppers to continue searching, thus providing a fertile ground for more product suggestions.

The “Recently viewed” strategy helps you reignite the interest in the products visitors have viewed once before.

  • Checkout page

The checkout page is where Related products get into the game. But make sure your suggestions provide real value to visitors. It means you shouldn’t cross-sell for the sake of cross-selling. For example, if a customer adds a smartphone to the cart, offer phone accessories for their particular phone model. Well, you get it.

  • Thank You page

Use every chance to increase your AOV by placing relevant upselling offers on the Thank You page. With proper tools for post-purchase upsells, you’ll let customers buy suggested products in one click. There is no need to re-enter any shipping or payment info. Once a customer hits the “, Buy in one click” button, the product is purchased and automatically added to their completed order.

Improving your Average Order Value is an essential step in growing your business, and here Recom.ai – Upsell & Cross-sell can help. So whether you want to highlight your best sellers, trending now products, new arrivals, or simplify navigation with “Recently Viewed” or “Compare With Similar Items” widgets, our app comes in handy.

4. Utilize product bundling

Product bundling is offering several products as one package. An example of product bundling would be a Dollar Shave Club’s travel set that includes traveler, razor, shave butter, daily face cleanser, and deodorant.

example of product bundling

Sephora presents some premade kits and also has weekly specials that allow shoppers to create their own collection of items. Thus, you provide clients with the ability to choose and buy exactly what they like.

Sephora's product bundle

5. Run rewards programs

Raise your hands if you want to improve customer retention and, of course, ensure a sustainable rise in your website’s AOV.

There are many ways to retain clients. And one of the most successful ones is e-commerce loyalty programs. These programs aim to keep and engage current clients, so they will place more orders and buy in higher volumes.

How to improve customer retention with Loyalty Programs?

Sephora’s loyalty program lets its customers earn points on all purchases. But the main reason for its success is a strong focus on personalization. At each stage of a three-tiered system, Rewards Program’s member gets access to particular “goodies,” be it discounts, special promotions, or exclusive sets.

6. Provide special discounts for newcomers

Tempting deals for new customers are a time-proven workhorse to convert visitors into buyers and boost your average order value. That’s why today, most online stores splash their special offers to their buyers using banners and catchy popups. For example,  Ninewest offers 15% off for a subscription. This way, they prompt shoppers to make a purchase and generate leads for their marketing campaigns. 


And here is one more example of a discount on the first purchase by Myollie. They don’t require registration and provide a 50% discount on the first box for everyone.

7. Assist customers using live chat support and chatbots

According to Websitebuilder, buyers who chat before purchasing demonstrate a 10% increase in average order value. What is more, consumers involved in the live chat have 40% higher overall conversion rates. Therefore, if you still provide your audience with live support, it’s high time to start.

If you have no time and resources for a live chat, pay attention to automated messaging or chatbots. They are widely used to assist customers throughout the purchase process and have proven their effectiveness in boosting sales. Up-to-date AI chatbots can answer product questions and help visitors navigate the store to find the necessary item faster. 

8.  A/B test everything

A/B testing provides you with priceless insights into what is working and what is not. Along with analytics, it lets you estimate the success of your marketing efforts and optimize them to drive more traffic, increase conversions, and boost average order value.

What to A/B test? Starting from any website element and ending with emails – everything can be tested, measured, and eventually improved.

9. Returns policy

A strong and transparent returns policy builds trust and makes online shoppers feel secure. Thus, by creating a good policy and clearly articulating it, you show visitors that there is no single chance for them to lose with your store. And, of course, the AOV increase will not be long in coming.

Take a look at the Bath & Body Works returns policy as a great example of customer care. They allow a full refund on all used products if you are not satisfied with them!

‍10. Offer gift cards

Gift cards are one more excellent way of rewarding users for purchasing. The gift card incentive works the same way as discounts, prompting shoppers to add products to the cart more willingly and buy more. To increase the AOV, create simple rules for card usage and ensure that the gift card amount correlates with your profits.  

‍11. Try limited-time-offers

Time-sensitive offers perfectly work when it comes to increasing your average order value. Flash deals attract consumers with discounts and motivate spontaneous purchasing as they give no time to think over the purchase decision. “Grab the shoes with a discount today only!” The time scarcity effect really works! And as you see, instilling a sense of urgency is a guaranteed way to increased conversions. 

Consider the following types of special offers when planning your sales activities:

  • Time-based sales
  • Seasonal sales
  • Event-based sales

One of the most popular seasonal sales examples is Starbucks, with its pumpkin flavors.

Seasonal sale to boost AOV

Hint: To reinforce the sense of urgency, use countdown timers in your emails and on the website. But don’t be overly intrusive, and make sure the timer is correctly set up.

12. Set the order minimum for free shipping

How does it work? As simple as that – you provide free shipping after an order value reaches the specified amount. The only pitfall here is to determine the minimum threshold. But if you know your AOV, the calculation won’t take much time. 

A free shipping threshold should go a bit above the average order value (up to 30%.) Hence, if your free shipping promo provides value to store visitors, they will buy more products in one go.

13. Make donations on behalf of your buyers

The Cone Cause Evolution Study releases that 85% of consumers positively treat a product or brand if it supports a cause they care about. To use this tendency for growing your average order value, you’ll have to study your customers and support the causes vital for them.

For example, if you have a pet-friendly audience―offer a donation from every customer’s sale to a pet rescue organization. 


 To review:

  • Calculating AOV can help you define how your webstore is performing. 
  • Experimenting with product recommendation strategies can significantly improve your bottom line and help your loyal buyers find products they need much faster.
  • Product upselling and cross-selling is another highly effective way to accelerate your webstore’s potential. Plus, it’s SO easy to launch. If you’re ready to give it a shot, Recom.ai will be helpful.
  • By merging your products into one SKU, you can encourage consumers to order more, which is the potential for a greater average order value.
  • Loyalty programs provide powerful motivation for customers to sign in, return, and buy constantly. Moreover, they create meaningful connections.
  • Analyzing your customers’ behavior and running A/B tests, you’ll be able to fine-tune your offers to specific consumers’ needs and make them high-converting.

We hope these strategies will help you build deeper connections with your audience and boost AOV. Because no matter where you’re at in your business, there’s always room to improve.