AOV changes across devices
Posted: Sun Dec 22, 2024 9:13 am
Natural purchase frequency- First, how often do your customers purchase. A lower frequency often means that you require a higher AOV to sustain cash flows.
Average product price - Second, y telegram user database our product mix will naturally inform what you should define as a good AOV. Certain industries, such as furniture, will have higher AOVs relative to more inexpensive product mixes.
CAC - Finally, your customer acquisition cost will set a threshold for what you what defines a good average order value for your business.
That said, below are a few AOV benchmarks you can use as a reference when determining what a good AOV KPI would be for your eCommerce store.
First, average order values are influenced by device type. A 2019 study by Statista found that the cart values on desktop were, on average, 48.12% higher than like sessions on mobile devices and 32.20% higher than tablet shopping sessions.
“...Cart values on desktop were, on average, 48.12% higher than like sessions on mobile devices and 32.20% higher than tablet shopping sessions."
AOV is impacted by global trends
We performed an in-depth study on how COVID-19 impacted eCommerce stores. One major finding was COVID-19's impact on average order values across industries.
From out own database, we saw an average AOV of $129.70 before the pandemic. This number steadily rose as the pandemic grew, ultimately reaching a max AOV of $248.28, over a 91% increase from before the pandemic!
Why Does Average Order Value (AOV) Matter (Why is it important?)
AOV is a revenue based metric. As such, it's effects trickle down through all parts of an eCommerce business. Below are a few major reasons to focus on increasing AOV in your business.
1. Multiply Profits
AOV has a multiplier affect on profitability. Your store incurs fixed costs everyday - from warehouse to labor costs. Increases in AOV gives you incremental profit every order.
Average product price - Second, y telegram user database our product mix will naturally inform what you should define as a good AOV. Certain industries, such as furniture, will have higher AOVs relative to more inexpensive product mixes.
CAC - Finally, your customer acquisition cost will set a threshold for what you what defines a good average order value for your business.
That said, below are a few AOV benchmarks you can use as a reference when determining what a good AOV KPI would be for your eCommerce store.
First, average order values are influenced by device type. A 2019 study by Statista found that the cart values on desktop were, on average, 48.12% higher than like sessions on mobile devices and 32.20% higher than tablet shopping sessions.
“...Cart values on desktop were, on average, 48.12% higher than like sessions on mobile devices and 32.20% higher than tablet shopping sessions."
AOV is impacted by global trends
We performed an in-depth study on how COVID-19 impacted eCommerce stores. One major finding was COVID-19's impact on average order values across industries.
From out own database, we saw an average AOV of $129.70 before the pandemic. This number steadily rose as the pandemic grew, ultimately reaching a max AOV of $248.28, over a 91% increase from before the pandemic!
Why Does Average Order Value (AOV) Matter (Why is it important?)
AOV is a revenue based metric. As such, it's effects trickle down through all parts of an eCommerce business. Below are a few major reasons to focus on increasing AOV in your business.
1. Multiply Profits
AOV has a multiplier affect on profitability. Your store incurs fixed costs everyday - from warehouse to labor costs. Increases in AOV gives you incremental profit every order.