As an ecommerce brand, one of your key goals is increasing sales and profitability. But what if you didn’t have to acquire more customers to grow your revenue? This is where the Average Order Value (AOV) comes in. By focusing on increasing the amount your current customers spend on each order, you can significantly boost revenue without having to attract more traffic. In this post, we’ll share proven strategies to help you increase your AOV and turn casual shoppers into bigger spenders.
1. Use Tiered Discounts to Incentivize Larger Purchases
One of the most effective ways to encourage customers to spend more is by offering tiered discounts. The idea is simple: the more they spend, the bigger the discount they unlock. For example:
- Spend $50, get 10% off
- Spend $100, get 20% off
- Spend $150, get 30% off
This tactic creates a sense of urgency and nudges customers to add more items to their cart to reach the next discount tier. It’s a psychological win-win: they feel like they’re getting a deal, and you’re increasing your AOV in the process.
2. Bundle Products Together
Product bundling is another tried-and-true strategy to increase AOV. Offering complementary products as a bundle at a slightly discounted price encourages customers to buy more than they originally planned. For instance, a skincare brand could offer a “Complete Skincare Set” that includes a cleanser, toner, and moisturizer at a lower price than buying each item separately.
By combining related products, you’re not only increasing the value of each purchase but also providing customers with a convenient shopping experience, saving them time and effort.
3. Offer Free Shipping Thresholds
Customers love free shipping. In fact, many shoppers abandon their carts when they see high shipping fees during checkout. A smart way to increase AOV is by offering free shipping when customers spend over a certain amount. For example, you can set a threshold like “Free shipping on orders over $75.”
This small change can have a big impact on your AOV. Customers are often willing to add extra items to their cart to qualify for free shipping, as they feel like they’re avoiding an extra cost.
4. Upsell and Cross-Sell at Checkout
Upselling and cross-selling are powerful ways to increase AOV. When a customer is already committed to making a purchase, it’s the perfect time to suggest additional items that complement their order. For example, if a customer is buying a laptop, you could upsell by offering a premium model with more features, or cross-sell by suggesting accessories like a laptop sleeve or wireless mouse.
Shopify allows you to easily set up upsell and cross-sell prompts during checkout, helping you maximize every order without being overly pushy.
5. Leverage Loyalty Programs
Loyalty programs encourage repeat customers to spend more. By offering points for each purchase, you can motivate customers to increase their order size to earn more rewards. For example, for every $1 spent, a customer earns 1 point, and after reaching a certain amount, they can redeem their points for a discount or a free product.
Loyalty programs not only increase AOV but also build customer retention, keeping your shoppers engaged and coming back for more.
6. Offer Free Gifts for High-Spending Customers
Everyone loves free gifts, and offering them for higher-order values is a great way to boost AOV. You can set thresholds like “Get a free gift when you spend $100 or more.” The allure of receiving an extra product can persuade customers to spend more than they initially intended.
Make sure the free gift is relevant and valuable to your customers. For example, a beauty brand could offer a deluxe sample size product or a limited-edition item that isn’t available for purchase.
7. Optimize Your Product Pages
Clear, compelling product pages can significantly influence how much customers are willing to spend. Include detailed product descriptions, high-quality images, and customer reviews to build trust and inspire confidence in their purchase decisions.
Additionally, displaying related products on the product page can prompt customers to explore more of your offerings, increasing their overall cart value.
Final Thoughts
Increasing your store’s AOV doesn’t have to be complicated. By leveraging smart discount strategies, product bundling, upselling, loyalty programs, and free shipping thresholds, you can easily encourage your customers to spend more with each order. Focus on delivering value and an exceptional shopping experience, and watch your revenue grow.
With the right tools, you can automate many of these processes, helping you drive more sales and increase AOV seamlessly. You can try out our Progress bar App on Shopify!
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