7 Ways to Increase Average Order Value

Average order boosting

Increasing your average order value (AOV) is one of the quickest ways to boost your eCommerce revenue without needing to attract new customers. Whether you’re an established online retailer or just starting, these simple yet effective strategies can help you make the most out of every transaction. The team at Proof3, with over 30 years of combined experience in eCommerce, is here to share some proven methods that can make a real difference to your bottom line.

For any online store, increasing the average order value is a key growth strategy. It’s not just about getting more people to buy from you; it’s about getting them to spend more each time they do. This blog will explore seven powerful ways to encourage your customers to add more to their baskets, helping you maximise the value of each sale.

Offer product bundles and discounts

One of the simplest ways to increase your average order value is by offering product bundles. By grouping related products at a slightly discounted price, you encourage customers to purchase more than they originally intended. For example, if you sell skincare products, you could offer a bundle that includes a cleanser, toner, and moisturiser. Customers feel like they’re getting more value for their money, while you enjoy a higher transaction amount.

Discounts on bundled items not only increase the perceived value but also help move more products at once, especially if you include less popular items in the mix. It’s a win-win situation: customers are happy with the savings, and you benefit from higher sales volumes.

Another effective approach is to offer a discount when a customer’s order reaches a certain threshold. For example, “Get 10% off when you spend £50 or more.” This tactic subtly encourages shoppers to add a few extra items to their basket to qualify for the discount, which directly boosts your AOV.

Implement cross-selling and upselling techniques

Cross-selling and upselling are classic techniques that can significantly impact your AOV. Cross-selling involves suggesting related products that complement the items a customer is already buying. For example, if someone is purchasing a laptop, you might suggest adding a laptop case or a mouse. These small additions can easily increase the total order value without much effort from the customer.

Upselling, on the other hand, encourages customers to buy a more expensive version of the product they’re considering. For instance, if a customer is looking at a 32GB tablet, you could suggest they upgrade to a 64GB version for a slightly higher price. This not only increases the order value but also enhances the customer’s experience by offering them a better product.

These strategies work best when the suggestions are relevant and well-timed. Using data and insights from previous purchases, you can personalise these offers, making them more appealing and likely to convert.

Introduce a loyalty programme

Loyalty programmes are a powerful way to encourage repeat purchases and increase average order value. By rewarding customers for their continued business, you can create a sense of value and appreciation that motivates them to spend more. Points-based systems, where customers earn points for every pound spent, can be particularly effective.These points can then be redeemed for discounts, free products, or other rewards, encouraging customers to add more items to their basket to earn more points. Over time, a well-designed loyalty programme can increase AOV and improve customer retention and brand loyalty.To make your loyalty programme even more effective, consider offering double points on certain products or during specific promotions. This can create a sense of urgency and encourage customers to make larger purchases to take advantage of the offer.

Provide free shipping thresholds

Free shipping is a powerful incentive that can significantly boost your average order value. Many customers are willing to add more items to their cart to avoid paying for shipping. By setting a free shipping threshold slightly above your current average order value, you encourage customers to spend just a little bit more to qualify for free delivery.For example, if your current AOV is £40, you might offer free shipping on orders over £50. Customers who are close to this threshold are likely to add an extra item or two to their basket, boosting their AOV and making the shopping experience more satisfying for them.It’s important to carefully calculate your shipping costs to ensure that offering free shipping at a certain threshold remains profitable. If done correctly, this strategy can lead to increased sales and happier customers, without eating into your margins.

Create urgency with limited-time offers

Urgency is a powerful motivator for customers. Limited-time offers, such as flash sales or time-sensitive discounts, can encourage customers to buy more, and quickly. When customers know that a deal won’t last long, they’re more likely to add extra items to their cart to make the most of the offer.

This strategy can be particularly effective when combined with other tactics, such as free shipping thresholds or loyalty points. For example, offering double loyalty points on purchases made during a flash sale can further incentivise customers to spend more within the limited time frame.

Limited-time offers not only increase your average order value but also create a sense of excitement around your brand. Through retargeting techniques, customers are more likely to return for future promotions, knowing that you regularly offer valuable deals.

Personalise the shopping experience

Personalisation can make a significant difference in how much customers are willing to spend. By tailoring the shopping experience to each individual, you can make them feel valued and understood, which in turn encourages them to spend more. This can be as simple as recommending products based on their browsing history or past purchases.

Personalised product recommendations that suggest products the customer might like based on previous purchases or based on their location are another effective way to increase AOV. By showing that you understand their preferences, you build trust and make them more likely to add those items to their order.

Our Digital Experience Specialists at Proof3 are experts in creating personalised shopping experiences that resonate with customers. Whether through tailored recommendations or targeted promotions, personalisation is a key strategy for increasing both AOV and customer satisfaction.

Offer flexible payment options

Payment flexibility can also play a crucial role in increasing your average order value. Offering options like “buy now, pay later” or interest-free instalment plans can make it easier for customers to justify spending more in a single transaction. When customers don’t feel the immediate financial burden, they’re more likely to indulge in higher-priced items or add additional products to their orders.

Flexible payment options can also attract a broader audience, including those who might not have made a purchase otherwise. By making it easier for customers to pay in a way that suits their needs, you encourage larger purchases and higher overall sales.

To make the most of this strategy, ensure that your payment options are communicated at the checkout stage. Highlight the availability of instalment plans or deferred payments to remind customers that they have the option to spend more without immediate financial strain.

About the author

Picture of Tiago Faustino

Tiago Faustino

Born and raised in Portugal, Tiago decided to leave the sunny beaches behind in 2011, moving to a less sunny Shropshire to pursue a career in digital marketing. Since then he amalgamated more than 12 years experience in the field, from affiliate to paid search and now digital experience. Highly analytical by default and with a passion for data, experimentation and above all else driving results for his clients. When not in the office, he can be seen playing chess or attempting to play FIFA.

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