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E-commerce vocabulary · Conversion and Analytics

Average order value

Meaning in e-commerce, with examples

nounCore term

In e-commerce, average order value means: The average amount a customer spends in one order, found by dividing total revenue by the number of orders in the same period.

In Turkish: ortalama sipariş tutarı, ortalama sepet tutarı

How it is used

Reported together with conversion rate and traffic, since revenue depends on all three. Usually shortened to AOV. Teams try to raise average order value with bundles, free-shipping thresholds and cross-selling.

Example sentences

  1. Our average order value went up by 12% after we set free shipping at 500 lira.

  2. Customers from email have a higher average order value than those from social media.

Common collocations

  • increase average order value
  • average order value (AOV)
  • low average order value
  • AOV by channel
  • conversion rateThe percentage of visitors or sessions that end with a purchase; for example, 2 orders from 100 visits is a 2% conversion rate.
  • cross-sellTo offer a customer products that go with what they are buying, such as a case with a phone or socks with shoes.
  • upsellTo encourage a customer to buy a more expensive version of what they are looking at, or to add an upgrade, such as more storage or a longer warranty.
  • product bundleTwo or more products sold together as one offer, usually at a lower price than buying each of them separately.
  • free shippingA delivery option for which the customer pays no shipping fee, often offered only on orders above a certain amount.

More terms: Conversion and Analytics

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