Average Order Value (AOV)
In eCommerce, also known as electronic commerce, digital commerce, or internet commerce, refers to the buying and selling o... More, Average Order Value (AOV) measures the monetary amount that is spent every time a customer places an order on a website or app. AOV can help determine whether customers tend to order more expensive or less expensive products, the amount of products they typically order, and how much each transaction costs in relation to the transaction itself.
The formula to calculate AOV is: Average Order Value = Total Sales Revenue / Number of Orders Placed. Merchandisers and marketers can increase AOV by delivering 1:1 personalized experiences that encourage visitors to purchase more goods or services.