Average Order Value is a key sales metric for Shopify store. It’s not the only metric you should watch but if it gets too low, your store could be hurt in various ways. Some clear, some complex. The most visible way is that with a drop in AOV, you’ll be earning less per order. Usually …
When you’re trying to make advertising work, there’s a simple calculation you can use to get a rough idea on how much you can spend per click. Multiply your purchase conversion rate by the first order’s average value (AOV) and your margin. For example, 3% conversion rate X $50 AOV X 20% margin = $0.30 …
Understanding how all of the different ecommerce metrics relate and affect each other is difficult. I’m going to explain how Average Order Value (AOV) relates to your margin. Once you know how AOV and margin relate, you’ll be able to take advise for either of those metrics and adapt it to the other metric. After …
