Raising your AOV (Average Order Value) is fundamental if you want higher revenues and a higher marketing budget.
With advertising and acquisition costs that keep raising, and algorithms that keep changing, you need to grow your budget. This is why, pushing your customers to buy more is a key strategy for the survival and sustainability of your business.
AOV is also very important because it helps you understand the efficacy of your marketing effort. By monitoring this index you will be able to improve your performance.
Since our goal is to support in you in your entire business, we are here to share with you the smartest and most effective techniques to raise the AOV.
#1 Leverage bundling and underline how much they are saving
One of the best way to increase the AOV is to create bundles of products.
You can both offer single products and bundles where you pair more products together. In the second case, the price will have to be lower than the sum of the single products prices.
We recommend you to make it clear, for your prospects, how much they are saving thanks to your bundle.
To get the best out of this strategy you should show bundles both right next to the single products in the product catalog, and on the product page.
#2 Raise AOV thanks to cross-selling
Cross-selling is one of the best performing strategies when it comes to AOV improvement.
When you do cross-selling you are offering to your clients to buy extra products that are related to the product that was added to the cart.
There is only one rule: the cross-selling products must have a lower price than the main one. Otherwise, clients would never be inclined to add it to cart.
Want an example?
If you are selling a phone, you can cross-sell a cover or a couple of wireless earphones.
#3 Promote extra discounts for extra items
How many times did you buy three pieces of socks at H&M to save money, even if you didn’t need them?
Well, we’ve been there too.
Including a set of growing discounts for additional items is a proven and working tactic. It will help you sell more pieces and get higher revenues.
#4 Offer free gifts when customers buy an expensive product
If you have similar products and you want customers to buy the more expensive version you can use this tactic. In this way you will show, since from the product list, that they will receive free gift buying that precise product. This will help you get higher AOV and higher satisfaction.
We have to remember that making customers happy is still the first goal, so that they can come back and buy again.
#5 Include financing options for very expensive purchases
Are you struggling selling expensive products?
If your prices are too high, prospects may feel uncertain about buying. Or they could have no money for it. This is why offering financing options can be the right solution.
If prospect, instead, are not buying because they don’t trust you, you can solve the problem thanks to COD. Cash on delivery, in fact, allows them to pay at delivery, making them feel safer and more inclined to buy.
Not to mention that COD can help you grow your conversion rate up to 10X.
This is why we launched the COD program in Europe, to help you to grow your business in these expanding countries.
#6 Increase AOV thanks to personalization and recommendations
Personalization is one of the key trends of e-commerce. This is because users love personalized offer. They want businesses like yours to know them and to give them exactly what they want. Even better when they are also at the right time. This is why personalization of offers and messages can also help you increase AOV.
#7 Make it easy to return products
Sometimes your prospects will be interested in your products, but won’t feel safe buying it. If it’s a problem of trust, you can solve thanks to COD.
Yet, it can also be because they don’t know if they will like the product.
Let’s say you are looking for an elegant shirt online. What if the size you chose is not the right one? What if the color is not the one represented in the picture? What if you simply don’t like how it fits you?
Well, if you include in your business an easy and clear return policy you will win your customers.
Make sure that the returning process is simple and that it is shown to every users.
#8 Stimulate scarcity and urgency in your prospects
One of the key lessons that we can learn from Ca$hvertising is that scarcity is a key driver to make people buy.
This is why this strategy is always effective, and works fine for every occasion. It leverages the psychology and the emotions of people, their fear of missing out (FOMO).
To use scarcity and activate the sense of urgency you can use a countdown widget or highlight the number of pieces left of a particular product. To do that you can use Shopify apps.
#9 Get higher AOV thanks to a Free Shipping threshold
Free shipping is a magic word for every e-commerce business.
As you see below, a study of the Baymard Institute shows that 60% of customers abandon the cart due to extra costs like shipping.
This means that customers don’t want to pay for shipping. All you have to do is to offer free shipping but setting a threshold. In this way you will make them happy, and you will achieve your goal: raising the AOV.
#10 Don’t forget up-selling
Bundling and cross-selling are effective strategies to raise your Average order value. And so it is up-selling.
How does it work?
It’s pretty simple, you suggest to your prospect a product that is better than the one he/she chose.
Let’s say you are looking at a toothbrush. I could suggest you to buy one with carbon bamboo toothbrush that will also give you whiter teeth, while saving the environment. The perceived value is higher and so is the price, yet with the right message you will convince your prospects.
#11 Offer an upgrade thanks to extra services to see your AOV skyrocket
Last, but not least, the service upgrade.
This is what you usually offer during the checkout, when it’s time to pay. And sometimes even after (called order bump).
In this way you are offering your clients to add some additional services like gift wrapping, gift card, insurance, etc.
The market keeps getting more complex everyday. Present strategies stop working. Facebook bans your account and your ads. The costs of advertising go higher and higher. And all of this endanger your business.
In this scenario you can’t help but get smarter and find new solutions to your problem.
Raising the AOV is a key strategy to both grow your revenues and the budget to invest in business and marketing strategies.
If you want to keep your customers, though, you will have to give them quality and satisfaction.
Here at uDroppy we can help you thanks to our quality products and a fast shipping service thanks to DHL, our partner.
We can also help you thanks to cash on delivery. In this way you will grow your customer retention, you will reach a wider audience and will improve your brand image.
Thanks to these and more services, we can help you go from hero to zero, worries-free. We can help you build your own brand, without you changing the way you work. And mostly, without risks.