Average order value by SalesChefWhat is average order value?
Total revenue divided by the number of orders in the same period. It shows how much a typical order brings in, not how many people bought.
Average order value by SalesChef
Average order value: what it is, and what really grows sales.
Average order value (AOV) is revenue divided by the number of orders. It is worth watching, but it is a secondary lever. Marketing science shows that brands grow mostly by gaining more buyers, not by getting bigger baskets from the same few. Raise AOV where it helps the shopper, such as the right pack and what goes with it, and judge it on gross profit. SalesChef makes the product pages and listings that do both.
What is average order value, and how do you calculate it?
AOV = total revenue ÷ number of orders in the same period. If 100 orders brought in 2,000 in sales, AOV is 20. A higher AOV does not always mean higher profit, so check the margin on what raised it.
Revenue per order
What AOV measures. It says nothing about how many people bought.
Gross profit per order
What AOV should be judged by. A bigger order of low-margin items can earn less.
Number of buyers
What marketing science shows drives growth. Penetration, not basket size.
Order mix
Which products, packs and extras go in the order. This is where product pages help.
What marketing science says about growing sales and order value
Count buyers first
Byron Sharp: “if you want to grow you must increase this penetration level.” The vast majority of a brand’s buyers are very light buyers, so growth comes from reaching more of them.
Do not expect big baskets from a small group
Bigger brands have far more buyers, and their buyers are only a little more committed than a small brand’s. That is double jeopardy. Few brands win by squeezing the same buyers.
Shoppers use several brands
Buyers split their purchases across a repertoire of brands. A product page for a light buyer should make the choice easy, not assume attachment.
Be easy to think of, in every moment
Category entry points are “all thoughts or motives that buyers may have to buy within a category.” Show each moment a product fits and it comes to mind more often, and in more orders.
Be easy to buy
Physical availability includes a variant and quantity that match the shopper’s need. The right pack size and the things that go with it belong here, and they raise AOV honestly.
Judge on gross profit
Add-ons and sets are good when they fit the shopper and carry margin. Pushing extras that do not fit lifts AOV and loses the next sale.
How SalesChef grows sales, and order value with it
Knows the moments each product sells in
The buying moments and shoppers behind every product, from marketing science and thousands of sources.
Makes the page easy to choose from
The right pack, size and variant clear on the page, and what goes with it, with every fact checked against the maker.
Reaches more buyers, not the same few
Pages, listings, ads, email and social, each made for its place and moment.
Measures gross profit every Monday
The weekly report names the next best move, judged on units sold and the gross profit made.
Works with your store and analytics
Pages go where your products are sold, and results come back from the tools you already read.
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Google Search Console
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Adobe Analytics
Semrush
Ahrefs
Algolia
Bloomreach
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Questions about average order value
How do you increase average order value?
Offer the right pack or size, show what goes with the product, and make bundles that fit a real use. Check the gross profit on each, since a higher AOV does not always mean higher profit.
Is raising AOV the best way to grow?
Rarely the main one. Marketing science shows growth comes mostly from more buyers, including light and new ones. AOV is a secondary lever.
What is double jeopardy?
A pattern found across many categories: a smaller brand has far fewer buyers, and its buyers are also slightly less committed. So the way to grow is more buyers, not more from the same few.
What are category entry points?
The thoughts, moments and motives that bring a shopper to buy in a category, such as a treat, a gift or a rainy-day job. The more of them a product is linked to, the more often it is bought.
How does SalesChef help?
SalesChef knows the moments each product sells in, makes pages and listings that make the right choice easy, and judges every move on gross profit, not revenue.
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In minutes, not months.