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Average Order Value
Average order value is the average revenue generated from a single purchase, calculated by dividing total revenue by the number of orders. It is a key e-commerce metric because it shows how much customers typically spend.
Businesses often try to increase AOV through techniques like product bundling, cross-selling, or free shipping thresholds. Tracking this number helps identify whether pricing, promotions, or customer behavior are moving in the right direction.
Explore more Glossary terms
AOV is the shorthand for average order value, a metric used to measure the average spend per customer transaction.
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Average order value is the average amount of money customers spend per transaction.
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