Shopify Ops Glossary
AOV (Average Order Value)
The average dollar amount spent per order.
Definition
Average Order Value (AOV) is calculated by dividing total revenue by the number of orders in a given period. It is one of the three primary levers for ecommerce growth — alongside traffic and conversion rate.
Why It Matters for Shopify Brands
Increasing AOV through bundles, upsells, and free shipping thresholds is often more cost-effective than increasing traffic. A 10% AOV improvement with the same traffic and conversion rate generates 10% more revenue.
Benchmarks
AOV varies widely by category — fashion brands typically see $60–$120, while furniture and electronics brands may see $200–$800.
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