The Average Order Value (AOV) is the average money amount that a customer spends an order on your Prestashop website with you. It also gives some information regarding customer behavior.
The average order value, with the conversion rate (CR) & revenue per visit (RPP), is the most important value a Prestashop-based online store needs to increase to be profitable. Want to calculate the gross revenue? It's here: Traffic x Conversion Rate x Average Order Value.
Although increasing AOV doesn't factor into your profit margins or gross profit, merchants should first try to improve it, which is the process through which each consumer makes more money. It's a very important KPI (Key Performance Indicator) for any business, including Prestashop E-Commerce Stores, that informs you about your pricing strategies.
Increase this value to a point where it's the maximum it can be for your business based on your own data and industry benchmarks.
Then let it work on its own while you continue to focus on other important areas of boosting sales and revenue, like acquiring new customers, increasing the customer lifetime value of eCommerce businesses.
What you have: You launch an eCommerce business to consistently market and sell your products.
What you do: You try many ways to get more traffic. For example, a business owner are spending on advertising thousands of dollars on Google Ads or Facebook Ads, focus much of your energy on writing articles, and optimizing your website.
In fact: more traffic does not equal more success.
Increasing Average Order Values does not cost money, but increasing traffic does. Encourage your customers to buy more expensive products and more products!
You know What does Average Order Value mean. Next questions: How to calculate AOV and especially How to increase the average order value?
This Prestashop tutorial will show you 6 tips to increase your AOV easily.