Customer experience is the name of the game in modern eCommerce, but delivering the best online shopping experience isn’t easy. The eCommerce industry has grown drastically in recent years, and it’s more competitive than ever.
Brands need every competitive advantage they can get. One key metric to optimize is average order value (AOV). By focusing on AOV, brands can deliver personalized shopping experiences for each customer that makes them more likely to purchase from the brand again and again.
Is AOV really an important metric?
Yes. Knowing your average order value helps you better understand your profit margins and adjust your pricing strategies.
Comparing your AOV with your customer acquisition costs is important for determining profitability. If your total spend on marketing and ad campaigns is greater than your AOV, you may need to reevaluate your acquisition strategy.
Tracking your AOV gives insight into how successful your upsell and cross-sell strategies are performing. If your AOV is higher than your typical price-per-product, then customers are likely buying bundles of products. And if your AOV is closer to an individual product’s price, you might need to step up your upsell strategies.
If you plan to launch a Shopify store, or are looking to grow your existing one, there are some powerful apps that can help you deliver hyper-personalized customer experiences. These apps can help you increase repeat purchases, retain customers, and improve your average order value.
Rebuy is another data-driven platform that helps Shopify merchants deliver personalized customer experiences. The app includes email automation for subscriber churn win-back campaigns and to encourage repeat spends. It also comes with dynamic offer and real-time recommendations functionality.
One of the biggest draws of Rebuy is how easy it is to implement - you can introduce smart product recommendations to your Shopify store without any coding. Additionally, the platforms’ AI learns from consumer behavior and historical data, resulting in data-driven product recommendations.
How Rebuy boosts AOV
Rebuy helps you increase AOV by placing pop-ups and special bundle offers at key touch points, encouraging cross-sell and upsells. The app excels at personalizing customer journeys to deliver better customer experiences and increase AOV through smart product recommendations.
An example of Rebuy boosting AOV
Rebuy’s no-code Smart Cart helped Licorice.com, an artisanal gourmet licorice provider, increase its AOV by 17%. Here’s a rundown of the implementations that helped Licorice.com achieve this milestone:
- They placed carousels on every product description page to display personalized product recommendations.
- They included two cross-sell widgets on their store’s checkout page.
- They used a ‘free-shipping’ bar and three cross-sell widgets to directly increase AOV. The free shipping bar updates customers on how much more they must spend to get free delivery, and the cross-sell widgets analyze historical data and user behavior to make intelligent recommendations.
Here’s an example of the cross-sell recommendations that Licorice.com users received at checkout:
Postscript is a leading end-to-end SMS/MMS marketing platform for Shopify merchants. The app includes advanced segmentation features (powered by your Shopify store data), SMS automation, and advanced tracking and analytics.
How Postscript boosts AOV
Postscript helps you boost AOV by leveraging hyper-personalized messages to increase returning customers’ order values. The platform helps you grow your subscribers on landing pages, via mobile pop-ups, on your landing page, and QR Codes.
After growing your subscriber list, you can leverage Postscript’s advanced segmentation features to organize your list and deliver relevant recommendations. So you can increase the average spending of returning customers. The correlation between intelligent recommendations and increases in AOV are well documented, and Postscript helps you deliver the most relevant suggestions.
An example of Postscript boosting AOV
Unlike most brands in 2022, Curie sparingly texts their customers. Why? Because their customers know that a text from Curie means it must be important. With Postscript, Curie texted their entire SMS list to notify them about their one sale of the year ("Curie Day"). In one single campaign, they saw a remarkable 8% click-through rate and 46% conversion rate.
Klaviyo is one of the most advanced email and SMS marketing platforms for eCommerce. The app includes advanced segmentation, automation, analytics and reporting, and customer profile development.
Klaviyo is feature-rich and helps you deliver deeply personalized experiences to customers. You can leverage its advanced segmentation and analytics to create custom profiles for each customer and deliver tailored experiences.
How Klaviyo boosts AOV
Klaviyo helps Shopify merchants boost AOV by increasing the order value of customers’ repeat purchases, through hyper-personalized email and SMS recommendations.
After customers make their first purchase, you can leverage Klaviyo’s advanced segmentation to organize your audiences based on website behavior and special events. By analyzing key data, Klaviyo helps you deliver customers highly relevant product recommendations to increase their repeat purchases and drive your AOV up.
An example of Klaviyo boosting AOV
One of the best examples of Klaviyo being a valuable tool for improving AOV is in their case study with Steve Chou of the My Wife Quit Her Job podcast. With Klaviyo’s powerful reporting tools and deep feature set, Steve’s team is able to find new customers who are likely to be high-value customers while focusing on enabling more purchases from existing high-value customers.
In an age where social proof is invaluable to eCommerce, Okendo helps Shopify store owners make the most of customer reviews and user-generated content. Okendo’s draw lies in its convenience and non-intrusiveness; you can use the app to collect customer reviews and publish them without disrupting your eCommerce store’s core functionality.
How Okendo boosts AOV
Okendo boosts your AOV by reducing friction from the buyer’s journey and encouraging conversions. According to Search Engine Watch’s data, 72% of consumers won’t purchase a product unless they’ve read positive reviews about it.
With Okendo, you can showcase social proof on product description pages and even in your Google ads/search results. This helps you increase click-throughs and encourage customers to buy. Moreover, you can leverage Okendo to provide personalised “top reviewed” product recommendations to encourage upsells and cross-sells, increasing AOV.
An example of Okendo boosting AOV
Okendo helped Freshly Picked, a popular baby’s clothing brand, increase its AOV by $11 through the power of product reviews. In the parenting space, word-of-mouth and recommendations are integral, and Okendo helped Freshly Pick capture and disperse reviews to secure conversions and increase AOV.
Thanks to Okendo, Freshly Picked can display social proof on product pages. Okendo’s advanced customization features even let the clothing brand display reviews specific to different product types and colors. If we’re going to get specific with the terminology, it’s effectively a hyper-personalized review system.
Justuno is another multi-feature platform that helps Shopify merchants increase conversions by personalizing the customer experience. The app comes with gamification, targeting and segmentation, and advanced personalization features.
Justuno is a popular Shopify app because it lets you personalize experiences at each touchpoint, from when visitors first land on your site until they convert. Moreover, its personalization features run deep - with more than 80 advanced rule sets to send visitors the most relevant messages and recommendations.
How Justuno boosts AOV
Justuno’s features help brands increase ROI and customer lifetime values (CLV), but its cross-sell and upsell features are particularly effective for increasing AOV. The app has its own intelligent product recommendation engine called Commerce AI that delivers hyper-personalized recommendations to customers at critical touchpoints.
You can configure Commerce AI to deliver recommendations on-page, in-cart, and through pop-ups throughout the buyer’s journey. Providing customers with highly personalized, relevant recommendations is crucial to increasing AOV, and Commerce AI excels at it.
An example of Justuno boosting AOV
Justuno’s Commerce AI helped Bryan Anthonys, a multi-million dollar eCommerce lifestyle brand, increase its AOV by $8. The eCommerce giant achieved this by using Commerce AI to implement intelligent cross-sell recommendations at check-out and cart pages.
Commerce AI makes subtle, hyper-personalized recommendations to secure conversions and encourage cross-sells without overwhelming customers. Justuno’s implementation helped Bryan Anythonys increase revenue by 300% across all channels,
6. Octane AI
Octane AI is a feature-rich platform that helps Shopify merchants deliver a more personalized customer experience. It offers product quiz features, zero-party data collection, and automation for SMS and Facebook Messenger.
How Octane AI boosts AOV
Octane AI boosts AOV by providing customers with more personalized experiences. That means better product recommendations for upsells and cross-sells, delivered through quizzes and popups.
Additionally, Octane AI’s FB Messenger chatbot and SMS automation help you increase AOV by diversifying your marketing channels. For example, a yoga lifestyle brand (Sivana Spirit) leveraged Octane Ai for Facebook Messenger marketing and increased its AOV by 25%.
But how does the platform deliver these better, more personalized experiences?
Well, Octane AI helps you make smarter recommendations by collecting and leveraging the right customer data. The platform’s heavily geared towards zero-party data collection, i.e. collecting information directly from your customers, fueling more informed upsell and cross-sell efforts.
You can segment your audience and make the most relevant recommendations to each user. The result? Higher AOV, lower cart abandonment, and happier customers.
An example of Octane AI boosting AOV
Doe Lashes, an eCommerce beauty brand, increased its revenue by leveraging Octane AI’s Shop Quiz on the brand’s Shopify store. The quiz, called Lash Quiz, helped Doe Lashes collect vital zero-party data to segment their email list and deliver more personalized experiences.
Doe Lashes now receives 24% of its revenue courtesy of the Lash Quiz, and Octane AI’s Shop Quiz typically drives an 11% increase in AOV for quiz customers vs. regular customers.
Although eCommerce is one of the most competitive sectors today, it’s also highly rewarding. Optimizing your customer experience is key to establishing a successful Shopify store, and fortunately, technological advancements have taken personalization to a new level.
With the right Shopify apps, you can read your customers’ minds and deliver hyper-personalized, memorable experiences. This means a higher AOV and greater customer lifetime values for your store, and thus better profit margins.