Ecommerce Metrics

What is Average Order Value (AOV)?

Average Order Value measures how much customers spend per transaction. It's calculated by dividing total revenue by total orders. Higher AOV means more revenue from each customer visit.

Why AOV Matters

AOV is more important than conversion rate alone. A store with 5% conversion and $50 AOV makes $2.50 per visitor. A store with 2% conversion and $100 AOV makes $2.00 per visitor. Both matter, but AOV compounds with volume.

How to Calculate AOV

AOV = Total Revenue / Total Orders
Example: $50,000 revenue / 1,000 orders = $50 AOV

Good AOV Benchmarks

  • • Fashion: $75 - $120
  • • Home Decor: $150 - $250
  • • Electronics: $120 - $200
  • • Beauty: $60 - $90
  • • General Retail: $100 - $150

How Visual Recommendations Increase AOV

1

Relevant suggestions

When customers see products that genuinely match their style, they're more likely to add to cart. Visual recommendations show items customers actually want.

2

Complementary products

AI finds items that go together visually - matching accessories, coordinating pieces, items in same color palette. Customers add more when recommendations make sense.

3

Discovery shopping

Visual browsing feels like shopping in-store. Customers explore more when they see interesting related items, increasing items per cart.

Proven Results

15%+
Average AOV increase
3.2x
Higher click-through rate
70%
Customers engage with recommendations

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Last updated: February 2026