Strategies to raise Shopify average order value

Discover proven strategies to increase your Shopify average order value through smart bundling, strategic upsells, and customer incentives that boost revenue without increasing traffic.

If you're like many Shopify store owners I work with, you're probably familiar with this frustration: plenty of visitors browsing your store, decent conversion rates, but customers just aren't spending enough per purchase. You're essentially leaving money on the table with every transaction.

The good news? By focusing on your Shopify average order value (AOV), you can transform those modest purchases into more profitable transactions.

AOV measures the average amount customers spend per transaction - calculated simply as your total revenue divided by the number of orders. Through strategies like product bundles, bulk discounts, free shipping thresholds, and smart cross-selling, you can effectively encourage customers to spend more each time they shop. For example, Swanky Agency helped a Sydney FMCG retailer increase their average order value by 32%. Their upsell strategy nearly doubled their adoption rate from 3% to 5.8% 📈

This guide provides actionable strategies and tools you can implement today to boost your Shopify average order value.

Understanding Shopify AOV: Why it matters for your store's revenue

Increasing your Shopify average order value is essential because it directly drives profitability and supports sustainable growth.

Think about it this way: processing one $100 order is significantly more cost-effective than handling five separate $20 orders. You save on transaction fees, packaging, shipping costs, and time. Even a modest 10% increase in your average order value can dramatically improve your bottom line.

Beyond the immediate financial benefits, tracking your Shopify average order value provides actionable customer insights that help optimize your entire business strategy. I've found that understanding AOV fluctuations during holidays or seasonal periods helps me better plan inventory and adjust marketing campaigns. When you know your customers typically spend more during Black Friday, you can stock accordingly and create targeted bundles.

Perhaps most importantly, increasing your average order value is often easier and more cost-effective than constantly chasing new customers. According to Shopify's 2021 data, the annual average customer acquisition cost for Health and Beauty brands reached a steep $127. Compare that to the minimal cost of encouraging existing customers to add one more item to their cart, and the value becomes clear. An increase in AOV typically indicates you're successfully encouraging customers to purchase higher-priced items or additional products through the strategic approaches outlined below.

How to improve your AOV while maintaining customer satisfaction

Offer product bundles and volume discounts

What to do

Combine related products into bundles and offer them at a discounted price.

This encourages customers to buy more in a single transaction while providing genuine value. Focus on products that naturally complement each other and create themed bundles that make sense for your customers. For example, a "skincare routine bundle" combining cleanser, toner, and moisturizer offers convenience while increasing order value. I've seen curated starter kits and complete sets perform particularly well during gift-giving seasons.

Provide volume or tiered pricing for purchasing multiple items. Reward your bigger spenders with greater savings by setting up progressive discount tiers that incentivize larger purchases. Make the savings substantial enough to motivate bigger purchases - simple structures like "Buy 2, get 10% off" or "Buy 3, get 20% off" can work wonders for your average order value.

Display bundles and discounts prominently on key pages to maximize visibility and conversions. Include clear pricing tables that show exactly how much customers save at each tier. Use clear visual cues with phrasing like "Frequently Bought Together" or "You May Also Like" to highlight bundle opportunities. I always recommend testing different placements on your product pages to find what converts best for your specific audience.

Customer satisfaction

Your bundles and discounts should offer real value and convenience, not just push for higher sales. Ensure bundled products genuinely work well together and solve a problem for your customers.

Test your bundle offers for at least 2-4 weeks before making any changes. Give your bundles time to establish consistent patterns before optimizing - most successful campaigns need this full period to show their true potential.

Katie KeithFounder & CEO

App recommendation

Barn2 Bundles & Bulk Discounts stands out for several reasons:

Offer free shipping and gift thresholds

What to do

Set a minimum order value for free shipping to encourage customers to add more to their cart. This gentle nudge can significantly boost your Shopify average order value by motivating shoppers to reach that threshold.

Set the threshold at around 30% above your current AOV to ensure customers add extra items while keeping the goal achievable.

Offer a free gift for orders above a certain value to reward higher spending. Choose low-cost gifts with high perceived value, setting the threshold above your free shipping minimum. Examples that work well include "Free shipping on orders over $50" or "Spend $75 and get a free keychain." The key is finding gifts that excite customers without eating into your margins.

Use progress bars and banners to promote free shipping offers at key points in the customer journey. This keeps the incentive visible and top of mind throughout their shopping experience. Some users have found success by adjusting their shipping strategy. For example, @slowdrivemusic via Reddit shared:

"Increased the shipping rates and an offer for free shipping above X amount. Immediately saw an improvement in AOV." 

Customer satisfaction

Customers appreciate free shipping and gifts, but avoid setting thresholds too high as this can lead to disappointment or cart abandonment.

App recommendation

BOGOS makes it easy to set up free gift promotions and cart upsells that can boost your average order value. The app costs $29.99/month with a 7-day trial. For more options, explore the perfect free gift app in Shopify's App Store.

Upsell and cross-sell complementary products

What to do

• Upsell higher-value or upgraded versions of the product customers are viewing.
• Highlight the added benefits to make the upgrade genuinely appealing.
• Use comparison tables to show why premium versions offer better value for their needs.
• Position upsells on product pages with clear "upgrade" messaging and emphasize key differentiators that matter to your customers.
• Suggest related or complementary products through sections like "Frequently Bought Together" or "Complete Your Look."
• Display recommendations prominently on product pages and in the cart where they're most likely to convert.
• Use data-driven suggestions based on actual purchase patterns to ensure relevance - customers can tell when recommendations are random versus thoughtful.
• Personalize recommendations based on browsing and purchase history to increase relevance and your Shopify average order value.
• Track customer behavior to suggest products that align with their preferences and past purchases.

The more relevant your suggestions, the higher your Shopify store's conversion rates. For example, a customer viewing a phone might see a phone case as a complementary add-on in the "Frequently bought together" section under the product. This natural pairing makes sense and adds value to their purchase.

Customer satisfaction

Make suggestions that are helpful and relevant to enhance the shopping experience. Focus on products that genuinely add value for the customer rather than just padding the order.

App recommendation

Essential Upsell & Cross Sell provides automated product recommendations and customizable upsell flows to increase your average order value. Best of all, it's completely free.

Offer loyalty programs

What to do

• Launch points-based or tiered loyalty programs to reward repeat purchases and higher spending. Customers earn points or unlock tiers by reaching spending thresholds, encouraging them to increase their order values over time.
• Structure your program with clear earning rates and achievable redemption levels that motivate participation. For example, "Earn 1 point per $1 spent; 100 points = $5 off your next order."
• Provide exclusive perks such as early access to new products or members-only sales. You can also offer VIP experiences like product previews or special events. I've found that these non-monetary benefits often drive more engagement than discounts alone, creating emotional connections with your brand.
• Promote your loyalty program with clear, engaging visuals. Display sign-up prompts on your homepage and checkout pages where they're most likely to convert. Use progress bars to show customers how close they are to their next reward, creating a gamification element that encourages higher spending.

Customer satisfaction

Loyalty programs should be easy to join and offer meaningful rewards that customers actually want.

App recommendation

BON Loyalty Program & Rewards offers comprehensive loyalty features with seamless Shopify integration to help boost your average order value through repeat purchases. Paid plans start at $25/month with a 7-day free trial.

Maximize your AOV strategies

While these strategies can increase your Shopify average order value across all customers, targeting high-intent shoppers can dramatically improve their effectiveness.

The following maximization strategies can take your AOV efforts to the next level and deliver even better results.

Quick implementation wins to boost your average order value

• Cart abandonment emailsInclude your AOV incentive (like a free shipping reminder or bundle discount) in recovery emails sent 2-4 hours after abandonment. This timely reminder can bring customers back to complete larger purchases.
• Exit-intent popupsTrigger bundle offers specifically when high-cart-value customers show exit behavior. These last-chance offers can salvage potentially lost revenue.
• Smart segmentationDifferent AOV incentives work better for different customer types. New customers often respond well to bundle deals, returning visitors appreciate loyalty points or free shipping offers, and previous high-spenders value exclusive offers that recognize their VIP status.

More advanced tips to identify and target high-intent signals

Watch for cart activity where items have been added with values above $40 - these shoppers are already primed for higher spending.

Return visits within 48 hours indicate serious purchase intent. Customers spending 3 or more minutes browsing, viewing multiple product pages, or engaging with reviews and sizing guides are showing strong buying signals.

Start simple by focusing on cart value first. For example, customers who've already added $50 or more to their cart represent your highest-intent audience for AOV strategies. These shoppers have demonstrated willingness to spend, making them perfect candidates for strategic upsells or free shipping offers that can push their order value even higher.

How to analyze your Shopify AOV

Tracking and analyzing your Shopify average order value is crucial for measuring the effectiveness of your implemented strategies. Without proper monitoring, you won't know which tactics are working and which need adjustment. That may sound obvious, but I've seen so many Shopify merchants with no idea whether their efforts are making a difference 😬

To calculate AOV manually, use this simple formula: AOV = total revenue / total number of orders

However, accessing your Shopify Analytics gives you instant access to the "Average Order Value" metric where you can monitor AOV and trends over time. Keep in mind that Shopify calculates your AOV as: Average order value = (gross sales - discounts) / total orders, excluding post-order adjustments like edits or exchanges. For deeper insights, segment your AOV analysis by:

• Product categories
• Traffic sources (organic, paid, social)
• Customer types (new versus returning)
• Time periods to identify seasonal trends

I always recommend comparing your store's AOV against industry benchmarks to set realistic improvement goals and understand where you stand competitively. You're not working in isolation, so it's important to understand the wider context.

Measuring the impact of specific AOV strategies

To measure the impact of specific AOV strategies, I recommend creating before and after comparisons when implementing new tactics. For example, you can:

• Use UTM parameters - tracking codes added to URLs that help you track the effectiveness of your marketing campaigns.
• Set up A/B tests for different discount structures and monitor how changes in offers, bundles, and loyalty programs affect both AOV and profitability.

Adjust your strategies based on this data to continuously refine pricing, promotions, and marketing efforts. For instance, the Bundles & Bulk Discounts app includes built-in analytics features showing revenue generated through your discounting strategies, making it easier to track ROI.

Advanced tracking tip: Set up tools like Better Reports or integrate Google Analytics 4 for even more detailed insights into your average order value patterns 🚀

Start boosting your Shopify average order value today

Your Shopify average order value is essential for understanding how well your business is performing and gaining insights into customer purchase behavior. It's one of those metrics that directly impacts your bottom line, making it worth your focused attention. Implementing the strategies outlined in this guide - from smart bundling and free shipping thresholds to strategic upsells and loyalty programs - can significantly improve your AOV, leading to increased revenue and enhanced customer satisfaction.

The beauty is that many of these tactics work together, creating a compounding effect on your results.

Apps like Bundles & Bulk Discounts make it simple to add incentives that encourage customers to spend more without the technical headaches. With built-in analytics and unlimited discount options, you can start testing what works best for your store immediately.

Ready to see your average order value soar? Get started with Bundles & Bulk Discounts today and transform those modest purchases into profitable transactions that drive real growth for your Shopify store.