Have you ever asked yourself why some e-commerce brands crush it when it comes to online sales?
You see their Facebook ads over and over. Their Instagram posts get tons of “likes” and comments. Influencers are constantly sharing their products. They’re able to build a massive following.
Do you want to know how these businesses are doing it?
One thing these brands that are able to skyrocket their sales and make boatloads of money have in common is that they all have a high average order value!
No matter what your average order value is, the “hacks” in this guide will help you boost these metrics so you can be the envy of your industry.
Let’s get started…
Here are our 4 Best Shopify Hacks to Increase Average Order Value!
1. Cross-Sell/Up-Sell
“Do you want fries with that?” may be the most famous cross-sell of all time.
Why does McDonald’s have their employees say this? Because cross-selling increases average order size, and increasing average order size allows companies to earn more money from the same customers.
Instead of offering fries, you can offer other products in your line-up to customers as they’re moving through the check-out process, when they’re already ready to purchase.
Own a Shopify store that sells grooming products?
With a cross-sell/up-sell app enabled and set up, if a customer has just purchased a shaving razor, they could be offered a set of replacement blades at a discounted rate, leading to a higher total order value.
Installing an app to your store is a great way to manage cross-sells/up-sells. For more apps that can improve your Shopify store, check out 5 Best Free Shopify Apps to Increase Sales!
Another added benefit to cross-selling/up-selling is that it creates more product awareness and convenience for the customer.
If a customer visits your site intending to purchase a particular product and is offered additional products at checkout, they are then introduced to a variety of products they may have never known existed.
In turn, they are able to purchase additional products from your collections, which creates convenience for the customer, and also boosts your average order value! It’s a win win situation! And for these reasons, cross-selling/up-selling is one of our 4 Best Shopify Hacks to Increase Average Order Value!
Pro tip: combine your cross-sell with an incentive to get free shipping, or a discount, to get shoppers to buy more.
2. Shipping Levels
Everyone loves free shipping! And why not? It’s convenient and hassle-free!
In today’s world of eCommerce, free shipping is an added perk most online businesses can incorporate to give customers even more reason to complete a purchase.
Often, unexpected shipping fees can lead to a lost sale. If a customer isn’t expecting a shipping fee at checkout, or if the customer isn’t notified in advance that shipping isn’t free, the customer will simply abandon their cart altogether.
Also, with free shipping now becoming commonplace in a majority of online businesses, customers may abandon their carts if some sort of free shipping option isn’t available through your store.
Shipping costs (and other “hidden” fees”) are the #1 reason for cart abandonment.
We recommend that every eCommerce brand test free shipping options by including the cost of shipping into the order.
One good way to do this is to have a free-shipping minimum purchase as a way to incentivize users to add more products to their cart.
Doing this is a win-win – customers get free shipping, and you get a higher AOV. Which is why adjusting your shipping levels is one of our 4 Best Shopify Hacks to Increase Average Order Value!
3. Bundles
Product bundles are an excellent way to increase your average order value!
With product bundles, a customer who is looking to purchase one product may be enticed to purchase other products they wouldn’t have purchased otherwise, because they come as as set, often at a discounted rate.
One method of product bundling is to bundle similar products together.
For example, if your customer is wanting to purchase a razor, perhaps it would be a good idea to also offer a bundle which includes the razor they are looking for, along with a set of replacement blades and a protective travel case.
Along these same lines is to recommend products to the customer, as a way of building a custom bundle.
Instead of offering a preset bundle for a customer of similar items they could purchase together as a bundle, a small list of recommendations could be offered for the customer to choose if they want to purchase together at a discounted rate.
For example, if a customer is wanting to purchase a razor, a set of replacement razors and a protective travel case could be offered for the customer to purchase in addition to the razor, at a discounted rate.
The customer would not be obligated to purchase both of these additional items, but both would be offered at a discount.
A helpful tip with product bundles is to emphasize the savings. If the customer clearly understands how much money they will be saving by purchasing the product bundle as opposed to purchasing the products separately, they are more likely to purchase the bundle.
4. Product Price
The price of a product can ultimately determine if a sale is made or not.
If a customer thinks the price of a product is too high in terms of the value the product offers, they are not likely to make a purchase.
But there are ways in which price can be manipulated in order to achieve a sale, and even, entice the customer into increasing the amount of their purchase, and increasing your average order value.
Price can be manipulated to tie into your store’s shipping policy.
If customers are abandoning their carts because of an unexpected shipping cost, you can factor the cost of shipping into the price of your products.
It might mean raising your prices a little, but if the customer is more likely to complete a purchase because you offer free shipping, it won’t matter in the end.
You can also use price along with product bundles and your store’s shipping policy to boost your average order value.
If you you set your shipping policy so that orders over $50 get free shipping, you can make recommendations for additional products a customer could bundle together, in order to qualify for free shipping.
For example: a customer is wanting to purchase a razor for $20, you could recommend the customer also purchase a set of replacement blades, a canister of shaving gel, and a protective travel case, all for $60.
Using this method, the customer would be purchasing additional products they wouldn’t have purchased otherwise, in order to qualify for free shipping.
This is why adjusting your product price is one of our 4 Best Shopify Hacks to Increase Average Order Value!
Put These 4 Best Shopify Hacks to Increase Average Order Value to Use in Your Business!
So there you have it, our top 4 free Shopify hacks to increase your average order value. We hope you find them helpful and that they help you boost your business’s bottom line.
Want help taking your e-commerce store to the next level? Click here to learn more about Brandhopper Digital and see if your business is a good fit to work with us!