What if every single time someone bought from you, it was a profitable exchange?

Now you're probably “thinking that's always the plan!”

But whenever you start to scale business and you try and run advertising, sometimes you do acquire customers at a loss.

But then once they're in your ecosystem at scale you could be retargeting them and re- marketing them for life. But the cost to acquire that customer can sometimes be a loss but it doesn't have to be.

What you can actually do is increase your average order value.

Increasing your AOV is going to help make sure that every purchase that comes in is more often than not a profitable exchange.

THREE WAYS TO INCREASE YOUR AOV

BUNDLES
First way is bundles.

Bundles are so powerful, for example maybe you're buying the makeup and you're adding the brush and the makeup remover.

That's a bundle.

They came for the makeup but they bought the bundle because the perceived value is so much higher, therefore your average order value then increases.

UPSELLS
The second way is up-sells.

Unlike a bundle where we're trying to sell them everything at the front end an up-sell happens whenever a buyer enters the checkout, purchases the first item and then at the end we say “why not add this?”

Say they buy a T-shirt, why not add the shorts?

This upsell can be done using very simple cart upsell features in Shopify apps.

FREE SHIPPING
The third way to increase your average order value is by offering the free shipping bump. If your current average order value is, let's say £65 average, and we want to increase that average order value, we can use this following equation.

Create a free shipping option IF customer spends AOV + 20%

For this example, you can let customers qualifiy for free shipping if they spend £80.

This means someone has to add another product to get over that £80 threshold, and then they qualify for free shipping.

The extra product is going to cover the £3.99 shipping costs, and you just increased your average order value.

If you want to chat about content and ad creatives for your brand, you can book a free call right here: https://calendly.com/lifelikemedia/creative-offer


Check out a video we made on this:
https://www.instagram.com/p/CjVy-zmja9M/