Average order value (AOV)

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It’s important to note the Average Order Values (AOV) shown in Context are the result of running personalization recipes. Context metrics ONLY display the results from your personalization efforts.

What is average order value?

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Total revenue / Total number of orders from tailored experiences

Average order value (AOV) refers to the average amount spent by customers per transaction. It’s calculated by dividing total revenue by the total number of orders.

For example, if your store has a total revenue of $2,000 split between 100 orders, your average order value is $20. This means that, on average, a customer spends $20 each time they make a purchase from your store.

With Context, AOV is influenced by the tailored experiences your customers receive. By personalizing marketing efforts and upsell strategies, you can encourage customers to spend more per transaction.

Traditionally, online businesses aim to encourage spending above their AOV threshold—for example, offering free shipping on orders over $25 if their AOV is $20.

By personalizing your marketing efforts with creative upsell strategies, Context can help you increase your AOV, leading to higher revenue.

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