How To Increase Your Average Order Value ForYou Ecomm Store
Hey ya’ll, welcome to the BitBranding page. In this blog we are going to be showing you how to increase the average order value for your Ecomm shop, including one strategy that most businesses never take advantage of. So if you’re like us, make sure to grab your notes and check out the rest of this blog.
Before we get started, we just want to say hello to everyone. My name is Aaron, I’m one of the co-founders here at BitBranding.
We've been helping frustrated store owners since 2015 become impactful store owners through tutorials, tactics and strategies. And if you want to support our YouTube Channel, we truly appreciate it. Just hit that subscribe button and make sure that you turn on notifications.
Ok, let’s jump into it.
So number one is upsells.
This is the complementary offer that already goes with your products. So think about whenever you’re shopping on Amazon, you see something, and right before you check out, they always give you some kind of offer.
One app that we would tell you to check out is OneClickUpsell. It’s a Shopify app and it is done by Ezra Firestone, you will know exactly who I’m talking about once you click there.
It works for Woocomerce, it works with Shopify, but we would highly suggest you jump over to Shopify if you’re not there.
One cool thing about this Upsell is that if you know something that pairs really well together, you can set it up to say something like, if an individual adds this to their cart, pop up X item right at the checkout menu. They are much more likely to quickly add something to their cart if they are ready to buy. It automatically adds to their cart if they choose, increasing your average order value.
So number two is to bundle products together.
For example, what we did for our camera setup here is we bought one part of the stand but all of the parts should have come together instead of two separate purchases. So instead of just buying one piece, we should have gotten both of them and they would have had a higher order value.
So if you’re out there and you have products that can pair well together, like t-shirts and jeans, make sure the product pairs well together and you can bundle the pieces.
Alright guys, make sure you stick around to the end because we are going to be showing you a widely ignored tool that will almost absolutely increase your average order value and give you the highest ROI in your business.
Add An App
Ok, number 3 is to add an app, something like Sumo.
We actually use this app a ton and it has made a lot of money for our clients and it can make a ton of money for you.
What’s great about this app is that it’s super diverse, but what we want to talk about here is the ability for you to increase average order value when somebody already has something in their cart.
One cool thing about their system, their AI, their algorithm, whatever goes on on the backend for Sumo is if you add a certain amount to your cart, it will automatically pop up and say “You’re $15 away from a bundle” or “You’re $15 away from a free gift” or “You’re $15 away from free shipping,” whatever that may be for your store. This will only pop up when they’ve added a certain amount to their cart, which increases your average order value, you know it’s a warm audience and, most importantly, it’s going to get them to take that next advantage. We know people who were only going to go buy a pair of jeans but ended up buying a second pair of jeans just so they could get a free necklace that they didn’t even want, but they wanted the free necklace, for whatever reason.
So, huge advantage there. As a side note, kind of a bonus here, is you want that number that pops up to be about $5 short of the average order value. So if it’s $50, make sure that it’s $45 and have them bump up just a little bit because that means they’re going to buy a second product. If they buy a second product, the average price for your store, more than likely, is going to be a little bit higher so you’re going to increase that average order value because they’re so close to doing it and they’re going to bump it up anyway.
Ok, so number 4, by far, is going to be the best ROI that you have in your business. It costs you almost nothing, it’s not sexy so many people don’t do it and thirdly, it's just something that is hard to do. We say “hard,” it’s super easy to do but it’s a mental toughness hard. So it’s this tool that everyone thinks is archaic and doesn’t work, but it actually is going to provide the highest ROI in your business and if you do it, it’s going to put you so much further ahead than everyone else.
So this, what we like to call a sexy term, is email.
Email marketing is where people go to make purchases. Think about anything that you have connected online, it’s all done through email. So, when you’re selling a product, as soon as somebody purchases, you want an email sequence of 3-4 emails going out to that person. If they bought that toilet set, or if they bought those cushions, you want to send them 3 or 4 different colors of cushions to purchase. The point is that those 3 or 4 emails that go out are going to have the highest ROI for your business. It’s going to create LTV or lifetime value for your customers and for your business. As you continue to grow that you can become more profitable.
That’s a good segway to talk about Facebook Ads success, which we’ll talk about in another video, so make sure you guys stick around and subscribe to the YouTube Channel for that.
As you continue to go through email, what we would tell you is if you just set up those 3 or 4 emails,they're going to be the highest ROI in your business and a huge part of your business success.
All right, guys, thanks so much for reading. If you would like to watch our “How To” video on this subject, you can watch it here. We want to hear from you. What is your current average order value? Leave those comments on the video.
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