September 11, 2026
Customer acquisition costs (CAC) — the total cost of sales and marketing to acquire a single customer — are climbing across every digital channel. For Shopify operators, the math is becoming increasingly difficult: as Meta and Google ad prices rise, the profit margin on a single transaction often disappears before the order even ships. To combat this, growth directors are shifting focus toward the most controllable lever in their stack: Average Order Value (AOV).
Increasing AOV is the most direct path to improving contribution margins and boosting Revenue Per Session (RPS) — the average amount of revenue generated each time a user visits your store. When you persuade a customer to add one more item or upgrade to a premium version, you capture more revenue without spending an additional cent on advertising. At Videowise, we focus on turning video assets into high-converting shoppable experiences that naturally guide shoppers toward larger carts. This article outlines the strategic framework and tactical executions you need to increase your order values and scale your brand sustainably.
Quick Answer: Ways to increase average order value include setting free shipping thresholds, implementing product bundling, and using shoppable video to demonstrate high-ticket items. These strategies leverage psychological triggers to encourage larger purchases while maximizing the revenue generated from existing traffic.
Before implementing new tactics, you must have a clean baseline of your current performance. Average Order Value (AOV) is the mean dollar amount spent every time a customer places an order.
The calculation is simple: Total Revenue / Total Number of Orders = AOV.
For example, if your store generated $100,000 in revenue from 1,000 orders last month, your AOV is $100. However, savvy operators also track the Median Order Value, which is the middle value in your list of all order totals. This prevents a few exceptionally large wholesale or "whale" orders from skewing your data and giving you a false sense of security.
For a deeper look at the metric, see this guide to maximizing ecommerce average order value.
AOV doesn't exist in a vacuum. It is a critical component of your Customer Lifetime Value (CLV) — the total revenue a business can expect from a single customer account throughout the relationship. A higher AOV allows you to:
Static images often fail to convey the full value of premium or complex products. Shoppable video transforms passive viewers into active buyers by allowing them to add items to their cart directly from the video player.
By integrating product tags and interactive carousels within a video, you reduce the friction of the "search-to-cart" journey. When a shopper sees a complete outfit or a full skincare routine in action, they are more likely to purchase the entire collection rather than just a single SKU. This is where Videowise differentiates itself, by providing a performance-first infrastructure that ensures these high-quality videos don't slow down your page or negatively impact your Core Web Vitals (the standardized metrics Google uses to measure user experience).
For a real-world example of video supporting commercial performance, explore how Dalstrong used shoppable videos to increase revenue.
The promise of free shipping is perhaps the strongest psychological nudge in ecommerce. Data shows that a significant majority of shoppers will add more items to their cart specifically to avoid a shipping fee.
To find your ideal threshold, look at your current AOV and set the limit approximately 20% to 30% higher. If your AOV is currently $75, set your free shipping threshold at $100. This makes the "gap" feel achievable.
Don't wait for the checkout page to tell the customer they missed the limit. Use a progress bar in the cart drawer that dynamically updates as they add items. Messages like "You're only $15 away from free shipping!" create a sense of progress and encourage an impulse cross-sell.
Bundling is the practice of selling multiple complementary products together at a slightly lower price than if they were purchased individually. This is a staple for brands with high-frequency, low-cost items, like beauty or grocery.
| Bundle Type | Strategic Intent | Best For |
|---|---|---|
| Pure Bundles | Items only available as a set | Exclusive gift sets or limited editions |
| Cross-sell Bundles | Main product + accessories | Electronics, furniture, or apparel |
| Volume Bundles | "Buy 3, Save 15%" | Consumables (supplements, snacks) |
| Build-your-own | Customer chooses 3-5 items | Gift boxes or customized routines |
Key Takeaway: Bundling increases AOV by simplifying the decision-making process. Instead of asking a shopper to evaluate three separate products, you present one cohesive solution with a single price point and a clear value proposition.
Generic "You might also like" sections often lead to decision fatigue. Modern ecommerce operators use AI to surface recommendations based on real-time behavior, purchase history, and "frequently bought together" data.
On the PDP, offer a "Premium" version of the item the customer is currently viewing. Highlight the added benefits — longer battery life, better materials, or extended warranty. This is an Upsell (offering a more expensive version).
In the cart drawer, suggest low-friction add-ons that don't require deep research. If someone is buying a pair of leather boots, a cross-sell for shoe care cream or premium socks is an easy "yes." This is a Cross-sell (offering a complementary product).
High-ticket items require more trust to convert. If a customer is hesitant to spend $500 on a single order, seeing User-Generated Content (UGC) from real customers can bridge that gap.
Integrating social proof — such as video testimonials or Instagram galleries — directly into the shopping journey provides the validation shoppers need to commit to larger purchases. Our platform allows you to import UGC from TikTok and Instagram and tag it with products, creating a "Shop the Look" experience that proves your products work in real-world settings.
See how Sculpted by Aimee used UGC and shoppable video to connect social content with the onsite purchase journey.
"Buy Now, Pay Later" (BNPL) services like Affirm, Klarna, or Afterpay are essential for increasing AOV, particularly for Gen Z and Millennial shoppers. By breaking a $400 purchase into four $100 payments, the psychological barrier to a large order is significantly lowered.
Brands that implement BNPL often see a meaningful lift in AOV because customers feel more comfortable adding "wishlist" items to their cart when the immediate cash outlay is reduced.
Loyalty programs shouldn't just reward frequency; they should reward total spend. A tiered system (Silver, Gold, Platinum) encourages shoppers to reach the next spending bracket to unlock better perks.
The moment after a customer completes a purchase is when their brand affinity is at its highest. Don't waste the thank-you page.
Use post-purchase "one-click" upsells. These allow customers to add a complementary item to their existing order without re-entering their credit card details. Because the transaction is already "authorized," the friction is zero. Many brands find that post-purchase offers have higher conversion rates than any other upsell in the funnel.
For additional ideas, explore ways to elevate the ecommerce customer experience.
Limited-time offers can push a shopper to add more items to their cart to "make the most" of a deal. However, this must be used sparingly to avoid brand erosion.
Volume pricing is a powerful tool for consumable goods. By offering a discount that scales with the number of units purchased, you move inventory faster and increase the top-line revenue per transaction.
Myth: Discounts always hurt profit margins. Fact: While a 10% discount reduces the price per unit, the efficiency gained in shipping and fulfillment for a single 3-unit order versus three separate 1-unit orders often results in a higher net profit.
If your site is slow, your AOV will suffer. Shoppers who experience lag during the add-to-cart process or while browsing a video gallery are more likely to abandon their cart entirely.
For Shopify brands, maintaining a high score in Largest Contentful Paint (LCP) — the time it takes for the largest content element on the page to load — is critical. We built our video delivery engine to be performance-first, ensuring that shoppable video content is served with minimal impact on page load times. This allows you to use high-converting video without the technical debt that usually comes with heavy media.
A "Gift with Purchase" (GWP) is often more effective than a percentage discount. It maintains your brand's price integrity while providing a tangible incentive for the customer to hit a specific cart value.
For example, a luxury skincare brand might offer a travel-sized cleanser for all orders over $120. This encourages a customer who currently has $90 of product in their cart to find one more item to hit that $120 mark.
Merchandising is often overlooked as an AOV driver. Instead of just showing individual products, curate "kits" or "looks" on your collection pages.
If a customer is looking for a desk, show them the desk with the matching chair, lamp, and organizer. Provide a "Add All to Cart" button. This reduces the cognitive load on the shopper. They don't have to hunt for matching items; you've already done the styling work for them.
Live shopping combines entertainment with commerce. During a live stream, hosts can demonstrate how different products work together in real-time, answer questions, and offer exclusive "live-only" bundles.
The interactive nature of live selling makes it easy to naturally cross-sell. A host showing a blender can easily transition into showing the specialized cleaning brushes or the recipe book, leading to larger baskets as viewers get excited by the comprehensive utility of the product line.
Most shoppers are on their phones. If your cross-sell pop-ups or bundle selectors are difficult to use on a small screen, your AOV will stay flat.
Mobile Checklist for AOV:
To truly understand if your AOV strategies are working, you need to track them through Content Performance Analytics. You should be looking at:
Bottom line: AOV is a multi-dimensional metric. Success requires a combination of psychological triggers, seamless technical execution, and constant data monitoring to ensure your growth is profitable, not just visible.
If you're ready to start moving the needle on your order values, follow this structured approach.
Step 1: Analyze your current distribution. Look at your order data from the last 90 days. Identify the most common order value (the mode) and the median. This tells you what your "typical" customer looks like today.
Step 2: Identify high-margin cross-sell candidates. Look for products with high margins and high attach rates — items that are already frequently bought together. These are your best candidates for automated cross-sells and bundles.
Step 3: Deploy Shoppable Video on top PDPs. Select your top 10 best-selling products. Add shoppable video that demonstrates those products in context or shows them as part of a larger set. Videowise’s shoppable video platform helps you do this at scale without needing a developer.
Step 4: Set and test your shipping threshold. Implement a free shipping bar. If your current AOV is $60, try a threshold of $75. Monitor the conversion rate and the AOV over a 30-day period to ensure you aren't hurting overall sales volume.
Step 5: Review and iterate. Use your analytics to see which bundles are moving and which upsells are being ignored. Ecommerce is iterative; what works for a summer collection might not work for the holiday season.
Increasing average order value is not about tricking customers into spending more; it is about providing more value through better merchandising, reduced friction, and more informative content. By utilizing tools like shoppable video and social commerce, you give shoppers the confidence to build larger carts because they clearly understand the benefit of the products they are buying.
Our platform is designed to help you turn every video asset into a revenue-generating machine. Whether you are a high-growth Shopify brand or a global retailer, the goal remains the same: maximize the value of every session while maintaining a performance-first site experience. When you master AOV, you unlock the ability to scale your brand with efficiency and resilience.
To see how Videowise can help you implement these strategies and drive measurable revenue, book a personalized demo or install Videowise from the Shopify App Store today.
A "good" AOV varies significantly by industry. For example, a luxury watch brand might have an AOV of $5,000, while a stationery brand might have an AOV of $45. The best benchmark is your own historical data; aim for consistent month-over-month growth or a higher AOV compared to your direct competitors.
It can if the friction becomes too high. For example, if your free shipping threshold is set too high (e.g., $200 when your products cost $20), shoppers may get frustrated and leave. The key is to find the "sweet spot" where the extra purchase feels like a natural addition rather than a forced expense.
Shoppable video increases AOV by providing a "lookbook" or "lifestyle" context that static images lack. When a viewer sees how multiple products work together in a single video, they are much more likely to use the interactive tags to add the entire "set" to their cart, rather than just one item.
You should prioritize Revenue Per Session (RPS), which combines both metrics. A high AOV doesn't matter if your CVR drops to zero, and a high CVR doesn't matter if you aren't making a profit on the orders. Balancing both ensures your store is growing profitably and sustainably.
