Increasing the Average Order Value of your Web Shop sales

[mandy]

Don't know the average order value for your Web shop sales? You're not alone. But once you find out, you'll be able to use that information to boost the bottom line and grow your business.

Two Quick Ways to Increase Profit
Many small e-tailers confine their marketing efforts to attracting more prospects to their site, and that's it, but there's so much more to be done. Unless you are just starting out, you should focus your efforts on:

   1. Increasing the dollar amount of the average order.
   2. Increasing the frequency of purchase.

These are the quickest, and usually most cost-effective, ways to build a business. Increasing the frequency of purchase will be tackled in a future article, so for now, we'll show you how to beef up the amount shoppers spend on an average order at your site...

full article: http://www.ecommerce-guide.com/solutions...hp/3640846

[landofsmiles]

1. Increasing the dollar amount of the average order.
2. Increasing the frequency of purchase.

Thank you, Mandy. That was a fascinating article. These are, for the most part, the kinds of lessons retailers were taught many years ago, even before the internet. It's not all about pay-per-click, that's for sure. Getting people in the door is only the first step. Once they get in your selling space, that's when the real fun begins. As a footnote, auction sellers will always be limited in this arena because they are sharing their selling space (and secrets) with too many other shopping mall lessees, many of whom are selling the same stuff.

[BellisimaJ.]

Really excellent article, Mandy----thank you!

Site Re-Design & Increased Product Selection
A very small e-commerce business had an AOV of $74.12 after two years of operation. To push her sales to the next level, the owner was advised to increase the AOV. The recommended strategy for accomplishing this was to re-design the site and increase product selection in the most popular category. The primary purpose of the site-redesign was to incorporate trust-building elements, while a quick survey of past customers verified that lack of selection was also a key issue.

The business owner, however, was extremely skeptical. It took six months of coaxing to convince her to go ahead with the re-design, which was very basic, as opposed to a total overhaul. Finally, she conceded. The make-over, by the way, was done by an art director who had a marketing background, not a Web developer. She also added more products in the most popular category.

The result? T he AOV doubled to $148.44. Overnight. And, it has continued in that range, sometimes a little more, sometimes a little less, for seven months now.

And there's more good news: Not only was there a significant increase in the AOV, but she realized a seven-fold increase in the number of orders, too. The one-two combo of trust and selection raised the average number of items purchased from one to two, thus increasing the AOV. In addition, it produced an increase in the buy-rate because a far greater percentage of visitors are now being converted to buyers.

This section was of special interest to me as I have heard so many people say that site design/appearance is not that important. You've probably heard it too (frequently on the ebay boards). :

This is one thing that everyone can accomplish if they are so inclined.

[cranky_hippie]

This section was of special interest to me as I have heard so many people say that site design/appearance is not that important.

I've been known to say that.  It isn't because I think design is unimportant but because too many people, especially on Ebay, get caught up in fancy appearances and forget about good navigation and the need for fast-loading pages. A "clean" appearance goes a lot farther than a fancy one, IMO. Shooting for a nice design with clean appearance is the way to go.

[landofsmiles]

This section was of special interest to me as I have heard so many people say that site design/appearance is not that important. You've probably heard it too (frequently on the ebay boards).

Other components of the re-design also included emphasizing the most popular products and expanding the line in that category. These nuances are why I am paying someone this time to design my website. Not going to let my ego or my frugality screw it up. Fortunately, I know enough so that I can go in and make minor changes and write ad copy without paying somebody every time I pick up the phone.

[cranky_hippie]

Other components of the re-design also included emphasizing the most popular products and expanding the line in that category.

Fortunately, I can do that quite easily with one of my sites.  The product is pretty easy to come by and I think the Articles feature on oscMAX will help, too.

[BellisimaJ.]

Articles feature

I like that feature also!

[cranky_hippie]

[quote author=BellisimaJ. link=topic=5684.msg30142#msg30142 date=1162311106]

Articles feature

I like that feature also!
[/quote]

I found a nifty download to help with  cross selling and writing articles as well SEO.

http://www.goodkeywords.com/

[BellisimaJ.]

[quote author=cranky_hippie link=topic=5684.msg30145#msg30145 date=1162311966]
[quote author=BellisimaJ. link=topic=5684.msg30142#msg30142 date=1162311106]

Articles feature

I like that feature also!
[/quote]

I found a nifty download to help with  cross selling and writing articles as well SEO.

http://www.goodkeywords.com/
[/quote]

TY, Cranky! 

I just downloaded it! (Now I am going back to bed.   )

[thentavius]

I've got it as well. Thanks!