What is Average Order Value (AOV)?
Average Order Value (AOV) measures the revenue earned per order within a period. It’s a key commercial metric that links pricing, discount strategy, and product mix to revenue efficiency, helping teams improve unit economics and margin quality.
Formula
Example
Your business records 6000 in revenue from 120 orders while targeting a 60 AOV.
Using the formula, AOV = 6000 ÷ 120 = 50 per order.
Compared with the 60 target, the result is 0.83× and –16.7% below goal, indicating strong potential to refine offers and steer customers toward higher-value options.