AOV Explained

Average Order Value is the hinge of your entire business if you want to be profitable and achieve the negative customer acquisition cost that we mentioned you need to master this.

Remember the Math

By Noah Clark, founder, CMC Social Media

Published July 1, 2022 Last updated July 5, 2022

1. What is Average Order Value

“Average order value (AOV) tracks the average dollar amount spent each time a customer places an order on a website or mobile app . To calculate your company's average order value, simply divide total revenue by the number of orders.” -google

Jokes aside its very straight forward, it comes down how much one customer is worth to you and its one of the most important metrics your going to need to follow.

2. WHY IT MATTERS

When it comes to paid acquisition there is law that we all follow

The one that can afford to spend the most always wins.