How AOV can help find your audience.
Sales and Average Order Value (AOV) information can give insights into where your readers shop and what their budgets are like.
Average Order Value (AOV) is the outcome of total sales divided by total orders. It measures the average spend of your audience with a given retailer, brand, link, or other source.
Understand your audience’s general budget
Using Sales, AOV, conversion, and your intuition, you can target your content to match your audience’s budget and preferences.
Determine which retailers, brands, and categories inspire your customers to spend more
AOV gives insight into what your audience is inspired to buy. For example, if you link to a $300 item, but your AOV is close to $92, your audience isn’t likely to buy the featured $300 item. However, by incorporating varied price points like this into your content, you’re inspiring your audience to shop – and that can help evolve their behavior.
Why should you look for a lower AOV? IMPULSE purchases! Take advantage of smaller orders and create content that is easy to purchase. (Think categories like tops, jackets, shoes, skin care, and home decor.)
Look at your AOV and conversion by retailer. Do you have a retailer with great conversion, but a lower AOV? What’s your most clicked on product? Pair these all together to create the perfect mix: create a post about that highly clicked on product, add similar items at the desired price point, and link out to your high converting retailer.
What should you take into account with higher AOVs? Look at AOV by brands and categories. Is this your users normal spending (overall AOV) or did you inspire a splurge? Get to know the brands your customers are willing to splurge on and which trigger an impulse buy.
Test different price points and measure success
Speaking of impulse buys and splurges, do you think your audience is willing to stretch their budget for the right items? If so, try including products outside of your audience’s normal AOV and see how they perform, then look at AOV to assess whether you’re driving sales at the higher price point.
Test your content with lower price points too. You can drive up your AOV through easy to buy items. Think “5 everyday essential pieces for under $25.” Wouldn’t you buy them all to try?
Pro Tip:
Link to new brands with higher commission rates, similar to the ones your audience already loves. Testing these brands within your own content could widen your content range, while making more money.
High commission retailers to know right now:
Kate Spade up to 15%
Wayfair up to 13%
TJ Maxx up to 20%
DSW up to 20%
Azalea up to 21%
Baublebar up to 26%
Intermix up to 16%
Image via @IamHonestlyKate
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