What is AOV?

AOV — Average Order Value — is total revenue divided by number of orders. Higher AOV gives ad campaigns more room to stay profitable at the same CPA.

4 min read

Live profit view

See POAS vs revenue-only reporting

Profit Bid connects store costs to ad spend so you bid on margin — not vanity ROAS.

Gross profit per order by AOV

$ profit / order

At a steady 40% margin, higher AOV means more profit per paid click — room to bid harder.

Track POAS automatically from your store — upload profit conversions and scale winners with A/C/X labels.

Why AOV matters for ad profit

If your CPA is fixed at $15, a $60 order and a $120 order cost the same to acquire — but the higher AOV order delivers far more gross profit to cover that cost.

That is why AOV is a lever for ad scaling: raising AOV increases the profit you can spend to win each customer, letting you bid more aggressively than competitors.

Tactics to raise AOV

Increase AOV without simply discounting your way there.

  • Free-shipping thresholds set just above current AOV.
  • Curated bundles that raise units-per-order with healthy blended margin.
  • Post-add-to-cart upsells and cross-sells for complementary SKUs.
  • Volume tiers (buy 2 save X) that protect per-unit contribution.

Frequently asked questions

Common questions about this topic — tap to read answers.

Does raising AOV always increase profit?

Only if margin holds. AOV gains driven by deep discounts can raise revenue while shrinking contribution margin. Track POAS alongside AOV.

How does AOV affect ROAS targets?

Higher AOV lets you hit the same profit at a lower ROAS, so you can set more aggressive tROAS and capture more volume.

Pricing

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