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Does AOV Actually Matter?

Does AOV Actually Matter?

FromThe Andrew Faris Podcast


Does AOV Actually Matter?

FromThe Andrew Faris Podcast

ratings:
Length:
24 minutes
Released:
Oct 3, 2023
Format:
Podcast episode

Description

AOV is either the most overrated or underrated metric in ecommerce, depending on who you ask.
So I'm here to answer the question once and for all: does AOV even really matter?
It depends. Let me explain.
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EPISODE HIGHLIGHTS

[00:02:11] AOV is not necessarily as good as you think.
[00:03:58] Increasing AOV and conversion rate.
[00:08:00] Low AOV + large market.
[00:11:39] Slow purchase accumulation.
[00:14:41] Nonlinear trade-off between AOV and conversion rate.
[00:16:09] AOV and shipping efficiency.
[00:20:00] AOV and gross margin.
[00:22:13] AOV and profit considerations.

EPISODE SPONSOR
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REFERENCED IN THIS EPISODE:

"Bryan Porter Didn't Get To $100M On Amazon With Just Tips & Tricks" (Spotify, Apple)

FOLLOW UP WITH ANDREW

Follow Andrew on Twitter: ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠@andrewjfaris⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠
Email Andrew: podcast@ajfgrowth.com
Work with Andrew: ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠www.ajfgrowth.com⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠

EPISODE MUSIC

Music Intro: "⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠Tell Me Mama⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠" by The Devious Means
Music Outro: "⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠Rusty Little Scissors⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠" by The Devious Means
Released:
Oct 3, 2023
Format:
Podcast episode

Titles in the series (96)

Andrew Faris has been growing ecommerce brands since 2014 as everything from a media buyer to the head of strategy at Common Thread Collective to the CEO of 4x400, a DTC aggregator. Join him every week to learn the nuts & bolts of how to grow ecommerce brands, always shared with refreshing candor.