AOV (Average Order Value)

Average Order Value is total revenue divided by number of orders. For percentage-based commissions a higher AOV directly raises affiliate earnings per sale, so affiliates favour programs and products with strong basket sizes.

AOV is total revenue divided by the number of orders over a chosen period, giving the average value of each purchase. For affiliates on percentage commissions it directly sets earnings per sale, since a higher basket at the same conversion rate lifts payout without any extra traffic. The metric describes spending per transaction, not per customer, so a shopper who buys three times counts as three orders.

Because raising AOV increases revenue from existing traffic, merchants use it to justify upsells, bundles, free-shipping thresholds, and volume discounts. Affiliates favour offers with naturally high AOV — furniture, electronics, or annual plans — because each conversion is worth more. It also informs how much you can afford to spend acquiring a customer.

There is no universal good AOV; it is dictated by the product category and price point, so track it against your own history and cohort. A rising AOV alongside a steady conversion rate is a strong revenue signal, whereas a rising AOV paired with falling order counts may just mean price increases are deterring buyers. Read it beside volume, never alone.

AOV is easily distorted by outliers, since one very large B2B order can drag the mean upward and hide the typical basket. The median order value is often a more honest centre when the distribution is skewed. Refunds and partial cancellations should be netted out, or reported AOV will overstate what actually settles.