Average Order Value Calculator
Calculate average revenue generated per order
Average order value
How we calculated it
About the Average Order Value Calculator
Average order value measures the average revenue generated per order. It is useful for ecommerce and retail because it shows whether customers are buying larger or smaller baskets over time.
AOV should not be confused with profit per order. Discounts, shipping subsidies and product margin can change profitability even when order value rises.
How to Use the Average Order Value Calculator
- Enter total order revenue for the period.
- Enter the number of completed orders in the same period.
- Calculate average order value.
- Compare AOV with gross margin, order frequency and customer acquisition cost when making growth decisions.
How the Calculation Works
Average order value = total order revenue ÷ number of orders.
The calculation gives every order equal weight and does not depend on the number of individual items inside each order.
Worked example
Average Order Value Calculator Worked Example
$120,000 revenue from 2,400 orders
AOV = $120,000÷2,400 = $50 per order.
Result guide
Understanding Your Average Order Value Calculator Result
A higher AOV can improve unit economics if margin remains healthy, but it can also be driven by price increases rather than larger baskets.
Before you rely on the answer
Assumptions and Limitations
- Revenue and order count use the same period.
- Cancelled or refunded orders are treated consistently.
- Taxes and shipping are included or excluded consistently in the revenue definition.
Practical tip
Using This Result in Practice
When testing bundles or upsells, track both AOV and conversion rate. A larger basket is not helpful if the offer causes enough customers to abandon the purchase. Segmenting AOV by new versus returning customers can reveal whether growth comes from acquisition mix or merchandising. One blended average may hide very different shopping behaviour between the two groups.
Related calculations
Useful Calculations to Continue With
If you want to understand how many visitors become buyers, use the Conversion Rate Calculator.
If you want to combine order value with purchase frequency and retention, use the Customer Lifetime Value Calculator.
Common questions
Average Order Value Calculator FAQ
What is average order value?
It is total order revenue divided by the number of orders.
Does AOV include shipping and tax?
Only if your revenue definition includes them; use the same definition consistently.
Can AOV rise while profit falls?
Yes. Discounts, higher cost of goods or shipping subsidies can reduce profit even when revenue per order rises.