April 1, 2020
If you have a physical shop, what would you do to improve your Ecommerce Average Order Value?

If you have a physical shop, what would you do to improve your Ecommerce Average Order Value?

You know, I think it’s really cool to think about Average Order Value. And actually it’s the same with any of our eCommerce KPIs that we talk about in the book. If you think about Average Order Value, is if your eCommerce shop was a physical bricks and mortar store on
the High Street and your job was, you set yourself a mission for the first, you know, next
two months to increase the Average Order Value in your store. And it will be quite obvious
when you think about that. So, let’s say you’re selling, you know,
blue jumpers and you want people to spend more money, so they’re coming
in to find a blue jumper. So, you’d be laying out that store to try to get them to get them to buy more stuff. So, you might be going, well, you might
be putting the blue jumpers next to the shirts that go with it. You know, putting them on as a display to the related products that go with it. You might be saying there’s an offer on, if
you buy one, you get a second one for half price, and then as you get to
the till on your store, you may well be pushing something
as a small impulse buy. So if you think about, and you can do this
for any e-commerce store, just think about what your shop would look like
if you had a physical shop. And it’s different. And the other consideration
is, if it’s a problem solving rational purchase and by that
versus an emotional one. And if you’re selling a problem solving
rational purchase, you know, you then have to get a little bit
clever with what goes with it, because if it’s not doing it, solve the problem. So, let’s say it’s, you know, a car, sorry to use this example again, but I can’t find a better one. A car battery. You know, you only want a car battery when you need a car battery. So, if you coming into your shop to buy a
car battery, then you’re not going to go and buy a, you know, an air
filter if you don’t need one. But what you might buy is a special tool
that fits that car battery with the car. And also, you can’t upsell another car battery cause it’s like you only need one. Yeah, exactly. So you have to be logical. Basically, you know, if this person
was in the shop right in front of you, what would you be trying to sell them? You might be saying “Hey, go for
this bigger, better car battery. It’s got a four year guarantee
rather than a three year guarantee.” Yeah. You say, you know, so what do you think about that? But it’s psych. That is the key. The key thing is what you would do if you had a physical shop and they were selling this product.

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