Home » Here’s a quick example that shows why MOV is a better metric for determining your

Here’s a quick example that shows why MOV is a better metric for determining your

5/5 - (2 votes)

 ideal free shipping threshold:

Imagine you have a set of orders worth these amounts (€2, €4, €6, €6, €6, €7, €9, €14).

While your AOV is €6.85, your MOV is €6.

Now imagine that the value of the last order is €140 (€2, €4, €6, €6, €6, €7, €9, €140).

This brings your AOV to €25, while your MOV is still equal to 6.

This is why MOV is a more accurate metric for determining your free shipping threshold. It ignores outliers and gives you a happy medium.

Set your free shipping threshold just saudi arabia telegram data above your median or average order value. This will encourage the average customer to add a few extra items to their cart to qualify.

We suggest testing different free shipping thresholds based on your median and average order values ​​to determine which ones work best. Your ideal free shipping threshold to increase your MOV or AOV may change as your offer evolves.

Consider visually integrating the amount at which you will offer free shipping throughout your customer’s purchasing journey: you will encourage them to add a few additional products to their cart to benefit from it.

This is exactly what Montreal retailer C’est Beau does , from the product selection page to the final payment page.Here’s a quick example that shows why MOV is a better metric for determining your

 

Consider bracketers in your return policy

Providing more information about products and sizes can help reduce returns, but online retailers should also be wary of “bracketing,” the practice of purchasing the same item in multiple sizes, colors, or patterns with the intention of returning some of it. According to reports from Retail Dive , nearly 40% of shoppers occasionally the authority to work with those who have engage in bracketing, recreating a real-life fitting room in their own homes.

 

Bracketing: The practice of purchasing the same item in several sizes, colors, or patterns with the intention of trying them on at home and then returning some of them. Here’s a quick example that shows why MOV is a better metric for determining your

 

According to  Narvar , bracketing most often occurs in the sale of clothing or home goods. While this isn’t great news for online retailers (especially if you offer shipping), the silver lining is that your wealthiest customers are most likely to engage in it.  Narvar  also found that 60% of online shoppers make at least one return or exchange per year, and 95% of customers will buy from the same online store again if the process went smoothly.

With this in mind, it’s important to view bracketing as an opportunity to retain your customers and increase their lifetime value, as they’ll be customers for longer. If you feel the benefits you’ll generate will outweigh the projected costs of free shipping and returns, don’t hesitate to offer them. Here’s a quick example that shows why MOV is a better metric for determining your

Long live loyalty programs

Loyalty programs can help you incentivize these good customers to keep their products, especially if you base rewards on the amount fax database spent rather than the number of visits or transactions. Offer more benefits to repeat customers and include the option to redeem the rewards you give them in your return policy. This can convince a customer who is hesitant about returning a product: they would keep it to qualify for the loyalty reward.

Scroll to Top