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How To Increase Average Order Value (AOV) with FERMAT Funnels

Learn what average order value is, why it matters for funnel performance, and how to increase AOV using FERMAT's optimization features.

Updated over 3 weeks ago

Average Order Value (AOV) is one of the most critical metrics for measuring funnel success. While conversion rate gets most of the attention, AOV directly impacts your revenue per session and overall funnel profitability. This guide shows you proven strategies to boost AOV using FERMAT's powerful funnel building tools.

What's in this guide

What is Average Order Value and Why It Matters for Funnels

Average Order Value (AOV) is the average monetary amount customers spend each time they complete a purchase through your funnel.

Formula for Average Order Value:

AOV = Total Revenue ÷ Number of Orders

Why AOV Matters for Funnel Performance:

  • Revenue Optimization: Higher AOV means more revenue from the same traffic without increasing ad spend

  • Improved ROAS: Better return on ad spend when customers purchase more per transaction

  • Funnel Efficiency: Maximizes the value of each visitor who converts through your funnel

  • Scalability: Higher AOV provides more room for increased customer acquisition costs

How FERMAT Funnels Impact AOV

FERMAT funnels are uniquely positioned to increase AOV because they give you complete control over the post-click experience. Unlike traditional landing pages that send traffic to your main site, FERMAT keeps customers in an optimized conversion environment.

Key AOV Advantages with FERMAT:

  • Customizable Product Merchandising: Control exactly how products are presented and bundled

  • Strategic Upselling: Use AI-driven product recommendations and custom offers

  • Conversion-Optimized Experience: Keep customers engaged without external distractions

  • Advanced Offer Management: Create complex promotional strategies without code

9 Proven Strategies to Increase AOV in Your FERMAT Funnels

1. Product Bundling and Cross-selling

What it does: Groups related or complementary products together at a discounted price to increase perceived value.

How to implement in FERMAT:

  • Use the Bundle Builder to create product combinations

  • Group products mentioned by influencers or in ads

  • Create themed bundles (e.g., "Complete Skincare Routine")

  • Set strategic bundle pricing with automatic discounts

Bundle types that work best:

  • Complementary products (camera + lens + tripod)

  • Tiered value bundles (good/better/best options)

  • Quantity bundles (buy more, save more)

  • Curated collections (seasonal or themed products)

2. Strategic Upselling with Product Recommendations

What it does: Suggests higher-value versions or add-ons when customers are ready to purchase.

How to implement in FERMAT:

  • Configure Upsell Settings with AI-driven recommendations

  • Use Magic Modules to automatically suggest frequently bought together items

  • Customize upsell messaging to match your brand voice

  • Map upsells by variant, size, or other product options

3. Buy More Save More Offers

What it does: Creates tiered discounts that incentivize larger purchases.

How to implement in FERMAT:

  • Create Buy More Save More offers in the Offers section

  • Set quantity or dollar-based tiers

  • Use compelling discount tags to explain savings

  • Display progress indicators showing next tier benefits

Example structure:

  • Spend $50: Save 10%

  • Spend $100: Save 20%

  • Spend $150: Save 25%

4. Gift with Purchase Promotions

What it does: Adds perceived value by including free items at certain spend thresholds.

How to implement in FERMAT:

  • Set up Gift with Purchase offers with specific spend requirements

  • Choose attractive gift items that complement main products

  • Clearly communicate the offer value throughout the funnel

  • Use gift promotions to clear inventory while boosting AOV

5. Free Shipping Thresholds

What it does: Encourages customers to add more items to qualify for free shipping.

How to implement in FERMAT:

  • Configure Free Shipping settings in Shop Defaults

  • Set thresholds slightly above your current AOV

  • Display progress bars showing how much more to spend

  • Apply to both one-time and subscription purchases

6. Subscription Upselling

What it does: Offers recurring purchase options that increase lifetime value and immediate AOV through subscription discounts.

How to implement in FERMAT:

  • Enable Subscription Options in your funnels

  • Highlight subscription savings and convenience

  • Use custom subscription messaging

  • Offer subscription-only bundles or exclusive products

7. Product Grid Optimization

What it does: Strategic product placement to guide customers toward higher-value items.

How to implement in FERMAT:

  • Use Categorized Product Grids to organize large catalogs

  • Place higher-value items prominently

  • Create collections that encourage multiple purchases

  • Use Magic Product Grid to automatically recommend complementary items

8. Virtual Products for Personalized Experiences

What it does: Creates customized product presentations for different audiences or ad campaigns.

How to implement in FERMAT:

  • Create Virtual Products (product clones) for different personas

  • Customize descriptions, images, and positioning for each audience

  • Match funnel content to specific ad campaigns

  • Test different presentations of the same product

9. Advanced Offer Stacking

What it does: Combines multiple promotions strategically to maximize order value.

How to implement in FERMAT:

  • Understand Offer Stacking rules to combine promotions effectively

  • Layer gift with purchase and percentage discounts

  • Use different offer types that complement each other

  • Test combinations to find optimal promotion mixes

Advanced FERMAT Features for AOV Optimization

Analytics and Performance Tracking

Monitor your AOV improvements using FERMAT's analytics:

  • Track Average Order Value in funnel analytics

  • Compare AOV across different funnel variants

  • Use Experiments Dashboard to test AOV strategies

  • Monitor Revenue per Session improvements

A/B Testing for AOV

Test different AOV strategies systematically:

  • Create Funnel Experiments comparing bundle vs. individual products

  • Test different upsell placements and messaging

  • Compare offer types and discount structures

  • Use Statistical Significance calculator to validate results

Funnel Optimization Best Practices

  • Start with high-converting funnels: Focus AOV efforts on funnels that already convert well

  • Test incrementally: Change one element at a time to understand impact

  • Consider mobile experience: Over 90% of FERMAT sessions are mobile

  • Match ad content: Ensure funnel offers align with ad promises

Measuring Success

Track these key metrics to evaluate your AOV improvements:

  • Average Order Value: Primary metric for success

  • Revenue per Session: Shows overall funnel value improvement

  • Conversion Rate: Ensure AOV efforts don't hurt conversions

  • Bundle Attachment Rate: Percentage of orders including bundles

  • Upsell Success Rate: How often upsells are accepted

Getting Started with AOV Optimization

  1. Audit Current Performance: Review your current AOV in FERMAT Analytics

  2. Identify Top Opportunities: Start with high-traffic, well-converting funnels

  3. Choose Initial Strategy: Begin with bundling or free shipping thresholds

  4. Implement and Test: Use FERMAT's experiment tools to validate changes

  5. Scale Successful Tactics: Apply winning strategies across more funnels

Conclusion

Increasing Average Order Value is one of the most effective ways to improve funnel profitability without increasing traffic costs. FERMAT's advanced funnel building capabilities give you unprecedented control over the customer experience, making it easier than ever to implement sophisticated AOV strategies.

The key to success is systematic testing and optimization. Start with one or two strategies that align with your product catalog and customer behavior, then expand based on results. With FERMAT's powerful tools for bundling, upselling, and offer management, you can create compelling experiences that naturally encourage higher-value purchases.

Remember: the best AOV strategy is one that provides genuine value to your customers while supporting your business goals. Focus on creating win-win scenarios where customers get more value and you achieve higher order values.

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