AOV is either the most overrated or underrated metric in ecommerce, depending on who you ask.

So I'm here to answer the question once and for all: does AOV even really matter?

It depends. Let me explain.

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The Andrew Faris Podcast is now available on ⁠⁠⁠⁠⁠⁠⁠YouTube⁠⁠⁠⁠⁠⁠⁠ at www.youtube.com/@andrewfarispodcast.

EPISODE HIGHLIGHTS

• [00:02:11] AOV is not necessarily as good as you think.
• [00:03:58] Increasing AOV and conversion rate.
• [00:08:00] Low AOV + large market.
• [00:11:39] Slow purchase accumulation.
• [00:14:41] Nonlinear trade-off between AOV and conversion rate.
• [00:16:09] AOV and shipping efficiency.
• [00:20:00] AOV and gross margin.
• [00:22:13] AOV and profit considerations.

EPISODE SPONSOR

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REFERENCED IN THIS EPISODE:

• "Bryan Porter Didn't Get To $100M On Amazon With Just Tips & Tricks" (Spotify, Apple)

FOLLOW UP WITH ANDREW

• Follow Andrew on Twitter: ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠@andrewjfaris⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠
• Email Andrew: podcast@ajfgrowth.com
• Work with Andrew: ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠www.ajfgrowth.com⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠

EPISODE MUSIC

• Music Intro: "⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠Tell Me Mama⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠" by The Devious Means
• Music Outro: "⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠Rusty Little Scissors⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠" by The Devious Means