Quick answer
How do you calculate Average Order Value?
Use Average order value = Order revenue ÷ Orders. Enter the matching values above to calculate the result instantly.
What it measures
Understanding Average Order Value
Calculate average revenue generated by each ecommerce order. AOV can rise through bundles, thresholds, cross-sells, and price changes, but revenue quality depends on margin and returns.
Interpretation
What the result means
The result is the mean revenue per completed order in the selected dataset.
Action
How to use it
Segment AOV by channel, customer type, device, promotion, and product category before choosing an optimization tactic.
Limits
What it leaves out
Averages hide the order-value distribution and can be skewed by a small number of unusually large orders.
The math
Average Order Value formula
Worked example
Example calculation
- Calculation
- $125,000 ÷ 2,000
- Result
- $62.50 AOV
Step by step
How to use this calculator
- 1Enter order revenue, orders.
- 2Keep every input on the same time period and measurement basis.
- 3Review the result, then change one assumption at a time to test scenarios.
Decision support
When this calculator is useful
- Free-shipping thresholds
- Merchandising strategy
- Revenue forecasting
Common questions
Frequently asked questions
Which inputs should I use for Average Order Value?
Use order revenue, orders, measured from the same source and period. Include only values that match the definitions shown beside each field.
Why might two Average Order Value calculations differ?
The systems or accounting policies may define order revenue, orders differently. Compare the time period, scope, source, and treatment of exceptional items before comparing results.
How often should I recalculate Average Order Value?
Recalculate when any input changes materially and on the same reporting cadence used for the decision. Save the source and date of each input so the trend remains comparable.
Can I use Average Order Value by itself?
No single metric captures the full decision. Use the result with the related measures, assumptions, and limitations shown on this page.
Calculation reviewed: 2026-06-18. CalcPilot uses the formula shown above and tests representative values during the production build. See our methodology and correction policy.
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