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Cohort AOV per Month

What is Cohort AOV per Month?

Cohort AOV per month metric looks at average order value (AOV) by the cohort view, so you can easily understand if your returning customers are increasing the AOV on their subsequent purchases. You can also see if your new customers are increasing the AOV compared to previous months/cohorts. Each customer is placed in the cohort for the month in which they made their first purchase on your site. The cohort view of AOV per month is more in-depth than looking at the linear cohort chart because you can really track engagement with the cohorts over time.

How do we calculate?

We are looking at all the revenue from that cohort for that month and dividing it by the number of orders for that month, which will give us the average order value (AOV). This tells us how much customers are spending per order, which you always want to increase. Over time, as you adjust your pricing, marketing strategy, product bundles and more, you can see if your customers are spending more per order. By making careful tweaks to your strategy, you will see your AOV increase.

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