Podcast 26: Using Premium Service Upsells to Increase Your AOV

Average Order Value as a key multiplier to increase your company's revenue, and how to implement premium service upsells to increase your AOV. Subscribe: iTunes | Stitcher EXCLUSIVE RESOURCE: Want the AOV mindmap Drew mentions in the episode? Click here download it! Also includes the full transcribe from this episode. A 25% increase to your AOV is a 25% increase to your business's revenue. It's as simple as that. So how do you do that? Considering you probably don't have the next 12 hours to listen to Drew cover all the potential ways to build up your AOV, let's hone in on just one method – the premium service upsell. Listen in to hear more on AOV as a key multiplier in your business, and how to use a service-based upsell to influence AOV and identify your whales. Highlights 0:52 – Drew's recap of the Digital Marketer Content & Commerce Conference 2:30 – AOV - Average Order Value. What it is, why it's a key multiplier to increase the revenue of your company 3:25 – No spending on acquisition, just optimize what you've already got 3:40 – Case study: How Drew's friend on Shopify would implement a quick upsell to increase her AOV 6:12 – Example of a premium, service-based upsell 7:40 – Upsells can come from partnerships with third parties 9:41 – Some tricky math involved in measuring AOV 10:50 – Upsells as a great way to identify your whales Links / Resources More ways to increase AOV? Download Drew's AOV Mind Map for more ideas. The Content & Commerce Summit Another good way to increase AOV is through Bounce-Back email campaigns. Transcript Prefer to read rather than listen to the podcast episode? No problem, you'll find a text transcribe below, and you can also download it for later. → Read the Transcript   Hey everybody, welcome to the Nerd Marketing podcast. This is Drew Sanocki. We're back in school here in New York City, which means I've got the sinus infection back that will be here until the Spring. My son goes off to preschool and he comes back with a different strain of flu everyday. He, of course, gets over it within a day, takes me weeks, and when I recover, he hits me with another one. This is the next nine months of podcasting for you. I hope you enjoy the sound of my nasal cavity. What else is going on? I just got back from the Digital Marketer Content and Commerce Conference in Florida. It was a great conference. If you went there and I met you, hi again I guess. The odds would be low, because I kind of spoke in like a broom closet. I was going up against James Altucher, who had like a million people in his conference room. I had five or six listening to me talk about retention and exciting things like that, but, you know, it's their loss. I put out some good material. I got asked a question that caused me to rethink some of these podcasts. Really, it was about getting away ... This guy asked "Hey, how can I implement this stuff? I get it, I get the database marketing stuff, but how can I implement it in my own retailer? It's just me and like two other people. We don't have time to do everything and if you could focus on making your tips a little more practical ..." Not his exact words, but ... "I would appreciate it." I started thinking, let's do a couple podcasts here about bringing these things really down to earth, some of the concepts recency, latency, tripwire marketing, and make them easy to digest and implement for the standard e-commerce, smaller company. Want to download this transcribe for later? Click here for an easy PDF download. Today, I want to talk about AOV, average order value, the average size of a typical order through your e-commerce site. AOV is what I call the three multipliers. Three ways to increase the revenue of your company. The other two, of course, being frequency of purchase, which is a retention metric or the average number of times somebody orders from you.