AOV

AOV is the average amount spent each time a customer places an order.

AOV is a lever, not just a reporting metric — bundling, free-shipping thresholds, upsells at checkout, and minimum order values for discounts all exist specifically to push AOV up. A ₹100 increase in AOV can do more for unit economics than a ₹5 decrease in CAC, because it improves the numerator on every future purchase, not just the acquisition math.

AOV interacts directly with break-even ROAS: a higher AOV on the same margin percentage means more absolute profit per order, which changes what ROAS a campaign needs to hit to be worthwhile.