How to Increase Average Order Value on Amazon (Updated 2026)

Growing an Amazon business requires increasing your Average Order Value (AOV). This is achieved by encouraging each customer to spend more per transaction. The process involves strategic product bundling, intelligent free shipping thresholds, and upselling shoppers to premium or related items directly on the product detail page. Increasing AOV is a direct measure of your brand’s financial health and a critical factor for sustainable profitability.

A higher AOV improves your unit economics, which leads to a better return on ad spend (ROAS) and provides a buffer against rising FBA fees and operational costs. For established brand owners, focusing on AOV signifies a shift from chasing sales volume to building profitable growth. Understanding the mechanics is essential for long-term success, and resources like What Is Average Order Value and How to Grow It can provide a solid foundation.

Why AOV Matters

AOV is not just a metric to track; it’s a lever that impacts everything from inventory planning to PPC budgets. By working to increase it, you make every transaction work harder for your bottom line.

Here’s why this is critical for 2026 and beyond:

• Improve Ad Efficiency: A higher AOV makes PPC campaigns more resilient. You can afford to bid more aggressively for top ad placements because each conversion generates more revenue, protecting your ROAS.
• Absorb Rising Costs: Amazon’s fees are constantly changing. A larger transaction value helps absorb these increases without shrinking your profit margins.
• Fuel Cash Flow: More revenue from the same number of customers improves cash flow. This frees up capital that you can reinvest into new inventory, product development, or marketing.

Understanding the connection between AOV and long-term stability changes your approach to scaling. A deliberate AOV strategy is what separates brands that scrape by from those that dominate their niche on Amazon.

Drive Higher Sales with Strategic Bundling

Product bundling is one of the most direct methods to raise your AOV. This is a data-driven strategy, not about randomly grouping items. Smart bundling simplifies shopping and provides genuine value by creating an offer that solves a larger problem for the customer.

Start by analyzing your Brand Analytics dashboard. The “Market Basket Analysis” report reveals which of your products customers are already buying together, removing guesswork from the process.

1. Build Your Strategy

After identifying promising product pairs, you have a couple of ways to present them to customers on Amazon.

You’re choosing between two main paths:

• Physical Bundles: This is the traditional method. You package multiple items together under a new UPC and create a new ASIN for the bundle. This requires a new product detail page and separate FBA inventory. It’s a significant commitment, best for combinations you know will sell well.
• Virtual Bundles: This is a more flexible and easier option for brand-registered sellers. Virtual bundles allow you to create a bundle listing using your existing, separate FBA inventory for each item. No pre-packaging or separate inventory management is needed. If you’re new to this, a full guide to setting up Amazon virtual bundles is a good starting point.

2. Types of Bundles

Beyond the “how,” consider the “what.” The type of bundle should align with your catalog and objectives.

Here are a few models that work well:

• Pure Bundles: Offer items that are only available as part of a package. This creates exclusivity and can be a strong marketing hook.
• Mixed Bundles: The most common approach. Group existing, individually-sold products, often with a small discount. For instance, a skincare brand might create a “Morning Routine Kit” with their cleanser, serum, and moisturizer.
• Cross-Category Bundles: If you have products in different but related categories, this is a great opportunity. For example, if you sell kitchen gadgets, you could bundle a popular garlic press with a high-margin olive oil you also carry.

To help you decide which path makes the most sense for your brand, here’s a quick breakdown of the most common bundling strategies.

3. Effective Bundling Strategies Compared

Choosing the right bundling strategy depends on your operational capabilities and business goals. Virtual bundles are a fantastic, low-risk starting point for most, while physical bundles offer more control for established bestsellers. The goal is always to make the customer feel they’re getting more value. A great bundle feels like a curated solution, not a random collection. Use your sales data as your guide to increase your AOV.

Master Cross-Selling and Upselling

Smart cross-selling and upselling are foundational to any AOV growth strategy. This requires a deep understanding of your product catalog and customer buying habits to guide them toward a larger purchase. The goal is to present a relevant, valuable addition at the moment of purchase. Done correctly, this not only raises your AOV but also improves the shopping experience.

1. Your Brand Store and A+ Content

Your Amazon Brand Store is prime real estate for cross-selling. Use it to build curated collections and “shop the look” pages that encourage shoppers to add multiple complementary items to their cart. This is the core of good ecommerce merchandising, showing customers how your products work together as a complete solution.

On your product detail pages, Premium A+ Content is where upselling happens. Don’t use it to just repeat your bullet points.

Create visually-driven comparison charts that:

1. Justify the price of the product the customer is currently viewing.
2. Clearly show why a higher-priced premium model is an even better value.

For example, if you sell a standard webcam, use an A+ module to create a side-by-side chart highlighting the superior resolution, wider field of view, and low-light performance of your 4K model. You’re making the upgrade feel like an easy decision.

2. Tactical Ad Placements

While Amazon’s algorithm largely controls the “Frequently Bought Together” section, you can still influence it. Run highly targeted Sponsored Display product targeting ads to place your complementary items on your other detail pages. A customer viewing your best-selling coffee maker should see an ad for your branded coffee filters or descaling solution right below it. This creates a simple path to a larger cart.

It’s a common mistake to let competitors buy ad space on your own listings. Proactively targeting your own ASINs with complementary products is both an offensive and defensive play. It protects your brand ecosystem and directly increases your AOV.

3. Post-Purchase Nudges

Amazon limits post-sale communication, but you can still engage customers within the rules. Your follow-up emails, often used to request reviews or offer tips, are a perfect spot for a subtle cross-sell. Casually mentioning a related product that enhances their recent purchase can plant a seed for their next order. It’s a low-pressure way to build on the initial transaction and contribute to a higher customer lifetime value.

Use Smart Pricing and Shipping Thresholds

Pricing psychology and shipping incentives are powerful tools for increasing AOV. A well-calculated free shipping threshold is often the most effective tactic. It gives customers a tangible reason to add one more item to their cart.

To make this work, you must know your numbers. If your current AOV is around $42, setting a free shipping threshold at $49 is a logical move. This small gap encourages a shopper to add a low-cost, complementary product they might have otherwise skipped.

1. Calculate the Right Threshold

The key is finding the sweet spot. A threshold that’s too high can deter customers and risk the sale. One that’s too low eats into your margins without a significant AOV lift. The goal is to position the threshold just above your current AOV, making it feel achievable for the average buyer. You must calculate this carefully to protect your profitability while making the offer compelling. It’s a central part of any effective Amazon pricing strategies designed for growth.

Another approach is using tiered promotions, which you can set up in Amazon’s promotion tools. Consider offers like:

• Save 10% on orders over $50
• Save 15% on orders over $75
• Save 20% on orders over $100

These promotions create a clear path to greater savings, motivating customers to build a larger cart.

2. The Power of Prime

A fundamental part of any AOV strategy on Amazon is ensuring your key products are Prime-eligible. Prime members are Amazon’s most valuable customers, and meeting their expectation of fast, free shipping is essential.

Prime members consistently spend 15-20% more per order than non-Prime shoppers. During Prime Day 2024, for instance, average order values rose to $57.97, showing how targeted events that leverage the Prime ecosystem can increase transaction value. You can find more insights on Amazon order values at redstagfulfillment.com.

By making your products available through Prime, you tap into a massive audience conditioned to spend more for convenience. If you don’t offer Prime eligibility, you’re leaving money on the table and ignoring a primary driver for how to increase average order value.

Fine-Tune Your PPC for Higher AOV

Your PPC campaigns can shape customer buying behavior and directly increase your AOV. Moving beyond basic keyword targeting to strategically structure your campaigns will encourage larger purchases.

This starts with where you allocate your ad spend. Funnel your budget toward your most valuable products. Prioritize your product bundles and higher-margin premium items in your Sponsored Products campaigns. By bidding more aggressively on these ASINs, you ensure they get maximum visibility in search results, capturing the attention of shoppers willing to spend more.

1. Target Your Own Real Estate

Use Sponsored Display ads on your own product detail pages. This is a powerful way to cross-sell complementary items at the most critical point in the customer journey. When a customer is looking at your main product and sees an ad for a perfect accessory on the same page, the add-on purchase becomes an easy choice. This strategy not only increases cart size but also defends your listing space from competitors.

It’s a critical mistake to let competitor ads occupy space on your product pages. Running product targeting campaigns aimed at your own ASINs creates a closed-loop ecosystem. This defensive move keeps shoppers engaged with your brand and is one of the quickest ways to see a lift in your AOV.

2. Align Ad Strategy with Goals

Your PPC efforts must align with your broader business objectives, especially profitability. Look beyond simple metrics like ACoS. Understanding what is ROAS in digital marketing provides a clearer picture of your overall return on investment, which is directly boosted by a higher AOV.

A healthier AOV improves your ROAS, which gives you more room to invest in premium top-of-search placements without damaging your profitability. Each conversion from these optimized campaigns contributes more to your bottom line, creating a self-sustaining growth cycle. For more granular control over your ad spend, advanced Amazon PPC bid optimization techniques are the next step.

3. Optimize Listings for Upselling

Your ad strategy is only as good as the listings it drives traffic to. Your copy and images must be optimized to sell the superior value of a bundle or a premium version. Use your bullet points and A+ Content to build a solid case. Clearly spell out the benefits of “completing the set” or investing in the better model. Comparison charts in your A+ Content are a great way to visually lay out the advantages of the higher-priced option. This synergy between ads and listing content convinces a shopper to spend more, directly boosting your average order value.

Build Loyalty with Subscribe and Save

Amazon’s Subscribe & Save (S&S) program is a valuable long-term strategy for increasing customer lifetime value. It shifts your focus from one-off sales to a predictable, recurring revenue stream. While a single S&S order may have a slightly lower price due to the discount, the real benefit is the guaranteed flow of repeat purchases from customers loyal to your brand. This is how you elevate your effective average order value over time.

This strategy is best for consumables like coffee, supplements, pet food, or skincare. Audit your catalog to identify these recurring-revenue opportunities.

1. Set Up a Profitable Program

Once you’ve identified your best S&S candidates, determine your discounts. Amazon allows tiered discounts: a base discount (usually 5% or 10%) and an additional incentive for shoppers with five or more active subscriptions.

You must be smart about these numbers. Analyze your margins to find a percentage that is enticing enough to encourage subscriptions but doesn’t destroy your profitability. A 5% discount is often a good starting point. It’s enough of a nudge for most customers without being too costly.

The goal of S&S is to trade a small single-order margin for a much larger cumulative value per customer. One-time buyers are unpredictable, but a subscriber provides a reliable revenue forecast.

2. Promote Your S&S Option

Activating S&S in Seller Central isn’t enough; you have to promote it. Your product detail page should make the S&S option impossible to miss. Use your A+ Content to create a dedicated module that clearly explains the benefits. Use copy like “Never run out again” or “Set it and forget it convenience.” You’re selling the convenience as much as the product.

Building a solid subscriber base is a significant part of effective Amazon customer retention management. You’re turning transactional shoppers into predictable, high-value assets for your brand. This consistent revenue is one of the most reliable ways to grow your business on the platform.

Frequently Asked Questions

What Is a Good Average Order Value on Amazon?

What’s “good” is contextual. For a brand selling $25 supplements, a $35 AOV would be excellent, as it indicates successful cross-selling. For a seller of $80 kitchen appliances, a $90 AOV might suggest missed opportunities.

Instead of searching for a universal number, benchmark against your own historical data. Your goal should be steady, incremental growth. Aiming for a 10-15% increase from your current AOV is a realistic and impactful starting point.

How Long Does It Take to See an Increase in AOV?

Some tactics yield almost immediate results. Implementing a free shipping threshold or launching a new virtual bundle can show an AOV increase within the first week. Other strategies, like refining PPC campaigns to promote bundles or building a Subscribe & Save customer base, take more time. For these larger efforts, you should expect to see the full effect over one or two quarters.

Can Bundles Hurt My Individual Product Sales?

This is a common concern but rarely a problem if set up correctly. Bundle buyers are often a different type of customer, the value-seeker or someone looking for a complete solution, not the shopper who came for a single item. A popular bundle can even create a “halo effect,” driving more traffic to your individual product pages. Monitor your data. If you see a sustained dip in a core product’s sales after launching a bundle, you can deactivate the virtual bundle and reassess the offer.