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Shopify AOV Report: Understanding Customer Segments

Cameron Smith

What is the Shopify AOV report and how does it work?

The Shopify AOV report is a tool that provides insights into the Average Order Value (AOV) of customers on the Shopify platform. It analyzes customer segments and their purchasing behavior to help businesses understand their revenue patterns and make data-driven decisions to improve sales and profitability.

In the bustling marketplace of e-commerce, every bit of data can be a gold mine. For Shopify store owners, it’s important not just to analyze overall sales and customer behavior, but to dig deeper and understand how various customer segments are driving the performance of your Shopify store. That’s where the AOV by Customer Segments Report steps in. This report allows you to calculate the average order value (AOV) by dividing the total value of your gross sales by the number of sales made in a given period. By analyzing the AOV, you can gain insights into the effectiveness of your sales strategies and identify opportunities for improvement. Tracking your AOV on a weekly or daily basis is crucial. A higher AOV indicates that you are getting more from your customers.

Customer segments refer to the division of your customer base into manageable groups characterized by their unique behavior and traits. These can include factors like engagement level, buying behavior, demographics, geographical zones, etc. So, an AOV by Customer Segments Report is a detailed statistical analysis of the average spending of various subsets of your customers on each purchase. It highlights who spends the most, who spends the least, and who brings the most value to your Shopify store.

The value of tracking AOV by Customer Segments

The true value of the AOV by Customer Segments Report lies not just in its analysis but the actionable insights it provides. By delving deeper into the report, you can identify high-value segments, improve marketing ROI, and retain profitable customers.

Identifying high-value segments is crucial for targeting your marketing activities and product strategies. By understanding who are the customers driving high order value, you can tailor your efforts towards attracting more customers like them. By learning about the AOV of different segments, you can tweak your marketing strategy. Allocating more resources to high-spending segments and improving campaigns for low-spending ones can greatly boost your return on investment (ROI).

Regularly reviewing your AOV by Customer Segments Report equips you with the insights to create an effective customer retention strategy. By rewarding high-spending customers with personalized deals and incentives, you can encourage them to continue shopping in your store.

Now that we’ve understood the ‘what’ and ‘why’ of AOV by Customer Segments Report, it’s time to address the ‘how’. Implementing the AOV by Customer Segments Report in your Shopify store requires a few steps.

Implementing the Shopify AOV report

Shopify's Analytics feature provides a comprehensive report on marketing and eCommerce metrics, including the sales report that focuses on a few major ecommerce metrics – Revenue, Orders, Average Order Value (AOV), and Refund. This sales report is calculated with data directly from Shopify's API. With the increasing importance of data-driven decision making, Shopify's AOV report, including the sales report, can provide businesses with valuable insights into their customer behavior, order trends, and sales performance. Using built-in Shopify reports or specialized analytics tools like Repeat Customer Insights, businesses can access this important information to make more informed decisions about their marketing and sales strategies. By regularly analyzing this data, businesses can optimize their operations and increase their average order value (AOV) over time.

When dividing your customers into segments, it's important to first determine the basis on which you want to divide them. This could include purchase history, demographic data, geographical location, or behavior. The key is to choose segments that align with your business objectives and allow you to target your marketing efforts more effectively. For example, if you're looking to increase sales among a specific age group, segmenting your customer base by age can help you create targeted campaigns that resonate with that particular demographic. Alternatively, if you're looking to expand your business into a new region, segmenting by geographical location can help you better understand the needs and preferences of potential customers in that area. It's also important to keep in mind that customer segmentation is an ongoing process that requires regular review and adjustment. As your business evolves and grows, so too will the needs of your customers and the effectiveness of different segmentation strategies. By staying flexible and adapting to changing circumstances, you can continue to improve the relevance and impact of your marketing efforts over time.

Next, utilize Shopify’s robust data analysis tools in your Shopify Admin to gather relevant data. This includes collecting total revenue, total sales, number of orders, date range, and individual order total.

To calculate the AOV for each segment, simply divide the total revenue by the number of orders. This will give you the average spending of each subset of customers.

To maximize profits and improve your eCommerce strategy, it is essential to generate an AOV (Average Order Value) by Customer Segments Report in your Shopify store. This report provides insights into the average order value of different customer segments, such as new customers vs. returning customers or customers from different locations. However, generating this report can be a complex process that requires extensive data processing. As such, it can be beneficial to seek assistance from a Shopify expert or use an app specifically designed for this purpose. Once you have this information, you can make data-driven decisions to tailor your marketing efforts and improve customer engagement to increase revenue and grow your business. Additionally, implementing CRO (Conversion Rate Optimization) strategies can further enhance your eCommerce performance and drive more conversions.

Now that you have the AOV by Customer Segments Report, it’s time to tailor your marketing strategies based on its insights.

How to generate revenue with your new metric

One effective marketing strategy is to prioritize segments of customers who have a high average order value (AOV). These customers are valuable to your business and should be given special attention. Offering exclusive discounts, early access to new products, or loyalty programs can help you retain these customers and encourage them to make repeat purchases. By focusing on this high-spending segment, you can maximize your revenue potential and strengthen your customer base. It is important to analyze your customer data regularly and adjust your marketing efforts accordingly to ensure that you are targeting the right segments at the right time.

When targeting low-spending segments, it's important to focus on increasing their average order value (AOV). One way to achieve this is by bundling products or offering incentives for a higher spend. Displaying up-selling and cross-selling options can also encourage customers to increase their order value. By implementing these tactics, you can not only increase revenue but also improve customer satisfaction by providing them with more value for their money. It's crucial to strike a balance between upselling and not being too pushy, as it can negatively impact the customer experience. Additionally, analyzing customer data and understanding their buying behavior can help tailor your approach to each individual customer, increasing the chances of successfully upgrading their AOV.

It is essential not to overlook customer segments with an average AOV (average order value). Although they may not make significant purchases at once, they can be consistent buyers who contribute extensively over time. Personalized marketing campaigns can be highly effective in capturing their attention and increasing their value to your store. By understanding their preferences and needs, you can tailor your marketing messages to resonate with them and encourage repeat purchases. Moreover, providing exceptional customer service can also help you build lasting relationships with these customers, leading to increased loyalty and advocacy.


In conclusion, the AOV by Customer Segments Report is a powerful tool for enhancing your Shopify store’s performance. Its implementation involves gathering customer data, analyzing it, and utilizing Shopify’s tools, such as the Shopify checkout. While data is important, the true key to success is implementing the insights it presents with innovation and creativity. By leveraging this report you can increase customer acquisition, improve retention, and boost sales in your Shopify store through strategies such as upselling and cross-selling complementary products. This can be achieved by creating product packages or offering free shipping using a “Shopify Shipping App” for a particular number of orders.

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