Boost Your AOV with Post-purchase Offers in 5 Steps – EcomExperts
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Boost Your AOV with Post-purchase Offers in 5 Steps

Andrew Durot
8 min read

When you think about increasing revenue, what comes to mind? Finding new customers? Savvy marketers work with what they already have and focus on increasing Average Order Value. 

As one expert puts it, “instead of (or in addition to) trying to win over new customers, you can squeeze more value out of the customers you’re already attracting.”

Think of it like this: When a theme park sells out of tickets, how do they make more money while at max capacity? They focus on selling keepsake photos, stuffed animals, and snacks! Would you like that soda in a souvenir cup?!

Average Order Value is all about maximizing your customer’s spend (who know and love your brand).

One way to increase your brand’s total revenue by 10% is to implement a post-purchase strategy. By increasing the individual spending of all your customers, the revenue per visitor will increase—as will your store’s overall profitability.  Implement these steps and watch your AOV skyrocket.

Step 1: How a post-purchase upsell apps works to increase AOV

What exactly is a post-purchase offer? It’s a unique, one-time offer that your customers see after they check out. 

 

The customer experience goes like this: They find a product they love, and they buy it! Your customer is riding high from their purchase, and is immediately presented with a personalized, exclusive offer.

At this point, the customer can accept or decline the offer with 1-click. There’s no need to re-enter shipping or payment info. On average, merchants see a 15% acceptance rate on post-purchase offers!

After your customer accepts or declines the offer, they’ll see your thank you page. 

Why are post-purchase offers so effective for Shopify brands?

Post purchase offers are highly relevant and personalized to your customer by taking advantage of one key data point: What they just purchased. Knowing what they just bought allows merchants to design offers that are relevant and complimentary. 

For example: Say your customer just purchased a cat carrier. Offer calming cat chews or a collapsible set of travel food and water bowls as cross-sells

Post-purchase offers are fleeting deals! Many merchants choose to show a countdown timer to signal urgency and the limited nature of the offer. Customers know they must act fast if they want to take advantage of the deal! Plus, merchants can make it clear that the offer is exclusively available to existing customers.

Plus, post-purchase offers are presented after checkout, so there’s zero risk of the post-purchase offer causing cart abandonment. 

Step 2: Use proven post-purchase upsell tactics that work for top Shopify brands

Like all marketing tactics, it helps to approach post-purchase offers with a strategy. On average, merchants using CartHook Post Purchase Offers see a 10% increase in their total revenue—that’s huge! 
Here are strategies proven to convert by top Shopify brands:

  • BOGO: Buy one, get one. Simplicity works! Try displaying a second item of what your customer just bought. Think this tactic feels too easy? It’s one of the highest-converting strategies for post-purchase offers.

 

  • Hero: Do you have a best-seller that customers love? Show it! If customers love your hand cream, offer it, regardless of what your customer already purchased. You can always use more of what you know and love (Hot tip: free shipping adds an extra incentive to accept the offer)
  • Bundle: Offer pillowcases if your customer bought sheets, or a case if they bought sunglasses. This is the classic, “would you like fries with that?” strategy. 
  • Volume and value: Reward bulk purchases. Consider offering a discounted item to customers who purchase multiple items, or have a higher than average spend. Customers will appreciate you noticing their brand loyalty. 

  • Samples: Tap into the euphoric post-purchase timing and ofer a miniature or sample size of a new product. Or, promote a travel-sized version of what they just bought! Like a travel-sized set of shampoo and conditioner, to compliment the full-sized shampoo they just purchased. 
  • Gifts: Consider offering a free upsell! If your customer’s purchase meets a VIP threshold, you could display a free gift they can accept or decline. Sure, the freebie won’t boost your AOV, but it’s a great strategy to boost LTV and create loyal customers.  
  • Inventory Management: Discount surplus inventory items. This is a great strategy to use when it’s time to liquidate seasonal stock, or when you need to clear shelf space before new products launch. 

Step 3: Customize your post-purchase funnels with high-converting strategies

Want to see a 15% acceptance rate on upsell offers? Use the strategies top Shopify brands use.

One method that consistently converts? Offer a discount. In order to realize a 15% conversion rate or higher, most merchants offer a 10-20% discount. 

Is your team hesitant to offer discounts? Hear me out! Post-purchase offers are only available to customers who just bought something from you. Think of post-purchase discounts as a loyalty reward (that will also boost your AOV) and make it clear to customers that the deal is a one time offer. 

 

 

Apps like CartHook Post Purchase Offers make it incredibly easy to control and customise your offers, with easy drag and drop tools. 

Some brands find success by offering a second, lower priced item as a downsell. If your customer declines the first (higher priced) offer, display a second offer that’s at a lower price point. 

For example, if your customer just purchased a mattress, offer the box spring (if it’s not already included in their cart) as the first upsell. If they accept (or decline), show a second, lower-priced product, like a mattress protector. 

Step 4: Design offer pages that deliver seamless customer experiences

When it comes to design, keep the look and feel similar to your brand’s website. 

A few tips:

  • Write headlines and product descriptions that are in your brand’s voice.
  • Write copy that speaks directly to your customers, by using phrases like, “Wait! There’s an offer for you.”
  • Social proof sells. If you have a strong customer testimonial, paste it into the description of your post-purchase offer.
  • Make it easy to accept or decline offers by putting offer buttons towards the top of the page. This makes for a smooth, frictionless user experience. 
  • Design with mobile checkout mind. Did you know that 45% of ecommerce purchases will soon be done via phone? Always test your offers (and the entire checkout experience) on a mobile device.
  • Add images that are seasonal or exclusive to the post-purchase offer. If your post-purchase product has a limited quantity (or if you want to manufacture scarcity!), add a graphic to your image that signals it.

Step 5: Test your funnels and optimize your upsells

As it goes with all marketing tactics, testing is crucial. We’ve covered top strategies that work for many Shopify brands—but your company should test to see what performs best for your store. 

One non-obvious strategy to test? Offering high price-point items. Your acceptance rate may drop, but your AOV will certainly increase. 

Test dollar discounts versus percentage discounts. The perception of $10 off vs 15% off may have different acceptance rates, but similar impacts to your bottom line. 

I also recommend increasing your number of funnels, so more customers see your offers. The more people who see an offer, the higher your chances of acceptance (and the closer you get to a 10%+ total boost in revenue)!.

Post-purchase upsell apps are an ideal way to boost AOV

Increasing revenue is about more than finding new customers. Market smart and focus on increasing AOV to maximize the spend of your existing customers. 

To increase your brand’s total revenue by 10% on average, implement a post-purchase strategy and watch your AOV skyrocket.  Try CartHook Post Purchase Offers app (free for 14 days!) and add real revenue to your bottom line.

This is a guest post from Kate Cassidy, the Partner Marketing Manager at CartHook—a EcomExperts.io Partner that allows top Shopify brands to add post-purchase offers to their native Shopify checkout.

 

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