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AOV (Average Order Value)

Updated July 2026

AOV, or average order value, is the average amount spent each time a customer places an order, calculated as total revenue divided by number of orders.

AOV = total revenue ÷ number of orders. In affiliate marketing it directly affects payouts: on a percentage-based commission, a higher AOV means a larger commission per sale, so affiliates often prefer promoting higher-AOV offers.

Merchants raise AOV with bundles, upsells, and free-shipping thresholds. Pairing a strong AOV with a good conversion rate is what produces a high earnings-per-click figure that attracts quality partners.

Where AOV (Average Order Value) sits in the affiliate cycle

Average order value is measured at the convert stage and is the multiplier that turns a modest commission rate into a meaningful one.

AOV (Average Order Value) is a convert-stage concept in affiliate marketing. Diagram: the seven stages of an affiliate cycle — recruit, share, click, convert, attribute, approve and pay — with the rules that decide which partner is credited and when a commission is actually released.
The seven stages every affiliate program runs through. AOV (Average Order Value) belongs to the convert stage.

How AOV (Average Order Value) is calculated

AOV = total revenue ÷ number of orders

total revenue
usually net of tax and shipping, and always net of discounts
orders
completed orders in the same period, excluding refunded ones
segment first
a blended AOV across new and returning buyers hides both
why it matters
commission = AOV × rate, so AOV moves earnings as hard as rate does

Worked example (illustrative)

Nine orders at 40 dollars and one at 900 average 126 dollars, which describes none of the ten. The median of 40 dollars is the honest summary, and this is why a single outlier can make a program look far more lucrative than it is.

The figures above are a chosen illustration of the arithmetic. They are not a measured result, a typical result, or a projection of what any program pays.

What AOV (Average Order Value) means for a creator

AOV is why a 6 percent commission can beat a 30 percent one. Six percent of a 900 dollar order is 54 dollars; thirty percent of a 25 dollar order is 7.50. Comparing rates without comparing order values is the most common way partners pick the worse program.

It also tells you which content to make. If a brand's AOV is driven by bundles or annual plans, content that frames the bundle rather than the entry product raises your earnings without needing a single extra click.

What AOV (Average Order Value) means for a brand

Raising AOV is usually cheaper than raising traffic, and it lifts affiliate earnings and brand margin simultaneously — one of the few levers in the channel where both sides gain from the same change.

Publishing a realistic AOV in the program's terms is a recruitment tool, because it lets a partner compute expected earnings per click instead of guessing from the rate alone. Publishing a mean inflated by enterprise orders is the opposite, and partners notice within a month.

Common mistakes with AOV (Average Order Value)

  • Quoting a mean when the distribution is skewed

    A handful of very large orders drags the mean far above what a typical buyer spends. Where the two diverge, the median is the number that actually describes the program.

  • Blending new and returning customers

    Returning buyers usually spend more. A blended figure overstates what a partner sending first-time buyers can expect to earn.

  • Measuring gross of refunds

    Large orders are refunded more often in several categories. AOV computed before refunds overstates both the brand's revenue and the partner's realistic earnings.

AOV (Average Order Value): common questions

Does affiliate commission get paid on the full order value?

Usually on the net product value — after discounts, and excluding tax and shipping. Two programs quoting the same rate can pay noticeably different amounts because they define this base differently.

Should I use mean or median order value?

Median when the distribution is skewed by a few large orders, which it usually is. The mean is fine only when order sizes cluster tightly.

How do I raise AOV as an affiliate?

Promote the bundle, the annual plan or the higher tier rather than the cheapest entry point, and link to the configuration you are recommending rather than to a generic category page.

See also

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