Average Abandonment Order Value in App
Average Abandonment Order Value in App is the sum total value of abandoned orders in an app divided by the number of such abandoned orders.
The Average Abandonment Order Value in App pertains specifically to the average monetary value of all the orders which are added to cart but are not converted into a purchase within a mobile app environment. It is a significant Key Performance Indicator (KPI) for e-commerce analysts, primarily for a direct measure of potential lost revenue and consumer behaviour.
Formula
Average Abandonment Order Value in App = Total Value of Abandoned Orders / Number of Abandoned Orders
Example
If an e-commerce business has a total abandonment order value of $1000 from 20 customer abandons in a day, then the average abandonment order value for that day would be $1000/20 = $50
Why is Average Abandonment Order Value in App important?
The Average Abandonment Order Value in App is a sensor of potential loss, providing insights behind shopping cart abandonment, and often identifying customer pain points in the buying process. An above-average value signals low conversion rates, indicating a problem with the checkout process, pricing strategy, or user interface.
Which factors impact Average Abandonment Order Value in App?
Key factors include the complexity of navigation, mobile app design, loading speed, customer support responsiveness, abandoned cart recovery efforts, and overall user experience.
How can Average Abandonment Order Value in App be improved?
Improvements can be achieved by optimizing the mobile app customer journey, offering multiple secure payment options, simplifying the checkout process, and crafting effective recovery campaigns and customer-based incentives.
What is Average Abandonment Order Value in App's relationship with other metrics?
The Average Abandonment Order Value in App is closely related to other ecommerce metrics such as bounce rates, conversion rates, and customer retention rates. An increase often signals a decrease in conversion rates, and consequently, lower revenue.
Explore more Glossary terms
A/B testing
Boost your ecommerce site's performance with A/B testing! Optimize web elements for better conversions and enhanced user...
Account visits
Analyze user activity with Account Visits. Gauge the behavior of registered customers for enhanced e-commerce insights a...
Abandoned browse
Understand and tackle Abandoned Browse behavior to boost your ecommerce conversion rate. Know why shoppers leave without...
Apps & Services Costs
Apps & Services Costs in eCommerce are expenses associated with integrating, maintaining, and optimizing third-party pla...
App Conversion from Product Card View to Favorite
App Conversion from Product Card View to Favorite in e-commerce is the act of customers saving the product in their onli...
AOV of Website Purchases
Average Order Value (AOV) of Website Purchases refers to the average amount of money that customers spend when they plac...