In an outdoor gear store, you surely want to be a profitable business but customers buying a few of your products from time to time could be really quite hard to help you increase sales from your standard sales.
This kind of purchase happens because people who often buy from your store may already know what they are looking for. However, you can do several strategies to make them buy more products to make more money from each of your customer’s transactions.
But to do that, you will need to track your AOV which represents the average revenue from each order you have.
In this article, you’ll learn about the recent trends in AOV and how to present your amazing products to customers and get more sales from each order they make.
Overview Of Recent Trends In Outdoor Gear Products
The trends in the outdoor industry are important to be presented to existing or new customers. In fact, considering product recommendations is a great idea in making use of trending products.
This is a great way to promote your products because it’s been popular in the market.
Emerging Niches In The Outdoor Industry
Do you believe that the outdoor industry is connected with mother nature? I guess this could be pretty obvious.
The outdoor industry is evergreen and has always increased due to different trends and people’s interests. In fact, the outdoor industry has boomed after the pandemic and people learned to love the beauty of mother nature.
So, if you are planning to create a trend. Find the right niche that trends for your outdoor gear business!
Here are a few of the emerging niches to give you more idea
Running Specialty
Running specialty focus on running gears.
Customers might need various things for running. Running specialty gear includes shoes, caps, knee support, injury prevention equipment, etc.
You have to carefully pick the product and go with the trend which will be easy to sell.
Race Craze
It’s a very common craze for race.
You might have heard about bike and car racing but all that is very limited and corporate-level racing. One of the major racing events is a bicycle which is the common and most popular craze.
Trying to sell certain gear for this sport could be a great idea for your business to attract more buyers.
Kiteboarding
Kiteboarding, also referred to as kitesurfing, is an exhilarating water sport that incorporates elements of wakeboarding, surfing, and kiteboarding.
This involves riding a kiteboard across the water while using a big kite to harness the wind’s energy.
Here are some significant kiteboarding components you may consider selling: a kiteboard, a control bar, lines, and a harness.
Understanding Average Order Value For Outdoor Gear Stores
The average order value (AOV) is determined by dividing the total revenue generated over a given period by the number of orders.
In this case, the Average order value(AOV) can be calculated overall for the whole store or can be calculated based on product type. Like all kitesurfing accessories’ AOV can be different from the running specialty AOV.
Factors Influencing Average Order Value (AOV)
There are many factors that really affect the AOV e.g. price, season, package bundle, promotions, or maybe customer experience.
This allows customers to have minimum orders that can impact the AOV too because sometimes a customer can reach the minimum threshold to avoid the shipping cost so you have to manage the minimum threshold smartly to increase AOV.
Here are the list of factors that affect AOV:
Product Cost: The AOV may be impacted by product costs. The order value may be increased by more expensive items, potentially raising the AOV.
Cross-selling and Product Bundling: Offer product bundles or recommend related items to persuade customers to add more items to their shopping carts, which could raise your average order value (AOV).
Opportunities for Upselling: Encourage your customers to choose more expensive options, and you can increase your average order value (AOV).
Discounts and Promotions: Giving customers discounts or promotions can help you entice customers to spend more.
What Is A Good Average Order Value for Outdoor Gear Stores?
Well, there is no standard amount for that but higher will be considered better.
One of the best things to consider is to compare your business with other competitors or the average figure of the whole industry.
You must evaluate your unique business metrics and sector benchmarks to ascertain what constitutes a good AOV in your particular situation.
You can improve your revenue generation strategies and find opportunities to increase customer spending per transaction by tracking AOV over time and setting improvement goals. Vibetrace helps to understand better AOV and helps to calculate its very general way.
If you are AOV is stuck or decreasing that means something is wrong with the experience or the product quality. You should remove unnecessary products which cant help.
Benefits Of Striving For A Higher Average Order Value
There are many proven theories that suggest there are many benefits of higher AOV.
Increasing the average order value (AOV) can have positive effects such as:
- Increased revenue
- Improved profit margins
- Enhanced customer lifetime value
- Efficient marketing spend
- Cross-selling and upselling opportunities
- Increased customer satisfaction
- Competitive advantage
- Opportunities for business growth
Average Order Value Benchmark For Outdoor Gear Stores
The benchmark for average order value (AOV) for outdoor gear stores can change depending on the product line, target market, and pricing.
As a general rule, however, an AOV benchmark of $100 to $150 is thought to be reasonable for outdoor equipment shops. Customers, therefore, spend, on average, between $100 and $150 per transaction.
Although this may still vary based on industries.
In order to evaluate performance and pinpoint areas for improvement, it is advised to analyze industry benchmarks and track your own store’s AOV over time.
This is because AOV can vary significantly depending on the specific products and customer segments of each store.
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The Role Of Website Personalization In Boosting Average Order Value
This section is very important. For each subtitle please visit outdoor shops and add screenshots as examples.
Website personalization is the experience of the customers for shopping.
This includes understanding the right needs and presenting accurate products in front of your customers once they visit your e-commerce store.
Today’s browsers are too advanced which can allow to share cookies where most websites collect some data for past or recent searches. This data is being used by websites and they create personalized profiles and present the products.
This functionality gives users the best shopping experience ever without even going through many different categories or searching through the whole e-commerce store.
Advanced techniques, such as the use of AI and machine learning algorithms, can be incorporated into website personalization in order to provide each user with a unique and tailored experience.
Vibetrace has created an advanced tool for the best product recommendation to create the best even personalized website.
Examples Of Effective Website Personalization Strategies
One of the well-known outdoor recreation stores is Arcteryx. They offer various products from men’s and women’s apparel to accessories to gears.
Check out how they optimize their website for a good customer experience that results in positive outcomes, especially with the business Average Order Value.
Here are examples you may implement for your own store.
Personalized Product Recommendations
Product recommendation can be done through AI, Advance Machine learning tools, and third-party product recommendation engines like Vibetrace.
Product recommendations can be through the user’s past purchases and search history. The presentation of options that are pertinent can aid in boosting conversion chances.
Personalized Content
Gathering possible data to present the right product to the right customers. Displaying various images and content according to user behavior or preferences.
For instance, you can create a blog page on your website to explain certain experiences they could have with the products you have.
Personalized Promotions And Discounts
Customers feel appreciated when you provide a special voucher like free shipping or special discounts based on their past purchases.
Customers can have offers and incentives tailored to them based on their preferences, behavior, or one-time purchases using personalized promotions and discounts.
Additionally, You can create more relevant and alluring offers by customizing promotions, which increases the possibility of customer engagement and conversion.
Personalized Email Campaigns
Sending customers specific emails based on their interests, past purchases, or items they left in their shopping cart.
By presenting pertinent offers and suggestions, this strategy aids in raising engagement and conversion rates. The best way to increase AOV is by sending them different product bundles for different activities.
Personalized Search Result
Personalized search results involve creating search engine outputs according to a specific user’s preferences and behaviors.
Search engines deliver more relevant and tailored results by analyzing user data and using algorithms, taking into account things like search history, location, and contextual understanding.
Giving users content that matches their interests and needs, improves the search experience.
In addition, privacy and user control are crucial factors in ensuring a balance between personalization and unbiased access to information.
Other Strategies To Increase AOV For Outdoorgear Products
Utilize The Appealing Design For Product Pages
Focus on visually appealing design elements like high-quality images, clear and descriptive product information, and simple navigation to create appealing product pages for outdoor gear.
Use prominent call-to-action buttons and social proof, such as customer reviews and ratings, to boost conversions.
For a seamless user experience, prioritize a customer-centric strategy, build trust with security measures, and simplify the checkout procedure.
Provide Social Proof
Social proof is a tactic that makes use of other people’s influence to develop credibility and trust in your outdoor gear business.
You can offer social proof that persuades potential customers to make a purchase by showcasing positive feedback, reviews, testimonials, and endorsements from happy customers or reliable sources.
Consider including testimonials or success stories highlighting customers’ positive experiences on your website, prominently displaying customer ratings and reviews, and collaborating with influencers or professionals in the outdoor industry to promote your products.
Social proof boosts trust and ultimately encourages conversions by giving potential customers more assurance in their choice to purchase from you.
Set Up A Free Shipping Threshold
You can set up a free shipping threshold to increase AOV.
For example, customers are spending 50$ on online shopping and pay 10$ for shipping. Customers might spend 40$ to save 10$ on delivery charges and this is how you can increase AOV.
So always remember to trick price combinations like that if you add two or more products it can be more than your expected AOV.
Bundle Complementary Products
In the outdoor gear industry, bundling complementary products is a strategic approach that entails assembling related items to make amazing product packages.
You can improve the value proposition for customers and entice them to make larger purchases by offering bundles.
Develop product bundles that are tailored to particular outdoor activities or customer preferences by selecting products that go well together.
For a camping package, you might combine a tent, sleeping bag, and camp stove. Bundles help increase the average order value and encourage the sale of multiple items, in addition to offering convenience and cost savings to customers.
Cross-Sell & Upsell Items
Offering customers extra or related products in addition to the ones they intend to buy is known as cross-selling.
It functions by locating related products that raise the quality or usefulness of the original product and recommending them to the customer.
This strategy aims to give the customer a more complete solution and raise the value of their overall purchase.
Cross-selling can be done in a number of ways, including through in-store promotions, bundled packages, post-purchase suggestions, and product recommendations.
On the other hand, you must also consider upselling. Provide your customers a more expensive products than those they chose which will have more benefits for them. Emphasize the quality they will get for buying such an order
Conclusion
In order to maximize sales and profitability, as an outdoor gear retailing business, you must raise your average order values (AOV).
You can attract customers to spend more per transaction by implementing effective strategies like bundling complementary products, providing upsells and upgrades, and utilizing cross-selling techniques.
All the strategies mentioned can improve your financial performance, as well as customer satisfaction and loyalty, by working to increase AOV in the long run. This will help you compete successfully in the market.
Lastly, make sure you use useful software like Vibetrace to help you with tracking metrics and creating personalized automation for your business.
