# AOV — Average Order Value

AOV determines whether each sale can absorb fixed logistics costs. If shipping costs $8 and AOV is $20, 40% of each sale goes to logistics before touching product margin. A higher AOV makes the same fixed costs viable.

## Where to find it

Shopify Analytics → Average order value, directly. Tiendanube: "Ticket promedio" under Estadísticas. Or calculate it: total monthly billing ÷ number of orders.

## If it's off

With a low AOV, fulfillment as a % of the sale spikes and NCM can turn negative even if the product gross margin looks reasonable. The best operators set a minimum AOV for free shipping to push higher tickets.

## LATAM Benchmarks

| Status | Range |
|---|---|
| Healthy | > $70 USD (depends on category) |
| Alert | $35–$70 USD |
| Critical | < $35 USD (logistics consumes the margin) |

## How to improve it

The most effective tactic to raise AOV without changing the catalog: set a free shipping threshold 20–30% above the current AOV. If AOV is $60, a threshold at $75 moves a portion of customers to add one more item to the cart.

Related metrics: [Monthly Revenue](https://www.uniteconomicscalculator.com/en/glossary/monthly-revenue.html) · [Active Customers](https://www.uniteconomicscalculator.com/en/glossary/active-customers.html) · [Marketing Investment](https://www.uniteconomicscalculator.com/en/glossary/marketing-spend.html)

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