Glossary

AOV (Average Order Value)

AOV (average order value) is the average revenue per conversion: conversion value divided by conversions. It shows what a typical tracked order is worth and helps decide how much a click or conversion may cost before a campaign stops paying off.

Formula: AOV = Conversion value ÷ Conversions

How to read it

Campaigns can shift AOV, not just conversion counts: bundles, thresholds for free shipping, and audience choice all move it. Watch AOV per campaign to see which traffic buys big.

Where it misleads

A rising AOV with falling conversions can mean you're losing small buyers, not winning big ones. Check both numbers together.

Related terms

Conversion Value →

Conversion value is the total monetary value the platform attributes to your conversions: typically order revenue in e-commerce, or values you assign to leads. It's the numerator of ROAS and the basis for value-based bidding strategies.

Conversions →

Conversions count how often users completed the action you defined as valuable (a purchase, lead form, call, or signup) after interacting with your ad. Conversions are the metric campaigns are ultimately judged by, because they connect ad spend to business outcomes.

ROAS (Return on Ad Spend) →

ROAS (return on ad spend) is the revenue generated per unit of ad spend: a ROAS of 4 means €4 of tracked revenue per €1 spent. It's the core efficiency metric for e-commerce campaigns, connecting spend directly to the money it brought back.

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