Average order value growth
Calculator.
We compare basket contribution with extra fulfilment and programme costs.
Your assumptions
Illustrative defaults only, never Further or client figures. Currency is AUD, excluding GST. Enter 20 for 20%. Optional fields can stay blank or zero. Your inputs stay on this page.
Scenario result
Monthly incremental profit proxy
A$2,500.00
- Monthly revenue change
- A$10,000.00
- Basket contribution change
- A$4,000.00
- Added monthly costs
- A$1,500.00
- AOV change
- 12.5%
A$2,500 a month on A$10,000 of revenue change, without a dollar of extra media. A 12.5% move in average order value. Lifting the order also lifts the ceiling on what you can pay for a customer, which is the part that decides how far the ads can go.
The maths
Revenue change = 1,000 × (90 - 80) = 10,000 AUD.
Incremental basket contribution = 10,000 × 40% = 4,000 AUD. Added costs = (1,000 × 1) + 500 = 1,500 AUD.
Profit proxy = 4,000 - 1,500 = 2,500 AUD. AOV change = (90 - 80) / 80 × 100.
Before you use it
Order count stays fixed. Added fulfilment applies to every order entered. The profit proxy excludes other changed costs, tax and fixed overheads outside the programme cost.
This is a planning scenario, not a forecast or financial advice. Compare it with your actual order and customer records before changing spend.
Questions worth asking
Why keep the order count fixed?
We isolate basket value from order growth. If an upsell reduces conversion or changes order volume, you'll need a separate scenario for that effect.
What margin belongs in this calculation?
Use contribution margin on the extra basket dollars, not the margin on the entire original basket. Extra fulfilment and monthly programme costs are deducted separately.
Keep working through the numbers
Put the numbers to work.
We can look at the assumptions with you and decide what to test next.