Metrics
AOV
Average order value — revenue per converting buyer.
AOV (average order value) is the average revenue from one converting customer. It's a key term in the breakeven CPA formula (AOV × margin = max profitable CPA). Lifting AOV via upsells, bundles, or higher-priced SKUs is one of the few levers that lets you outbid competitors at the auction without losing money.
Formula
AOV = revenue / converting orders
Example
Single-bottle skincare AOV of $39 with 60% margin = max CPA $23. Bundle 3-pack at $89 with same margin lifts max CPA to $53 — different campaign entirely.