7 Strategies to Maximize Average Order Values

Driving revenue growth in retail is not just about closing sales; it’s about maximizing each transaction to its fullest potential. With the right strategies and by leveraging the power of point of sale technology, furniture and appliance retailers can significantly increase their average ticket or average order value (AOV) while benefitting their customers.

Here are seven actionable strategies to increase your AOV.

1. Consistent Upselling and Cross-Selling: Train sales staff to effectively upsell by highlighting the benefits of premium products or advanced features. Associates can also cross-sell complementary items as a tactic to increase the average order value. To ensure upselling is attempted for each customer engagement, POS prompts consistently recommend reliable upselling suggestions. These recommendations should be targeted to products already on the order for relevance. Further, by leveraging data from your POS system, these suggestions can be personalized based on individual customer preferences and purchase history to increase the likelihood of their effectiveness.

2. Bundle Deals and Packages: Offer bundled deals or package discounts to incentivize customers to purchase multiple items together. Utilize POS technology to automate the bundling process by building collections as kits. This will expedite the checkout experience of purchasing these groupings. Highlight the cost savings and convenience of purchasing kits to encourage larger transactions.

3. Strategic Product Placement: Utilize data analytics and insights from your POS system to place high-margin items or complementary products near best-selling items strategically. By creating visually appealing displays and bundling related products together, you can encourage customers to imagine a full-room vignette in their homes and add more items to their purchases.

4. Flexible Financing Options: Implement flexible financing options, such as installment plans or buy now, pay later programs, to make high-ticket purchases more accessible to customers. Integrate financing solutions directly into your POS system to streamline the application process and increase financed sale conversion rates.

5. Extended Warranty and Protection Plans: Present customers with the option to purchase extended warranty or protection plans at the point of sale. Highlight potential cost savings and peace of mind to showcase the value of these plans. Ensure transparency and clarity regarding coverage details to boost customer confidence.

6. Exclusive Loyalty Programs: Reward loyal customers with exclusive benefits, such as discounts, early access to promotions, or VIP services. Integrate your loyalty program with your POS system to track customer spending behavior and offer personalized rewards and incentives. Encourage customers to increase their spending to unlock higher-tier rewards.

7. Enhanced Delivery and Installation Services: Offer premium delivery and installation services, such as white glove delivery, as add-on options at the point of sale. Use POS technology to provide transparent pricing and scheduling options, allowing customers to customize their delivery experience. Provide updates and notifications throughout the delivery process to ensure a smooth and hassle-free experience.

By implementing any of these seven strategies and leveraging the capabilities of POS technology, furniture and appliance retailers can effectively maximize each retail transaction. From strategic product placement to personalized recommendations and upselling services, every aspect of the customer journey presents an opportunity to increase the average ticket or average order value. By focusing on providing value and convenience to customers, retailers can drive incremental sales while fostering loyalty and satisfaction.