Stop Chasing Cheaper CAC. Fix Your AOV.

For many brands, the fastest way to improve paid performance isn’t lowering CAC. It’s increasing average order value.

February 25, 2026

Table of contents

For many brands, the fastest way to improve paid performance isn’t lowering CAC. It’s increasing average order value.

A higher AOV does three critical things:

  • Offsets rising new customer acquisition costs
  • Gets more products into a customer’s hands on their first purchase
  • Increases the likelihood that the customer comes back and buys again

Yet AOV is often the first lever brands abandon when acquisition gets expensive. That’s a mistake.

We recently ran a test with The Zero Proof that reinforced why AOV should remain a core part of your new-customer strategy.

Our Approach 

We started by reviewing new-customer product purchase behavior and looking for clear themes in what people were buying together.

That analysis allowed us to:

  • Identify a top sellers bundle
  • Create a second bundle centered around their top-performing brand and products

From there, we focused on execution:

  • Recommended a new-customer bundle discount that felt compelling without over-discounting
  • Added bundle visibility directly into site navigation via targeted CRO updates
  • Built bundle-specific ads and drove traffic straight to the PDP

CRO Execution 

Paid Ad Execution 

The goal wasn’t just a higher AOV, but giving new customers better optionality on their first purchase.

The Outcome 

The impact was immediate and measurable:

  • New customer AOV increased 12%
  • 2 bundles now rank in the top 15 products for new customers (previously: 0)
  • Bundle discounts improved CVR while increasing product exposure on first purchase
  • YoY retention rates increased 20%, driven by broader first-order product adoption
  • 6-month LTV on the top bundle is up 20% compared to the business average

Closing Thoughts 

Improving AOV isn’t just about short-term efficiency. It’s about building better first purchases that convince customers to keep coming back.

When customers start with more products:

  • They understand the brand faster
  • They find more reasons to return
  • Lifetime value improves naturally

If acquisition is getting more expensive, don’t abandon AOV. Double down on it strategically.

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