What Is AOV (Average Order Value) in Print-on-Demand?

Want to see how AOV connects with other metrics like COGS, ad spend, and profit? Read our step-by-step guide to calculating POD profits. If you’d rather skip spreadsheets, try PodVector, which calculates AOV and profit in real time for Shopify + Printify/Printful stores. For industry definitions, see Shopify’s official AOV guide.

What Is AOV?

AOV (Average Order Value) is the average revenue you generate from each order in your store. For POD sellers, it’s one of the most important levers for profitability. If your AOV is too low, transaction fees, shipping costs, and ad spend can quickly wipe out margins—even if your product costs are under control.

Formula

The formula for AOV is simple:

AOV = Total Revenue ÷ Total Number of Orders

For example, if your store generates $5,000 in revenue from 200 orders, your AOV is $25.

Example Calculation

Imagine you sell POD mugs and hoodies:

• 100 mug orders at $15 each = $1,500 revenue
• 50 hoodie orders at $50 each = $2,500 revenue

Total revenue = $4,000 from 150 orders → AOV = $26.67

Even though mugs are cheaper, adding hoodies raised your AOV significantly.

Why AOV Matters in POD

• Payment fees: Shopify/Stripe charge a fixed fee per transaction (~$0.30). On a $15 mug, that’s 2%. On a $60 hoodie, it’s only 0.5%.
• Ad spend per order: Ads usually drive customers one order at a time. If you can sell 2+ items in that order, you improve your margin instantly.
• Shipping costs: One shipping fee per order means multi-item orders stretch your margin further.
• Scaling: Higher AOV makes it easier to spend more on ads while staying profitable.

AOV Benchmarks for POD

AOV varies by product mix, but typical POD ranges are:

• T-shirt only stores: $20–$30
• Mixed apparel (hoodies, tees, hats): $30–$50
• Accessory + apparel bundles: $40–$70+

Stores with AOVs above $40 generally have more room to scale ad spend profitably.

How to Increase AOV

• Bundles: Offer “Buy 2, Get 10% Off” or “Bundle a hoodie + mug” deals.
• Upsells: Suggest higher-margin products (e.g., hoodie upgrade at checkout).
• Free shipping thresholds: Set at $50+ to encourage larger carts.
• Cross-sells: Recommend related designs or products on product pages.
• Seasonal packs: Offer holiday or event-themed multipacks.

AOV vs LTV and Other Metrics

Many POD sellers focus on LTV (lifetime value) and CAC (customer acquisition cost). But unlike subscription businesses, most POD sellers don’t have long-term recurring purchases. That’s why AOV is often more important than LTV in POD. Similarly, ad spend per order is more actionable than CAC, since POD owners usually run lean without access to large credit lines.

How to Track AOV

Manual Method

1. Export total sales and orders from Shopify or Etsy.
2. Divide total sales by number of orders.
3. Repeat monthly to see changes over time.

Automated Method

With PodVector, AOV is tracked automatically alongside profit, GPAM, and ad spend per order. This means you can see in real time if a bundle offer is lifting your margins.

FAQs

Is AOV the same as profit per order?

No. AOV is the average revenue per order, not profit. To get profit, you must subtract COGS, shipping, ads, and fees.

What’s a good AOV for POD?

Most profitable POD stores aim for $30–$50+. Below $20, transaction fees and ads usually eat into margins.

How often should I check AOV?

At least monthly. Check weekly if you’re running aggressive ad campaigns or testing bundles.

Does Shopify track AOV automatically?

Yes. Shopify reports include AOV, but they don’t connect it to profit. You’ll need a tool like PodVector to see the full picture.