4 Easy ways of improving AOV for your subscription business

Increase AOV
Karan Chaudhary
Last Updated On:
January 24, 2023
3 Minutes

Learn how you can increase your AOV and stay profitable as your DTC subscription business grows in just 4 simple ways.

It’s a sad reality that your CAC is guaranteed to rise as your DTC business grows. Increasing your AOV is the best way to offset this and stay profitable as you scale.

Here are 4 simple tactics that subscription brands can use to increase their AOV.

01. Sell Box Subscriptions

Three Reasons Why Bundles Work:

👉 Increases AOV by giving customers the option to add more products to their cart.
This generates a higher cart value 

👉 Offer customers the chance to Buy more, save more with customized discounting

👉 Sell bundles as subscriptions ⇒ Improves LTV. Customers don't get bored with subscriptions as they can swap product items within the bundle.

👉 Customers can Add, Swap, Remove products from their bundles using a flexible customer portal which helps in subscriber retention 

👉 Skip, Delay, Expedite, Pause or Cancel subscription gives greater flexibility to customers and improves subscriber retention

👉 Specialized reporting for bundle boxes help you see how much revenue bundles are bringing in exclusively

And guess what, creating your own bundle page requires zero-coding. Everything is pre-built for you in Loop.

Plus Point: Customize Bundle Boxes However You Want

With Loop, brands can completely customise their bundle UI on the front-end and the backend.

A build-a-box page that stands out with your own exclusive brand guidelines is bound to attract your target audience and make your bundle subscriptions a hit!

Three ways of customising Bundle UI

👉 Brands can add custom CSS, styling, translations to have a build-a-boxe page that's completely aligned with their branding

👉 Customer portal can also be designed using custom components, exclusively with Loop. A flexible customer portal solves for subscriber retention.

👉 Bundles can operate on customised discount logics like Buy More - Save More to encourage customers to buy more for fetching higher discounts

02. Upsell Products On Customer Portal

Three Ways How Customer Portal Upselling Increases AOV:

👉 Every month you can decide 3-4 products you want to exclusively upsell on the customer portal with a special discount

👉 Your latest product releases can be tested and sold as an upsell to loyal subscribers with exclusive discounts

03. Upsell Products On Order Reminder Emails

This is a very simple upsell tactic that can be used on your order reminder emails.

👉 Upcoming order emails have high open rates which makes these email the perfect place to engage and upsell your already active customers

👉 People who are already your loyal subscribers are more likely to buy an upsell and drive additional revenue

04. Sell Bundles As Subscriptions 

Bundles are usually sold as a one-time purchase because customers consume different products at different frequencies in a single bundle.

But Loop makes bundles subscription-friendly by unbundling them once a customer subscribes to them. This has two major advantages:

👉 Unbundling breaks the bundle into multiple products so customers can can decide which products they’d like to continue/discontinue as a part of their subscription

👉 This way your customers can skip a product, swap a product, add more of the same product or delete a product from the bundle. 

This improved flexibility on bundle subscriptions ⇒ reduces subscriber churn.

Looking to start or scale your DTC subscriptions? Choose a subscription partner that scales with you. 

Book a demo now to improve your AOV.