The McDonalds principle that explodes your AOV

Ecommerce merchants could learn a thing or two from how McDonalds maximise their average order value.

You see, most of us have purchased a burger from Macca’s at some stage of our lives.

And if the employee serving does his/her job right, they’ll ask you if you want to add fries and a coke to your order (if you haven’t ordered these already).

The employees are instructed to do this because IT WORKS!

So hypothetically, an order that would have come to $5.00, will now cost $7.95 (or whatever). This is known as an up-sell (or some people call it a cross-sell).

In this example the employee has just increased the value of the order by 59%… simply by asking if they wanted to add extra items.

Now, that might not be much on one order, but imagine how it adds up with all the customers they serve on a daily, weekly and yearly basis.

It’s a lot of money.

And the point is you can easily do the same thing in your e-commerce business.

Obviously, you won’t be asking your customers to buy fries and coke off you. Instead you’ll be up-selling them products in your inventory that are complimentary to what they’ve just purchased.

They will purchase as normal, and then immediately after buying they’ll be taken to the upsell pages before their order is completed.

For example, you might sell them a flash light initially.

And then you offer them some batteries and an extended warranty (as two separate up-sells).

Not everybody would take you up on this offer… but quite a few people would choose at least one of these up-sells. And a decent percentage would choose both.

Reason being, the two upsells are complimentary to the original item purchased (which is the key).

What you don’t want to do is include up-sells that either:

  • should have been included in the original purchase in the first place
  • have nothing to do with the orginal purchase (like a stubby holder after purchasing a flashlight)

Every e-commerce platform is different, but most of them should be able to handle upsells. And it shouldn’t matter what you’re selling either… you should be able to implement the up-sells somehow.

So if you’re not already doing this… then what is stopping you?

It’s a surefire way to generate more profit.

If you’d like to discuss how to implement this in your business, then here’s where you can book an appointment with me: