This metric is commonly measured and reported in e-commerce models. It shows the average dollar amount spent by each customer when making a transaction. You can view this metric here: https://app.chartmogul.com/#charts/average-order-value.
How is it calculated?
SUM of all paid invoice totals / total number of paid invoices
The following do not contribute to or affect this metric:
- Subscription revenues
What analysis can be gained?
The Average order value metric enables you to understand your customer's habits to inform your marketing and pricing strategy.