Which metric measures revenue per order?

• A. CVR
• B. AOV
• C. ROAS
• D. CAC

Answer: (B)

Revenue per order is captured by the average order value. It tells you, on average, how much revenue each completed purchase brings in. You calculate it by dividing total revenue by the number of orders. This metric is useful for pricing decisions, promotions, and upselling, since increasing the amount spent per sale boosts overall revenue even if traffic stays the same.

Other metrics measure different things: conversion rate is the proportion of visitors who complete a purchase, return on ad spend shows how much revenue you earn for each advertising dollar spent, and customer acquisition cost is the cost to acquire a new customer. They don’t directly quantify revenue per transaction.