Increasing the average order value is one of the most effective ways to increase revenue from your ecommerce store. Average order value (AOV) is the average dollar amount a customer spends each time they order on your Shopify store.
As a Shopify merchant, offering custom pricing through a calculator allows your customers to add exactly what they want – extra features, premium materials, or specific dimensions – which naturally leads to higher order values compared to fixed-price products.
When customers can see prices updated in real-time as they customize their products, they feel more confident in their purchase and are willing to spend more because they’re getting exactly what they need.
Plus, instead of spending time emailing quotes back and forth through email with customers, they can see all pricing options right away directly on the product pages, leading to increased product variation sales and boosting your average order value. This cuts down on time while increasing conversions with your business.
Let’s check out the details on how to implement custom pricing to boost your AOV.
Less back-and-forth, more sales
Forget about the old days of custom orders where customers would message asking for a quote; the store owner would have to calculate it, email them back manually, they’d ask about different options, and this could go on for days.
Not only was this time-consuming, but you’d lose potential customers in the process.
With real-time custom pricing calculators, customers can explore all their options instantly. No waiting, no frustration – just smooth sailing to checkout with the exact product they had in mind.
Customers spend more when they're in control
About 61% of consumers expect companies to provide personalized experiences. When businesses effectively implement personalization strategies (like custom pricing), they can generate up to 40% more revenue compared to those who don’t. That’s a significant boost to your bottom line!
Getting exactly what they want, customers are willing to spend more. Plus, when they can see prices update in real-time as they make their selections, the sale is never closer to you.
They can see exactly what they’re getting for their money and make active choices about what features matter most to them.
Premium options become more appealing
Think about a basic t-shirt sitting on a shelf – it might sell for $5. But here’s where custom pricing becomes powerful: when you let customers personalize that same shirt by choosing their perfect collar style, picking unique sleeve lengths, selecting specific colors, and adding their design.
That $5 shirt can suddenly command prices up to $80. Why? Because you’re not just selling a shirt anymore – you’re selling a personalized experience.
This pricing power comes from transforming everyday items into one-of-a-kind products for which customers value more and are willing to pay premium prices. The beauty is that with a custom price calculator, you can instantly show customers how each customization choice affects the price, and leverage the potential for higher profit margins.
Brand advocates and word of mouth
According to the Deloitte study, companies with more mature personalization programs were 71% more likely to report improved customer loyalty.
When customers can customize products to their exact specifications, they feel understood and valued by your brand. This connection can lead to stronger loyalty and priceless word of mouth.
Customers with such experience are likely to come back for more, and convert into brand advocates who enthusiastically share their positive experiences with others.
Get your competitive advantage
Standing out from competitors selling similar products can be really difficult. It is a never-ending fight for customers and an endless definition of unique selling propositions.
But, by offering customization options, you transform basic products into unique items that customers can’t easily find elsewhere – like turning a simple notebook into a personalized masterpiece with custom binding, page formats, and monogram options.
This ability to personalize gives your store a clear competitive advantage since customers aren’t just buying another off-the-shelf product.
Biggest advantage is transparency
One of the biggest advantages of custom pricing is transparency. When customers can see exactly how their choices affect the final price, they trust your business more, and are willing to spend fearlessly of what the pricing outcome can be. There are no surprise costs at checkout, no hidden fees – just clear, upfront pricing.
Say goodbye to dead stock
Think about sitting on piles of unsold purple baseball caps because they didn’t sell or they ran out of style – that’s money collecting dust in your warehouse. And let’s not start with how expensive managing inventory can be.
With custom products and pricing, you flip this headache on its head: you only make what customers want when they want it.
Teaming up with print-on-demand partners means you can offer tons of cool products without ever touching inventory or worrying about storage costs. This can allow you to expand your product line, create new merchandise, or target a new audience.
Keep up with trends with custom pricing
With custom products, you can ride the wave of what’s buzzing right now – whether it’s the latest TikTok trend or that viral moment everyone’s talking about.
When you spot something catching fire on social media, you can have products ready to sell in minutes, not months.
This agility means you’re always selling what people want right now – and customers are willing to pay more for products that feel fresh and personalized to their tastes.
Effects on your business
Many Shopify merchants have found that adding a custom price calculator to their product pages has directly increased their AOV. For example, businesses selling custom-sized products like wallpaper, furniture, or fabrics have seen customers confidently ordering larger quantities or choosing better materials when they can instantly calculate their costs.
By implementing custom pricing on your Shopify store, you’re not only making life easier for your customers, but you’re also setting up your business for higher sales and better customer satisfaction.
Take your AOV to new heights with Custom Price Calculator
On your path to increase AOV you need a strong ally. Custom Price Calculator provides the tools brands need to boost the average order value of products in their catalogs. With a best-in-class price calculator app, merchants can access several pre-made tutorials to make instant sales that can lead to increased AOV.
And the best thing, implementing custom pricing doesn’t require coding knowledge. The app will set up drag-and-drop pricing formulas, offer multiple input options, update prices automatically in the cart, and more.
Want to boost your AOV? Start by giving your customers the power to customize their orders with real-time pricing. Install today on Shopify.