Priority: 🔥🔥🔥 | Difficulty: 💪
What’s better than a discount? Free stuff.
Everyone loves a freebie, and when it’s cleverly tied to spending a little extra, you’ve got a recipe for a boost in average order value (AOV) without slashing your profits.
This strategy is relatively easy to set up and incredibly effective, but the key lies in choosing the right product to give away.
Done right, it can deliver a big return on investment by boosting conversion rates, AOV and profit.
Why Free Beats Discounts
While discounts reduce the amount spent, a free gift adds perceived value to the purchase, making the customer feel like they're getting an exclusive bonus. It’s a small psychological shift, but it makes all the difference in how your offer is received.
Offering a free item when they spend just over your target AOV not only creates excitement, but also encourages higher spending without hurting your margins.
How to Do It Right
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Set the Right Threshold
Your free gift should kick in just above your current AOV. If your average customer spends ÂŁ40, set the target at ÂŁ50. This makes it feel achievable while still nudging customers to spend more. -
Choose a Low-Cost, High-Perceived-Value Item
The free item needs to look irresistible without costing you too much. Think along the lines of:- A branded tote bag or reusable water bottle.
- A mini version of a best-seller.
- Seasonal or exclusive products that create urgency.
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Create Clear and Enticing Messaging
Spell it out for them:“Spend £50 and get a free deluxe sample!”
Make it visually appealing on your website and in cart pop-ups. Don’t forget to highlight the value of the freebie:
“Yours free—a £12 value!” -
Test, Test, Test
Play around with different thresholds and gifts to see what resonates best. What gets customers over the line might surprise you.
Why This Works So Well
Free items tap into the reciprocity effect. Customers feel like they’re getting a reward for spending more, and that positive experience builds loyalty. Plus, it feels special, it’s not just a deal, it’s a thank-you.
How To Do It
We love this app for all sorts of custom deals and discounts - it's a no code, simple to use app that puts offers in the right place on your store.
Final Thoughts
This strategy is a win-win: customers leave happy with their freebie, and you walk away with a higher AOV without gutting your margins. Give it a shot, but remember—test to see what resonates best with your audience.
Ready to add a little extra to your AOV? Let your customers know they’re just a few pounds away from a gift they’ll love.
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This is just one of the strategies in the Double Your Profit in 90 Days Cheat-Sheet. If you haven’t grabbed your copy yet, download it now to get even more actionable tactics to boost your profits.