Data Shows Average Order Value Gives Boost to Fashion Retailers in the First Half

BigCommerce’s latest research report on fashion showed gross merchandise value increasing in the first half of the year versus the same period last year. The data, culled from the company’s retail clients, also showed a sharp gain in average order value.

But jittery consumers may have a negative impact on the second half. The report’s author noted that steep discounts are likely, while holiday season sales are still a question mark. Recent consumer surveys back up that perspective.

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A separate consumer survey from KPMG showed that inflation is consumers’ top concern at 82 percent (followed by shipping delays at 50 percent). Due to inflation, shoppers polled said they will be actively researching retailer websites (60 percent, which is up from 52 percent in last year’s report), brand websites (51 percent, up from 38 percent) and social media apps and influencers (30 percent, up from 20 percent).

Those polled said they are more “value-oriented” this year with KPMG’s report showing that 78 percent of shoppers will take advantage of Black Friday sales. Forty-nine percent are expecting more promotions this year and 29 percent are planning to shop the day of Thanksgiving.

For the first half of the year, though, fashion retailers and brands who are BigCommerce customers seemed to fare well. The company said gross merchandise value grew 7.3 percent in the first half compared to last year’s period. By region, GMV jumped 8.1 percent in the Americas while growing 4 percent in the EMEA and 6 percent in APAC.

And the average order value, or AOV, increased by 8.3 percent globally.

The BigCommerce fashion clients who use the company’s “Enterprise” platform saw GMV swelling 10.8 percent in the first half with total orders increasing 3 percent and AOV gaining 7.7 percent year-over-year.

The report also noted that the top three trends driving growth in the fashion sector are “the rise of generative AI capabilities to customize the user experience, an influx of user-generated content to enhance brand loyalty and an increased focus on sustainability are all said to contribute to industry growth.”