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Amanat Prakash

Building xces • 6m

AOV vs. ARPO: What’s the Difference? AOV (Average Order Value): Total money spent by the customer per order. Includes discounts, delivery, packaging fees, etc. ARPO (Average Revenue Per Order): Total revenue earned by the platform or business per order. Excludes external costs, focuses on actual earnings. Why AOV ≠ ARPO: Because AOV = Customer’s spend and ARPO = Your actual revenue They look similar—but tell very different stories.

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Amanat Prakash

Building xces • 6m

day 3 Business Terms What is ARPO? ARPO (Average Revenue Per Order) tells you how much revenue your business makes per order on average. Formula: ARPO = Total Revenue ÷ Total Orders Example: If you made ₹5,00,000 from 10,000 orders, ARPO = ₹50/or

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