What is Average Revenue Per User (ARPU)? - Social Proofy Marketing 101

Average Revenue Per User is the average amount of revenue each user brings to your business.

When considering Average Revenue Per User in eCommerce, it may seem intuitive to think that if you can increase conversions you will increase total revenue. However, it’s important to keep in mind that not all users buy the same amount of products, but as frequently as others, or spend the same. If your conversion optimization strategy is tailored toward a large number of users but with smaller order values, this could ultimately raise your conversion rates but lower your total revenue.

Any strategy that is aimed at attracting and engaging more high-value buyers will help you increase the Average Revenue Per User.

Turn your Visitors into Customers with Social Proofy

Connect with us 👋