Ecommerce Benchmarks: Conversion, AOV, and CAC by Vertical

Every ecommerce founder wonders the same thing at some point: “Are my numbers good?” You might see daily orders coming in and steady traffic from ads, but without industry benchmarks, it’s hard to know whether you’re performing well — or leaving serious money on the table.

Benchmarks help put your Shopify metrics in context. They show what “good” looks like, what “great” looks like, and where you might be falling behind. In this article, we’ll break down three key performance indicators (KPIs) across major ecommerce verticals — conversion rate (CR), average order value (AOV), and customer acquisition cost (CAC) — based on 2025 data trends and platform insights.

Why Benchmarks Matter More Than Averages

Before we dive into numbers, let’s clarify what benchmarks actually represent. They’re not universal rules — they’re reference points for understanding performance within your niche.

A 2% conversion rate for luxury jewelry might be outstanding, while the same rate for fast-moving consumer goods could mean serious friction. Similarly, a $120 AOV in apparel may sound high until you realize average basket sizes vary widely between impulse buys and premium collections.

Benchmarks don’t exist to make you feel good or bad about your numbers — they exist to help you ask better questions. For example:

• Is my AOV low because of pricing, product mix, or lack of bundling?

• Is my conversion rate low because of user experience or targeting?

• Is my CAC high because of ad inefficiency or customer churn?

Understanding where you stand is the first step toward strategic improvement.

Conversion Rate (CR) Benchmarks by Vertical

Conversion rate is the percentage of visitors who complete a purchase. It’s the purest measure of how well your store turns interest into action.

Across Shopify and other ecommerce platforms, the global median CR in 2025 sits around 2.3%, but that average hides wide variation by industry.

Observations

• High-consideration products (like jewelry or electronics) tend to have lower CRs because customers compare and research before buying.

• Repeat-purchase categories (like beauty, food, or pet care) enjoy higher CRs thanks to habit and brand familiarity.

• UX optimization — especially mobile performance and checkout design — can often double CR without changing traffic sources.

Average Order Value (AOV) Benchmarks by Vertical

AOV measures the average dollar amount spent per transaction. It’s heavily influenced by product pricing, upselling, and bundling strategies.

The 2025 cross-industry median AOV is $84, but again, context is everything.

Observations

• Stores that promote bundles or thresholds for free shipping typically see a 10–25% lift in AOV.

• Subscriptions in consumable categories (beauty, pet, food) drive steady repeat value.

• Premium segments (electronics, jewelry) often rely on trust and financing options to increase purchase size.

If your AOV lags behind your industry median, experiment with bundle recommendations or free shipping thresholds just above your current AOV.

Customer Acquisition Cost (CAC) Benchmarks by Vertical

CAC measures how much it costs to acquire a new customer — typically including ad spend, agency fees, and content production. It’s arguably the most important metric for profitability.

Median CACs vary significantly by industry, reflecting both ad competition and purchase frequency.

Observations

• CAC has increased 15–20% YoY across most sectors due to higher ad costs.

• Channels like UGC (user-generated content), SEO, and email remain the most cost-effective acquisition levers.

• The most profitable stores aren’t those with the lowest CAC — they’re the ones with the best ratio of AOV + LTV to CAC.

Benchmark Ratios That Actually Matter

Instead of treating CR, AOV, and CAC as isolated numbers, evaluate how they work together.

1. CAC Payback Period:
How long it takes to recover acquisition cost. For sustainable growth, aim for payback within 3 orders or 90 days.

2. LTV:CAC Ratio:
Lifetime value (LTV) divided by CAC. A healthy benchmark is 3:1 or higher — meaning you earn three times more from a customer than you spent acquiring them.

3. AOV:CAC Ratio:
For first-time buyers, aim for AOV at least 1.5x your CAC. Otherwise, you’re paying too much to acquire low-value customers.

Example:
If CAC = $30 and AOV = $45, your ratio is 1.5 — decent, but improving post-purchase retention can push profitability higher.

Benchmarks Are Averages — Your Story Is Unique

While benchmarks help you compare, they don’t tell your full story. A beauty brand with a 2.5% CR might outperform peers if it builds repeat purchase habits. A furniture store with a 1% CR might still be more profitable thanks to $800 AOV.

Focus on trends over time rather than static targets. Are you improving quarter to quarter? Are key ratios moving in the right direction? Benchmarks guide you, but context defines success.

How to Use Benchmarks to Improve Your Shopify Store

1. Audit your baseline metrics.
   Pull 90-day data from Shopify Analytics: CR, AOV, CAC (via ad dashboards). Compare with relevant verticals above.

2. Set realistic improvement goals.
   For example: increase CR by 0.5 points, raise AOV by 10%, or reduce CAC by 15%.

3. Identify leverage points.

   • Low CR? Audit mobile UX, site speed, and checkout friction.

   • Low AOV? Introduce bundles, loyalty tiers, or dynamic upsells.

   • High CAC? Strengthen organic acquisition and referrals.

4. Experiment, measure, repeat.
   Small changes — like simplifying navigation or rewriting ad copy — compound over time.

Benchmarks are not ceilings; they’re mirrors. They show where your current strategy shines and where inefficiencies hide.

The 2025 Outlook: Leaner, Smarter, More Sustainable

Ecommerce in 2025 is less about explosive growth and more about sustainable performance. Rising ad costs mean brands must extract more value from existing customers through retention and upselling.

Across Shopify stores, the most successful operators share three characteristics:

• They know their numbers deeply and act on data.

• They prioritize experience over discounting.

• They optimize continuously rather than reactively.

The first $100,000 or even $1 million in revenue can come from hustle and creativity. But long-term growth comes from understanding your benchmarks and improving the levers that truly move profit — conversion, AOV, and CAC.

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