Luxury Lexicon A definition

Average transaction value

Sales value divided by the number of transactions during a period.

Average transaction value measures the monetary size of a completed sale. Divide sales value for a chosen period by the number of transactions in that same period. Sales of 5,000 across 100 transactions give an average of 50 in the currency used. Use a consistent treatment of tax and returns when comparing results. The measure can rise through higher-priced purchases or more items in each sale. Units per transaction measures item quantity, while average transaction value measures money, so the two indicators answer different questions.

In job listings

Birks’s Retail Stores Director role in Toronto named average transaction value among store productivity indicators, alongside conversion rate and units per transaction. This places the measure in a store leadership context, where the value of completed purchases is considered alongside the proportion of visitors who purchase and the number of items per transaction. Search local jobs for “average transaction value”.

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