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Book Overview & Buying
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Table Of Contents
osCommerce Webmaster's Guide to Selling Online
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Increasing the values of online orders automatically increases the turnover of an online store, because the number of customers remains the same but the average order amount increases. Profit figures also increase, though the profitability of the business may drop, and the margin the online store makes on orders with increased value may drop because incentive discounts are often offered to customers to make them buy more.
But increasing order values doesn't necessarily have to negatively affect the margins at the same time. Because the value of the order can be increased not only by providing discounts to customers who buy many products simultaneously, but also by making the customers aware of related products that are likely to be of interest to them, or by selling extra services to customers. Then, the margin that the online store makes on an average order doesn't have to change as customers will be just buying more products and services at regular prices...
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