Excel AVERAGE formula

Average a range, average only the rows that match a condition, and handle the blanks-versus-zeros problem that quietly changes the answer.

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The formula
=AVERAGE(C2:C500)

Click the cell where you want the average, type that, and press Enter. It skips blank cells but counts zeros, and that difference changes the answer more often than people expect.

How to do it
  1. 1Click the cell where the average should appear.
  2. 2Type =AVERAGE( and drag over the range.
  3. 3Close the bracket and press Enter.
  4. 4To ignore zeros as well as blanks, use =AVERAGEIF(C2:C500, "<>0").
Conditional average=AVERAGEIF(A2:A500, "North", C2:C500)
Plain average=AVERAGE(C2:C500)
Ignore zeros as well as blanks=AVERAGEIF(C2:C500, "<>0")AVERAGE already skips blanks but counts zeros, and the two give very different answers on sparse data.
Median instead=MEDIAN(C2:C500)Use it when a few large values would drag the mean somewhere unrepresentative.
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How this is calculated

AVERAGE(range) totals the numbers and divides by how many there are, skipping blanks and text but counting zeros. AVERAGEIF(criteria range, criteria, average range) averages only matching rows. The blank-versus-zero distinction is where most surprising averages come from.

Frequently asked
Does AVERAGE include blank cells?

No, blanks are skipped entirely. Zeros, however, are counted, so a column where missing data was entered as 0 will average lower than one where it was left empty. Same data, different answer, and nothing warns you.

Why is my average #DIV/0!?

Nothing in the range is a number. Either the range is empty, or the values are numbers stored as text. AVERAGEIF returns the same error when no rows match the criteria.

Average or median?

Median when the distribution is skewed. One enormous project in a list of small ones pulls the mean somewhere no actual project sits, which is why average deal size and typical deal size are often very different numbers.

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