Automated Segmentation using RFM
Recency, Frequency & Monetary (RFM) analysis is a behavior-based technique used to segment customers by examining their transaction history like
-
How recently they've purchased?
-
How often do they purchase from you compared to other businesses or websites that sell similar products/services?
-
And what's the average amount spent per order?
It helps identify customers who may be more susceptible to promotions because of certain traits.

Champions
Bought recently, buy often and spend the most

Potential Loyal
Recent customers sent good amount, bought more than once

About to Sleep
Below-average recency, frequency, and monetary values

Hibernating
Low spender, low frequency, and purchased long ago

Promising
Recent shoppers but haven't spent much

New
Bought more recently but not often

At Risk
Spend big money, purchased often but long time age

Lost
Lowest recency, frequency and monetary values

Loyal
Spend good money. Responsive to promotions.

Needs Attention
Above-average recency, frequency, and monetary values

Can't Lose Them
Made big purchases and often but long ago
Get a Quote
This is a Paragraph. Click on "Edit Text" or double click on the text box to start editing the content.