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.

Modern Love

Champions

Bought recently, buy often and spend the most

Beauty Models

Potential Loyal

Recent customers sent good amount, bought more than once

White Dress

About to Sleep

Below-average recency, frequency, and monetary values

Smiling Fit Model

Hibernating

Low spender, low frequency, and purchased long ago

Fashion Portrait

Promising

Recent shoppers but haven't spent much

Father and Child

New

Bought more recently but not often

Pose Against the Red

At Risk

Spend big money, purchased often but long time age

Fashion Photography

Lost

Lowest recency, frequency and monetary values

Soap Bubble Portrait

Loyal

Spend good money. Responsive to promotions.

Smiling Portrait

Needs Attention

Above-average recency, frequency, and monetary values

Model in Casualwear

Can't Lose Them

Made big purchases and often but long ago

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