Customer retention
Customer surveys
Customer surveys are short questions to customers about their experience (why they bought, what they couldn't find, how delivery went) that give a store what numbers don't show: reasons. Analytics shows where people stop, a survey helps you understand why.
RFM analysis
RFM analysis is a way to segment customers by three attributes: how recently they last bought (Recency), how often they buy (Frequency) and how much they spend (Monetary). It shows who to write to first and who has, it seems, already been lost.
Customer churn
Customer churn rate is the share of customers who left a group over a given period. The opposite measure is retention.
Customer service and replies to shoppers
An online store's customer service is everything that happens between a shopper's question and its resolution: answers before purchase, order status, changes, returns, complaints. It is part of the product: a shopper judges a store by how their issue was…
NPS and CSAT
NPS (Net Promoter Score) is a loyalty index: buyers are asked how likely they are to recommend the store on a scale from 0 to 10, and the share of critics is subtracted from the share of promoters. CSAT (Customer Satisfaction Score) is a rating of…
Loyalty program
A loyalty program is a system in which a store rewards shoppers for repeat purchases: points, cashback, personal discounts, private sales, early access. The goal is for people to come back more often and buy more. Simply joining a program doesn't make a…
Repeat purchase rate
Repeat purchase rate is the share of customers who made more than one purchase in a chosen period. It shows how well a store brings buyers back.
Subscriptions in e-commerce
An e-commerce subscription is a model in which a customer agrees to receive a product regularly (every month, every few weeks) or to pay for access, and by agreement payment is charged automatically each time. The main types are replenishment of consumables…
Customer retention (retention rate)
Customer retention is a company's ability to keep its customers over a given period. Retention rate is the share of customers who stayed.
Cohort analysis
Cohort analysis splits customers into groups (cohorts) by a shared trait, for example the month of their first purchase, and compares how they behave over time. It shows what the overall average hides.