Our Insights app will provide you with key data on your most loyal customers, those customers you are at risk of losing and those you need to win back.
SuccessTip: Export data under each section to create targeted campaigns - send a gift to your most loyal customers, give an extra discount to customers at risk and a reminder about your existence to customers you want to win back!
Your loyalty program will need to be running for a couple of months before you see any data here to give us time to collate accurate data.
All of the calculations revolve around the notion of a loyal customer.
First, we get fetch all of your orders and customers that placed them. That includes those that are either open or closed, but we exclude cancelled orders.
To get your loyal customers we first divide them up into quintiles (splits of 20% by a particular property) by frequency (total number of purchases a customer has made) and recency (time since the last order a customer has placed). This allows us to place the customers on a 5 × 5 grid and to split them up into groups.
The ones we are most interested in are the following:
- Loyal customers: these are your most valued customers, we define these as ones that have made at least two orders (they have returned to your store) and are in the top quintiles by recency and frequency - the people that purchase the most often and have not forgotten about your shop. Make sure to maintain a good relationship with them to keep them coming back!
- At risk customers: these are the customers in the third and fourth quintiles by recency. These are the customers that haven’t defected yet, but you are running into risk of them forgetting about your store. Make sure you contact them and bring them back to your store
- Win back: these are the customers in the lowest quintile by recency. They have most likely stopped buying from your store and taken their business elsewhere. You can still try to bring them back, however, a well timed promotion or a solid loyalty program will help you recover their custom