Identify your most valuable customers

Identify your most valuable customers

Hop Designer

Shubham Kaushal

Category

Customer, Revenue

This report focuses on identifying the most valuable customers in your store during a specified time using the RFM framework. RFM analysis is a customer segmentation technique that evaluates customer engagement and contribution to revenue based on three dimensions: Recency, Frequency, and Monetary Value.

R - Recency indicates how recently a customer has purchased a product.

F - Frequency measures how often a customer makes purchases.

M - Monetary value assesses the total value of a customer's transactions over a specific period.

Customers are ranked on a scale of 1-5 for each dimension, and their scores are then aggregated to calculate the "Total score". A higher score indicates a more valuable customer, while a lower score indicates the opposite.

Integration(s)

How to use this Hop.

Simply create an Airboxr account and connect your Shopify store to automatically run this export/analysis for your store. If you already have an account, click on the Add to my Collection button above.

  1. Customer Segmentation: Utilizing the RFM framework, the report enables e-commerce stores to segment customers based on their Recency, Frequency, and Monetary Value scores. This segmentation categorizes customers into distinct groups, such as high-value, medium-value, and low-value segments. Each segment represents a different level of engagement and contribution to revenue. High-value customer segments can be the focus of targeted marketing and personalized engagement strategies. Similarly, low and medium-value segments can be targeted in order to encourage sales and increase customer retention.

In This Report

Metrics

  • Number of Purchases

  • Total Sales

  • Recency Score (R)

  • Frequency Score (F)

  • Monetary Score (M)

  • Total score

Additional parameters

  • Email

  • Phone

  • Last Purchase Date

See also:

Buyers by SKU

Try this report for your own store.

Connect your Shopify store and automate this report. You will never have to manually work with data again.