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Analytics:
RFM Analysis
There are many reports that provide useful information about customer activity. Recency, frequency, and monetary RFM statistics are proven indicators of repeat buying patterns. Recency indicates how long since the last purchase. Frequency is the number of transactions that customer has had. Monetary is how much money the person is spending. These data elements can be defined over different time frames, such as year-to-date, lat 12 months, or lifetime.
For below reports are examples of RFM reports. These reports can be developed on all customers, or as part of a response analysis for the last mailing.
| Frequency |
0-1 Mo |
2-3 Mo |
4-6 Mo |
7-12 Mo |
Prior |
Total |
| 0 |
4,333 |
2,687 |
3,367 |
1,515 |
55 |
11,957 |
| 1 |
7,723 |
2,424 |
2,406 |
755 |
155 |
13,463 |
| 2 |
8,442 |
1,712 |
720 |
1,113 |
459 |
12,446 |
| 3 |
9,953 |
5,534 |
1,477 |
1,192 |
888 |
19,044 |
| 4 |
15,154 |
7,255 |
2,832 |
2,850 |
1,335 |
29,426 |
| 5 |
23,122 |
19,199 |
15,155 |
7,844 |
4,455 |
69,775 |
| 6 |
35,688 |
21,081 |
15,702 |
10,504 |
5,678 |
88,653 |
| 7+ |
42,004 |
33,656 |
15,594 |
12,125 |
6,200 |
109,579 |
| Total |
146,419 |
93,548 |
57,253 |
37,898 |
19,225 |
354,343 |
| Monetary |
0-1 Mo |
2-3 Mo |
4-6 Mo |
7-12 Mo |
Prior |
Total |
| $0 |
3,988 |
2,694 |
3,360 |
1,112 |
42 |
11,196 |
| $1-$24 |
6,725 |
2,417 |
2,413 |
855 |
185 |
12,595 |
| $25-$49 |
9,559 |
1,711 |
850 |
1,432 |
632 |
14,184 |
| $50-$74 |
10,054 |
5,535 |
1,347 |
1,503 |
912 |
19,351 |
| $75-$99 |
14,139 |
7,201 |
2,930 |
2,643 |
1,212 |
28,125 |
| $100-$124 |
24,155 |
19,253 |
14,180 |
7,300 |
3,455 |
68,343 |
| $125-$149 |
36,888 |
1,090 |
15,555 |
10,499 |
5,435 |
89,467 |
| $150+ |
40,911 |
33,647 |
16,618 |
12,554 |
7,352 |
111,082 |
| Total |
146,419 |
93,548 |
57,253 |
37,898 |
19,225 |
354,343 |
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