What is a Behavioural Segment?
To go beyond reporting New and Existing customers, we've developed proprietary algorithms that label your customers based on their Recency, Frequency and Monetary Value characteristics. Considering these concepts, we can further segment your customers and ascertain their position in the customer lifecycle and quantify their lifetime value. Furthermore, we can highlight loyal customers who evangelise your products and those who've slowed or stopped purchasing. Our proprietary algorithm can identify the following shopping characteristics of your customers.
As the name suggests, a Single Buyer has only placed one order and made that order recently. Like the Multi Buyer segment, you should consider these as New to Brand customers actively evaluating your product.
Multi Buyers have typically based two or more purchases and therefore should still consider them New to Brand customers.
Potentially Loyal are your existing customers that are beginning to form a solid affinity for your brand and starting to purchase your products habitually. They have an active recency banding and medium-value customers who become increasingly loyal and valuable with each additional purchase.
Loyal customers habitually purchase your products. As a result, they have an active recency band. However, despite their regular purchase and higher value, they haven't yet placed enough orders to warrant the highest category.
Champion customers are those who are within the active recency banding and placed a large number of orders over their lifetime. In addition, they'll have the highest monetary value.
Your lapsing champions are the highest-value customers who've stopped purchasing and have an inactive recency banding.
Your lapsing customers are those who've stopped purchasing and have an inactive recency banding.
Lastly, your lost champions are those you've stopped purchasing for an extended period with either a lapsing or lost recency banding.
Lastly, your lost customers are those you've stopped purchasing for an extended period with either a lapsing or lost recency banding.