What’s particularly useful about repeat purchase rates is their application to specific demographics. By seeing which types of consumers or companies have the most repeat purchases, you can adjust your target buyer personas accordingly and inform where marketers should step up or focus their efforts.
This is a metric that can be calculated over any timeframe—weekly, monthly, quarterly—and your Customer Success team will still find this data valuable.
For example, in a B2B environment, you might sell a widget that indonesia mobile database is used in the manufacturing process of several different customers who sell several different products. Each customer's need for your product might be different based on their own sales cycle, manufacturing procedures, etc. One new customer might place a large purchase order with you at the beginning of the year, while another might make purchases monthly.
In this sense, RPR should be taken with a small grain of salt. If your customer success team is really on their A-game, they will be benchmarking the purchase frequency of each individual customer in addition to the overall repurchase rate.
Repeat purchase rate formula
Repeat purchase rate = number of returning customers total number of customers
Repeat purchase rate example
Let's say we have 5,000 customers subscribed to our product or service at the beginning of the month. By the end of the month, only 4K of those customers return to our business. In this case, our repeat purchase rate would be 80% 4,000 customers 5,000 customers = 80%.