Purchase and Repurchase Analysis

This guide will help you to understand

  • What a Purchase and Repurchase Analysis is
  • Why you should use it
  • How to create a Purchase and Repurchase Analysis in Exponea

What a Purchase and Repurchase Analysis is

This analysis illustrates the ratio between first-time purchases and repurchases (i.e. purchases made by returning customers). The repurchase rate is a good indicator of customer loyalty which goes hand in hand with the overall perception of your business. The more satisfied your customers are, the higher the chance they will return again and bring you additional revenue. To build a solid base of loyal customers is not easy, but if you succeed, your business will have stable grounds to flourish.

Why you should use it

The Purchase and Repurchase Analysis in conjunction with the cohort analysis provides you with a perfect overview of your customer retention. Although the repurchase rate is a good indicator of your customer loyalty, you should always take into consideration the character of your business. If you are selling hiking boots only, it is probable that you will have a low number of returning customers. In this case, your marketing efforts should be focused rather on the acquisition of new customers than retention.

Insights

Although there is no golden rule on what percentage is good enough, if you are getting at least 20% of your customers to return back, your are on the right track. There are, of course, customers who will never come back, however, if you have a tool with similar capabilities to Exponea, you can easily analyze their journey. This will give you valuable insights on what might have been the reason resulting in churn. For example, you may find that churned customers bought the same product (i.e. there may be something wrong with the product itself).

Advised Solutions

Customer reactivation emails
Incentives for dormant customers/first-time visitors
Web-layers for inactive customers/first-time visitors

How to create a Purchase and Repurchase Analysis in Exponea

Required components
Running aggregates

Open Analysis > Create a new Report using the following steps.

📘

Be aware that at the beginning of the project, it is natural to see an increasing trend in the % of repurchases. This perceived increase may be caused by the fact that historical purchases have not been imported yet.

Updated 3 months ago


Purchase and Repurchase Analysis


Suggested Edits are limited on API Reference Pages

You can only suggest edits to Markdown body content, but not to the API spec.


We rely on cookies

to optimize our communication and to enhance your customer experience. By clicking on the Accept and Close button, you agree to the collection of cookies. You can also adjust your preferences by clicking on Manage Preferences. For more information please see our Privacy policy.

Manage cookies
Accept & close

Cookies preferences

Accept & close
Back