Retention Analysis Tips

I see a difference in my 12 months retention rate and 24 months - why is that?

Older cohorts are impacting the retention rate, which means that it taking customers a long time to come back and make another purchase.

To tell more of the story of customers repeat purchasing behavior you look at:

  1. the Repurchase Rate metric, to see how soon customers are coming back a second time.
    Looks like ~XX% of your customers come back by month XX to make a second purchase.

  2. the Customer Returning Rate to see the non-cumulative percentage of customers come back each month: XX% on average come back by month XX to make a second purchase

  3. the Repeat Orders Rate per Cohort to see if a few customers would explain a large amount of repurchase rate: on average XX% orders are coming from your Repurchase Rate