There are hundreds and thousands of ways to segment your customers.
Today you're going to learn about one of the simpler ones. But don't think because it's simple that it's not powerful.
Go to your Shopify admin panel and visit your Customers section.
Click the Last Order column so it's sorted from newest to oldest.
Look at the 10 customers at the top.
That's it. You've segmented your customers.
This segment is called Recency and represents the customers who have ordered from you the most recent.
It's a simple segment but it's also powerful. Customers who have recently ordered from you:
- have a higher chance of remembering a good experience with you, otherwise they wouldn't have ordered
- have been exposed to your brand and will remember it because it's in their recent memories
- have just completed an order with you so they'll have just gotten closure (which is positively reinforcing)
All of these combined can paint a favorable picture of your brand in their minds.
The one downside of the Recency segment is that you can't market to them with too heavy of buy messages because they just recently bought from you. That's why you need to combine Recency with other segmenting.
Segment your customers automatically with RFM
Segmenting your customers has always been touted as a powerful marketing tool but many stores avoid it because it can be time-consuming.
Repeat Customer Insights will automatically segment your entire customer base for you based on the valuable data Shopify has already collected for you. Ranging from 5 to 30 to over 125+ different segments using RFM and other models, you can pick how much power you want to harness.