The Repeat Purchase Rate (RPR) measures the percentage of customers who have placed two or more orders at your store. It can be understood as the likelihood of a customer making another purchase.
It is expressed as a percentage from 0% to 100%. 0% means no customer will buy again while 100% means every customer will buy again.
Repeat Purchase Rate can be calculated for your store as a whole or for various customer segments. Comparing the overall rate to the rate for each segment can be a way to identify different levels of customer loyalty in the segments.
Improving your Repeat Purchase Rate can be difficult but it can also have a major impact on total sales and profit. That's because each customer who buys again has a chance to buy another time (and another and another and so on).
Eric Davis
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