Repeat customer

Repeat customer

E-commerce

A customer who has bought from you at least twice.

What is Repeat customer?

Repeat customers are the core of a healthy store. They cost less to sell to, they often spend more per order over time and they are more likely to recommend you. Repeat customer rate shows the share of your customers who came back. It is usually measured over a set period, like the last 12 months. The second purchase is often the hardest to win, so many brands focus their post-purchase emails, offers and subscription invitations on getting that next order.

Formula

Repeat customer rate = Customers with 2+ orders ÷ Total customers × 100

Example

For example, a store had 5,000 customers in the last 12 months, and 1,400 of them ordered at least twice. Its repeat customer rate is 1,400 ÷ 5,000 = 28%.

Why Repeat customer Matters

Growing repeat customers raises lifetime value without raising ad spend, which makes every new customer more profitable.

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