What Is Repeat Purchase Rate?

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Sometimes known as repeat-customers/" data-linkstorm-generated-link="66c45c8485d9a1b7ad111eba">repeat customer rate or simply ‘RPR’, repeat purchase rate is a customer retention metric that calculates the ratio of returning customers against your total number of customers. Simply put, it works out what percentage of your overall customers come back to buy from you more than once.

The metric of repeat purchase rate is a way of discovering how good your brand is at enticing customers to return, whether it’s a second-time purchase, a third-time, or preferably more. The higher your repeat purchase rate, the higher number of loyal returning customers you have. It’s definitely a KPI that you need to keep your eye on.

Your repeat purchase rate is different from another similar metric:’purchase frequency. The two metrics are easily mixed up due to them both measuring customer retention. However, they’re best used in conjunction with each other. They work hand in hand to gain valuable insights into how successful your customer retention strategies are.

How Is Repeat Purchase Rate guatemala telegram screenin Calculated?
Well, like a lot of customer retention metrics. It’s pretty simple.

The calculation goes something like this:

Repeat purchase rate

Let’s say, you have over 10,000 customers in one month, 2,500 of which have shopped from you more than once – that means your repeat purchase rate will be 25%. Pretty simple, right?

You can also track your repeat purchase rate over any length of time, whether it’s weekly, monthly, yearly, or longer. That way you can see how your customer retention is improving over time and start to notice certain behavioral trends (for example, your repeat customer rate may rise significantly around Christmas or during summer sales, etc.)