Calculating the Repeat Sales Percentage metric

I've written about how your Repeat Sales Percentage can help you understand how much value new customers add to your store versus repeat customers.

Today I want to show how to calculate it. Don't worry, it's just a simple division problem.

Sales from Repeat Customers
Total Sales

You'll end up with a number from 0 to 1 so move the decimal point over two places and you'll get a percentage. (Or if you use a spreadsheet for the math, just format it as a percentage and it'll do it for you)

Here's an example:

$ 64,000 sales from repeat customers
$200,000 total sales

The result is 0.32. Move the decimal and it's 32%.

For this example, 32% of their sales come from repeat customers.

Not that great to be honest. This store will want to be working with their new customers better to get them to become repeats.

Don't ignore the metric because it's simple. Many other metrics are just as simple but are important for Shopify stores (e.g. AOV, LTV).

The best way to use the Repeat Sales Percentage is to compare it against your marketing and acquisition budgets. Are you spending enough on repeat customers or are new customer acquisition costs overshadowing them?

Repeat Customer Insights adds a few versions of the Repeat Sales Percentage in its analysis. It automatically calculates it for different dates and acquisition sources which can help you refine where and how you use it.

You can signup with a 14-day free trial and the app will automatically import your data and calculate the Repeat Sales Percentage for you.

Eric Davis

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Topics: Ecommerce metrics Metrics Repeat sales percentage

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