More powerful customer grading algorithm to better understand your customer behavior

After months of planning and development, I’m happy to announce that Repeat Customer Insights had a major update to its customer grading.

The new version of the customer grading still uses the simple letter grades (A, B, C, D, F) but now the grading algorithm takes into account more factors.

It’s based on RFM which is a proven segmenting method that uses how recent, how many, and how much your customers have ordered.

The new grading starts with those factors, adds some for how ecommerce customers behave, and runs all of that data through an algorithm to grade each customer.

The nice thing about this new method is how robust it is. It’ll work as well on a store with 500 customers as one with 500,000 customers. It takes advantage of RFM’s self-adjusting levels so the grades will constantly change over-time as customers take action (or fail to take action).

The new grading is already out and applied to your store if you’re a Repeat Customer Insights customer. You don’t have to do anything to turn it on, just start using the customer grades that are in the app and data export.

If you aren’t a customer yet and want help segmenting your customers, install the app and select any account level. They all come with RFM and this customer grading feature.

Eric Davis

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