Focusing on your most profitable products is a solid merchandising strategy. Sell more of those products and you’ll get to keep more money than selling other products. One hiccup though is that most profitability measurements only look at a time transaction at a time. They assume all transactions are created equal. You’ll quickly realize that …
Tag: product analysis
Figure out if your store and products are sticky or if they lose customers
Your products and store are sticky if they get customers to buy again quickly. Especially if they are consumable or a customer would use multiples (e.g. socks). A good way to measure stickiness is to look at your Repeat Purchase Rate. That measures what percentage of customers buy again. It’s a simple metric to calculate but …
Second, third, fourth order… product analysis reports now available
There’s been a update to Repeat Customer Insights First Product Report. First off, it’s no longer only the First Product Report. It’s the first ten products. Now the report will let you see how products bought in the 2nd, 3rd, 4th, etc order factor into customer behavior. Lots of stores were wanting to see what …
Deciding when to pull a product
After a few months of fighting a vole, I’ve given up. (A vole is a mouse that lives in tunnels underground, also called a field mouse like in that children’s song) This little pest has been sneaking around eating the bean stalks. It’s killed off a few dozen plants now. Yesterday it took out most …
Deciding when to transition a product out of your Shopify store (and when to keep one)
I just pulled out most of my peas after five months of growth. They produced wonderfully over that time but their production has dropped significantly in the past weeks. Plus I need to make room for the cucumbers. Not every vegetable will produce forever. They all have limits to how long they are worth growing. …
Deciding to close a weak product line based on customer behavior
At some point the time comes to consider closing a weak product line. The best reason is when that product just isn’t creating good orders or customers. It might sell okay but the customers who buy it aren’t coming back and buying again. Before you decide, check on your data. Not just product sales data, …
Average Lifetime Value and Average Order Value analyzed by the first products ordered
The First Product Analysis in Repeat Customer Insights has been expanded to include the Average LTV and Average Order Value for both products and variants. This shows how items in the original order will influence later customer behavior across four factors: Average Order Value – order size Repeat Purchase Rate – likelihood of coming back …
Common customer analysis circumstances Shopify stores run into
Awhile back a Shopify store using Repeat Customer Insights asked me for advice about where to start with the analyses. I wrote them back a few ideas to get them started and planned to come back around to the question in more depth for you. I kept putting it off though because there are so …
Measuring how the products in the first order influence customer repurchases
A Repeat Customer Insights customer was asking about the First Product Analysis and the Repeat Purchase Rate: I’m trying to understand the first product analysis report a bit better. Is repeat purchase rate indicate the repeat purchase rate of that particular item or is it only correlated to any specific user returning? That report looks …
Three product types to focus on for repeat customers
When deciding on which products to promote, you can take on a long-term view by looking at the product’s Repeat Purchase Rates. A product that leads to more repeat orders is more valuable than a product that only one-time customers buy. This value means the products are worth optimizing with improvements. I like to advise …