Repeat purchase rate

Repeat purchase rate is the share of customers buying again within a defined observation window: customers with more than one purchase divided by all customers in the chosen customer group, expressed as a percentage.[2] As an operational cohort variant for a store, you could define it as customers making a subsequent purchase within the follow-up period divided by all first-time buyers in the same starting cohort. Repeat buying relates to the frequency component of RFM, which measures how often a customer purchases.[1] This percentage is nevertheless different from average orders per customer.

Another operational choice is to count the share of buyers placing multiple orders within one calendar period, so always state which version and observation window are used. Allow young cohorts sufficient and equal follow-up before comparing acquisition campaigns. Consider the product cycle too: an absent repeat order means something different for consumables than for a durable product expected to last for years.