07-04-2022 09:15 AM
An RFM analysis was built, where data about our clients are arranged in the form of one summary table, where are indicated: RFM client segment, date of his last purchase, number of purchases, and amount spent by this client. To facilitate the work with the report, we can consider this table in the context of the RFM invoice or date we need.
The RF/RM/FM Analysis report was built, in which the number of customers is presented as three matrices RF, RM and FM. So the RM matrix shows customers who bring in the most revenue and vice versa. The RF matrix shows how often customers make purchases in order to identify the most loyal customers. As well as the FM matrix, which allows you to reveal the dependence of the frequency of purchases on the amount spent and vice versa. This report can also be viewed in terms of dates or customer segments.
The report contains generalized metrics about the company's customers, characteristics of RFM segments in terms of the number of customers and turnover in the form of histograms. As well as the distribution of customers by the date of the last purchase in the form of a bar chart. This report can be viewed by date and segments.
The last report related to RFM analysis - "Description of segments", shows information with details about the segments accepted in this RFM analysis in the form of columnar histograms with distribution by different parameters. As well as recommendations for working with these segments.
The dashboard was compiled by Dmitry Budko, a student of St. Petersburg State Technological University, Faculty of Economics and Management, Business Informatics.
As a result of the study of this analysis, you can study the purchasing activity of customers in your database, as well as develop separate communications with each group of contacts, for example:
- customers with declining activity can be encouraged to return by offering them a discount;
- You can send announcements of new products to loyal customers to make them even more interested in your services;
- newcomers can be involved in interaction with your brand;
- customers who have lost interest in your brand can be tried to return by reactivation.