Repurchase Rate Report Walkthrough

The Repurchase Rate Report helps you understand how many new and active customers make another purchase so that you can analyze and compare the repurchasing behavior of cohorts.

💡 Tip: Repurchase rates are a key performance indicator for many D2C brands as with increased competition, customers are unlikely to be profitable on their very first purchase.

Reading the Report

This report is divided into two sections:

• The first section at the top shows repurchase behavior for newly acquired customers.
• The section at the bottom displays performance for existing customers who make an additional purchase during a particular time period, such as a month.

💡 Tip: Focusing on repeat customers is useful because those who make at least one additional purchase are more likely to order again in the future and provide more value to your business.

• The top row of cards show the average % of customers who make a second order in key periods, such as 30, 90, 180 and 365 days after their first order. These rates are limited to the data collected on your report. For example, if the date range selected is less than 180 days, only the 30 and 90 day averages will show.
• The x axis shows new customer cohorts by first order month.
• The y axis shows what % of new customers in each cohort made an additional purchase, within each key timeframe: 30 days (purple), 90 days (blue), 180 days (green), and 365 days (orange).

Returning customer repurchase rate % Report

• Compared to the New customer repurchase rate % in the first report at the top, the Returning customer repurchase rate % report at the bottom shows the number of customers an additional purchase, including 2nd, 3rd or further purchases.

💡 Tip: You can toggle each time frame from showing by clicking their labels above the graph body.

Filtering Your Report

General Filters

To filter your report:

1. Click the Filters button on the top right.
2. Choose a variable from the list of drop-down menus.
3. Enter a value into one of the filters.
4. Click the blue Apply Filters button at the bottom of the panel.

For example, you can use filtering to see your customer LTV from a particular marketing channel or by product category.

Currently, the following filters are available:

• Marketing channel. These are the groups of different traffic sources by category, for example Facebook or Instagram. Lifetimely’s definitions are slightly different to those in Google Analytics, and you can see them here.
• Tags. Customer or Order tags
• Source/medium by first and last touch. A marketing source is a specific location a visitor came from, such as a particular website or Facebook. A medium is the type of source, such as social, search, referral, email, or other.
• Products
• Channels. Sales channels are the different ways you sell, such as Point of Sale in-store or online.
• Other. Countries, States, Discount code, Order value or Discount code %
• Discount codes
• Surveys (only available with the Upsell integration. Use post-purchase survey responses as a filter and segment customers)
• Saved cohorts

🔔 Don’t Forget: If you select a ‘first touch’ or ‘last touch’ channel, your report will limit the data shown to only those customers whose first or last touch marketing activity was a particular channel or source/medium.

Change The Time Period

Use the time frame selector in the upper left-hand corner to set the dates that should be covered by your report.

Industry Benchmarks

Looking at the report, many brands wonder about their performance compared to others in their industry. While every brand and industry is different, we suggest the following benchmarks:

• Consumable products. Typically we find that the usual new customer repurchase rate is within 20-25% within the 90-day window. High performing brands reach around 30% within the 90-day window.
• Non-consumable products. Industries and brands vary, however, we find that a usual 90-day new customer repurchase rate is within 10-15%. High performing brands reach around 20%.

New customer repurchase rates tend to go down as you scale your marketing. Brands acquiring over 1000 new customers per month, with above 25% 90-day repurchase rates are considered exceptional.

How to Use the Data

Use your repurchasing report to keep track of how your repurchase rate changes over time. Here's what to keep an eye on:

• Declining trend?
  
  • Check your lifecycle marketing and win-back campaigns.
  • Review changes to your product, shipping, payment, or return policies that might affect repurchases.
• New brand without much data?
  
  • Focus on your 90-day new customer repurchase rate as a key metric
    • Most second orders for consumable products happen within this timeframe and this time period also supports your cashflow for increasing your CAC budgets
    • For non-consumable products, the 90-day window helps track how well your post-purchase emails and cross-selling efforts work.
• Seeing steady growth?
  
  • Use filters like marketing source/mediums or specific products to see what's driving the higher repurchase rates and fine-tune your approach.

  Tracking these trends can help you spot opportunities or issues early and optimise your strategy.