Use recency, frequency, and monetary value to choose appropriate lifecycle marketing actions.
segment-buckets score-chip-row action-map A marketer is about to send one winback discount to every customer, despite large differences in recency, frequency, and value. RFM = Recency, Frequency, Monetary value translated into lifecycle action. The common trap is treating RFM as a dashboard label instead of a decision rule for message, offer, and suppression. Recency Score customers by how recently they purchased: yesterday, 35 days, 120 days, or 700 days. Recency indicates current relationship temperature. A buyer from yesterday should not receive the same winback pressure as a buyer from last year. Frequency Count purchase frequency in a relevant window: one…
Sign up free — one personalized lesson every day, matched to your role and goals.
Already have an account? Sign in