Here's one of two queries I like to run to identify customer reactivation / lapsed buyer problems.
Step 1 = Identify all customers who purchased in September 2014.
Step 2 = For all customers who purchased in September 2014, count the number who are not first-time buyers, and who had not purchased in the twelve months from September 2013 - August 2014. This is the number of customers who are "reactivated".
Step 3 = Re-run this query, shifting all dates back exactly one month. Count the number of reactivated buyers.
Step 4 = After running this query, going back in time several years, calculate the difference in the number of reactivated customers, year-over-year. For instance, if there were 900 reactivated customers in September 2014, and there were 1,000 reactivated customers in September 2013, then you have (900 / 1,000) - 1 = -10% change in reactivated buyers.
The image above is what I see, repeated over and over again for catalogers, and for retailers. In the past two years, the sky is falling. In retail, the more we encourage customers to sit at home and use devices, the more we're going to see this outcome. In cataloging, the more we ignore customers under the age of 50 by offering merchandise that appeals to customers over the age of 50, the more we're going to see this problem.
First, run the queries and quantify if you have a problem. Or contact me (firstname.lastname@example.org ... pricing details are found by clicking here) and I'll run this for you. This query yields results, folks, helping explain why lapsed buyers and new buyers are the Story of Fall 2014.
October 27, 2014
Let's pretend you have a traditional apparel business with five categories. Mens Womens Co-Ed Kids Home You run your comp se...
Look at the first four rows of our life table (values of 0/1/2/3). These are the first 12-15 weeks after a customer buys for the firs...
In our simulation, we learn that there are different definitions of Carrying Capacity. If the CFO demands that we maximize profit o...
Just $0.99 folks (click here) . The new Marketing Leader has a short window to make a difference, to set a tone for the upcoming year...