How Rebuy Rates Are Impacted By Price

Look at annual rebuy rates by items purchased last year and average price per item purchased.

As prices increase, the probability of repurchase decreases, albeit marginally.

As the number of items purchased increase, the probability of repurchase increases.

Look at some of the key relationships.

• 1 item at $100 = 14.8% rebuy rate.
• 2 items at $50 = 17.7% rebuy rate.
• 4 items at $25 = 22.1% rebuy rate.

This is a repeated theme across project work. If you have a choice, you want a customer to buy four low-priced items instead of one high-price item. This gives you file momentum, it helps grow your customer file over time (which protects the health of your business).