If there is negative news, there's likely to be positive news somewhere else.
Here is a category that grew from $13.0 million three years ago to $18.7 million last year. This category is on the move!!
Existing Category Buyers:
- Rebuy Rates improved from 21.9% three years ago to 23.2% today.
- Spend per Repurchaser improved from $107.58 to $134.70 in three years.
Existing 12-Month Buyers, No Category Activity Past Year:
- Rebuy Rates improved from 7.0% three years ago to 7.6% today.
- Spend per Repurchaser improved from $90.16 to $110.92 in three years.
New/Reactivated Buyer Counts and Spend:
- Counts improved from 52,895 three years ago to 64,626 today.
- Spend per Repurchaser improved from $86.06 to $108.60 in three years.
Existing buyer rebuy rates are up 6% ... twelve-month buyers with no twelve-month category buying activity are up 9%, and new/reactivated buyer counts are up 22%.
Not only is this category having healthy gains ... but it is having healthy gains among the least-engaged customer segments.
This is what success looks like!
And among existing category buyers, share of spend within the category has increased from 8.8% to 10.9% in three years.
And that's where the story turns.
Look at what happened in the past year for prior category buyers in all other categories:
- Rebuy rates dropped from 59.8% to 56.5%.
- Spend per repurchaser decreased from $276 to $255.
So the category is thriving, but customers buying from the category are walking away from the rest of the brand. This isn't always the case, but is a bad sign for the rest of the brand.
Customers exhibit interesting behavior. They can love one category but be turned off by the rest of the brand. Make sure you figure out what is driving customer behavior and act upon it, ok?