RFM is a powerful tool to identify the different groups of customers (from “new” to “big spenders” to “almost lost”) based on their historical purchasing behavior and 3 simple KPI’s: recency, frequency and monetary value. How recently, how often and how much did your customers buy?
Your customers may have several loyalty cards and Bisnode helps you link those to one unique individual. This allows us to attribute them to the right RFM segment.
The RFM tool helps you understand:
• the different types of customer behavior
• the specific characteristics of the different customer groups
• the presence of acquisition, loyalty or retention issues
• the performance of your customer relationship
• where you can improve: acquisition, up-selling, buying frequency, etc.
• the expected total value of your customer by the end of the year
With the insights emerging from the RFM analysis, you have all the ingredients to boost your sales, to attract prospects similar to your best customers, communicate with a tailored message with each customer group, …