Customer Velocity Map –- [found under Behavior Maps on the Reports tab] Customer velocity is a metric describing whether a customer is accelerating (spending more, buying more broadly) or slowing down. This chart plots the distribution of customers in various velocity segments. Each dot is an identifiable customer. The color of the dot is associated with the customer’s Loyalty Group. Blue dots are customers in the lowest group; dark red dots are for the highest ranking customers.
Customers in the upper right quadrant spent more money (x-axis) and raised their Loyalty Score (y-axis) since the last period. Customers in the lower left quadrant are declining on both of those metrics. Customers in the upper left have growing Loyalty Scores but have spent less since the prior period. It’s likely these customers are making more frequent purchases at smaller dollar amounts. Customers in the lower right are spending more, but buying less often.
Lower ranking customers (dark blue and light blue) with sharply increasing Loyalty Scores (on or near the positive y-axis) are likely promising, newer customers. Loyalty Score will jump more rapidly for newer customers than for more established ones.
You can understand the overall performance of your customer population by examining the distribution of customers into the four quadrants. You can identify groups of customers for special treatment by examining groups of customers within a particular quadrant. |
Median Revenue by LRank – [found under Standard Reports on the Reports tab] This chart shows you how much revenue is coming from a typical customer in each of the Loyalty Score deciles. Just saying the obvious, that higher scoring customers spend more, ignores the purpose of this chart, which is to size the revenue opportunity from mid-ranked customers.
The more the curve looks like a hockey stick, the larger the revenue contribution of the topmost customers. Since total revenue is proportional to the area under the curve, a hockey stick shape is not good. Maximum total revenue will come when the median revenue for customers with LRank between 40 and 80 is highest. |
Number of Active Customer Purchasers – [see Customer Activity Level under Executive Overview on the Reports tab] How many of your customers are making one or more purchases each period? This chart shows you the trend over time. Since total revenue is usually closely tied to the number of customers purchasing in any given time period, any non-seasonal downward trend should be immediately addressed. Use this chart to assess your marketing penetration.
Quarterly Revenue by decile – This table shows you how much revenue came from each Loyalty Decile in the most recent period, as well as the number and percent of customers purchasing in each decile. Use this table in combination with the Median revenue by LRank chart to plan where to focus your marketing resources. |