How to use rfm data for identify your best customers

Quantity or Quality?

Imagine placing an ad in a newspaper or online of your most ideal customer. What would it look like? Would their proximity be 30 miles from your retail location? Would they have spent over $1000 last year? Or perhaps they are majority women, ages 25-45. Every company has their “best customers.” The customers that are loyal to your brand or retail store, that spend the most and frequent your store often. It’s extremely important to know who these people are because they are what’s keeping your business running! Roughly 80% of your revenue comes from only 20% of your customers. Thus, paying close attention to this unique set of customers is critical for your business to thrive. It takes quantity and quality to make a loyal customer.