Repeat Purchase Rate
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Category:  
Operational

Measures the percentage of customers who make additional purchases after their initial transaction.

What it Measures ?

How many customers buy again.

Relevant StakeHolders 

Customer Success, Sales Strategy

In-depth Use Case / Real-world Example

Repeat Purchase Rate reflects customer loyalty and satisfaction. For example, if 200 customers place a second order out of 1,000 initial customers, the repeat purchase rate is 20%. A higher repeat purchase rate indicates that customers are satisfied with the product and the overall sales experience, which is critical for long-term growth. In manufacturing, where products may have higher value or longer life cycles, repeat purchases can significantly contribute to revenue. This KPI helps sales teams prioritize relationship-building efforts and customer retention strategies.

KPI Definition

Business Value

Movement Direction

Sample Formula

(Repeat Orders / Total Orders) * 100

Should Aim For
1
2
3
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