What are RF segments and how to use them?
RF segmentation is an effective marketing technique to engage customers. In this approach, all visitors to your online store are divided into several segments based on indicators such as frequency and frequency of orders. For each of these customer groups, it is advisable to develop a separate strategy for interaction and involvement in the buying process.
The basic segments RF
To perform RF analysis manually, the marketer must first divide customers into several groups based on their last purchase and then segment them within each group based on the number of orders. InSend RF automatically performs the segmentation of the customer base by tracking the life cycle of each visitor in real time, updating their current status and dividing them into groups. By default, the system offers 7 such segments with preset settings:
New customers - visitors who have made a purchase in the online store and no more than 40 days have passed since the purchase date. The main task here is to "push" such visitors to make repeat orders and transfer them to the "Promising" and then "Loyal" segment. This can be achieved, for example, by offering the customer customer-related products, individual recommendations and useful content (articles, reviews, training material) in line with their interests.
Promising - this includes customers who have placed a repeat order and no more than 51 days have passed since their last purchase. It is necessary to conduct active and systematic work with this group - conduct marketing campaigns, involve them in various activities and communication with the store, invite them to social networks and events, etc. It is necessary to maintain their interest in the business by offering new products, relevant products and useful and interesting content (articles, videos and news).
Loyal - this is the most valuable group of customers. It includes those who have placed 3 or more orders and no more than 51 days have passed since their last purchase. The main goal of working with this segment is to keep customers as long as possible. When communicating with loyal customers, it is especially important to take care of them, gather feedback and study their needs.
At risk - Loyal customers who have not placed an order in 52-112 days fall into this segment. This behavior may indicate that the customer is slowly losing interest. In this case, you need to make every effort to bring the customer back - for example, with the help of targeted promotions, special offers, discounts and sales.
In the area of loss - this segment includes customers who were once loyal, but have not placed an order for more than 113 days. To win back such customers, it is recommended to find out why they lost interest. You can remind them once again about the benefits of your products and your store and make them a great offer with discounts, promotional codes, a selection of interesting new products, etc.
Drifting - these are the buyers who have placed 1 or 2 orders in the last 40-75 days. To keep these customers engaged, you should develop a plan to capture their interest. For example, you can send out a mailing describing the benefits of the store and a selection of individual product recommendations, or offer installments or a promotional code. You should save the most generous discounts for this group of customers.
Sleeping customers - this is the least valuable customer segment. It includes those who have placed 1 or 2 orders, but their last purchase was more than two and a half months (76 days) ago. However, these customers can still come back to you. How can their interest be rekindled? You can send them an email with a reminder about your store ("We miss you"), offer them favorable discounts on recommended products, send them an interesting article or video review, etc.
Important goals and conclusions
When working with segments of RF, your main task is to increase the group of loyal customers and keep them in that group. When analyzing the results of mailings and other campaigns, the main thing is to pay attention to the fact that the group of loyal customers grows faster than the segments "at risk" and "in the loss zone".
In addition to these RF segments, you can create other segments and use other indicators of prescription and frequency of orders based on the specifics of your online store and product niche. InSend allows you to flexibly segment your customers according to a variety of conditions.