What Is an Affiliate Model?

Among the many customer relationship management analysis models, the RFM model is widely mentioned. The most recent consumption (Recency), consumption frequency (Frequency), and consumption amount (Monetary) are important indicators to measure customer value. The model is naturally integrated into the statistical analysis of the member system, so that merchants can see the value of customers at a glance without having to do more analysis and research.

Member system RFM data analysis model

Right!
In many
The RFM model is a member consumption behavior analysis model in the field of membership management, where R recency represents the most recent purchase time, which refers to the time interval between the last purchase and the present; F frequency (Frequency) represents the purchase frequency, which Is the number of purchases in a certain period; M quota (Monetary) represents the total purchase amount, which refers to the amount of goods purchased in a certain period. [1]
In the statistical analysis of the member system, the member RFM analysis, the consumption records filtered by the advanced filter, and the statistical analysis of the member consumption records, to obtain the proximity (R), frequency (F), quota (M), proximity difference (Closeness minus average closeness), frequency difference (frequency minus average frequency), quota difference (credit minus average quota). Analyze these data to understand the members' consumption, consumption frequency, and consumption amount to get consumer value.
Three conclusions are obtained through analysis:
1. The greater the proximity difference is, the longer the member has nt spent time, the lower the member s activity level may be, and the member may be lost. The smaller the proximity degree is, the more likely a member is to reach a new transaction with the company, and the higher the relative member activity level; (For those who are not active and may be lost, they can be reawakened by giving away "electronic coupons")
2. The greater the frequency difference, the higher the consumption intention of the members, and the higher the activity level, the higher the loyalty. The smaller the frequency difference, the lower the consumption intention of members, which may result in the loss of these members; (for consumption Low frequency members can increase the frequency of members' visits by redeeming gifts at the store, participating in free activities, member activity days, etc.)
3. The larger the credit difference, the higher the value generated by the member, the main profit point of the merchant, and the smaller the credit difference, the lower the purchasing power of the member or the lower the desire to buy. (For members with a low spending limit, you can set the package purchase, how much you get when you spend, and the value of the stored value card to increase the unit price)
By formulating marketing plans for these three indicators, it will increase the consumption of members with low consumption intentions and high consumption quotas, and increase the consumption quotas of members with low consumption quotas to improve the status of the three RFM indicators, thereby creating a larger value.
1. Open the statistical analysis function in the member system and find 'member RFM'.
Statistical Analysis Report
2. Screening method 1) Screening by consumption time.
2) Filter by membership level.
3) Filter through registered stores.
4) Filter by operator
Member RFM analysis

IN OTHER LANGUAGES

Was this article helpful? Thanks for the feedback Thanks for the feedback

How can we help? How can we help?