RFM — is a method used to analyze customer value.

RFM segmentation divides customers into three groups:

• Recency (limitation) – How much time had passed since the last purchase. The less time has passed, the more likely the customer will soon buy again.
• Frequency — The more often the customer buys, the more likely he/she will buy again.
• Monetary (monetary value) - The amount of transactions. The more money the client has spent, the more likely he/she is to spend more.

A score from 1 to 5 is assigned to each dimension. The maximum score represents the preferred behavior. All clients are divided into 5 equal groups.

For example, M5 segment includes those customers who made purchases for a larger amount of money, M1 segment includes those who spent the least amount of money.

Viewing RFM Segments

Customers → RFM Segments section displays information on RFM segments. The page has 3 tabs:

• RF — data about how much time had passed since the last customer purchase (R) and the frequency of purchases (F).
• RM — data about how much time had passed since the last purchase (R) and amount of transactions (M).
• FM — data on the frequency of purchases (F) and the amount of transactions (M).

In the drop-down list (see below), you can select the segment on which the RFM will be calculated, for this you must create segment.

A cell in this table corresponds to one segment. For example, segment R5-M5 includes customers who made purchases for the sums from 97 до 13 224 рублей, и последняя покупка была совершена от 19 до 138 дней назад.

A cell in this table corresponds to one segment. For example, segment R5-M5 includes customers who made purchases for the sums from 449 to 7,985 USD, and the last purchase was made from 5 to 42 days ago.

В таблице сегменты выделены разными цветами. Например, зеленым цветом выделены лояльные клиенты, которые часто покупают и последняя покупка была недавно. Серым выделены те, кто покупал мало и давно.

По щелчку на ячейку таблицы выводится информация по сегменту:

• Метрики сегмента;
• Список клиентов в сегменте.