Purchase Frequency (PF)

Purchase Frequency (PF)

Refers to the rate at which customers make purchases within a specific timeframe.

It offers businesses with insights into customer behavior and potential for growth. A higher purchase frequency suggests greater customer engagement and loyalty, indicating sustainable growth opportunities. Additionally, tracking purchase frequency enables businesses to enhance customer experiences, plan marketing campaigns, and maximize customer lifetime value (CLV) by increasing both order frequency and average order value. By understanding and leveraging purchase frequency data, companies optimize their strategies to drive repeat purchases and foster long-term customer relationships.

Related Terms

Markdown Pricing

A pricing strategy where retailers lower the prices of products to boost sales and manage inventory