Spotting Dormant Users with Data Insights

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Online sellers can analyse customer behaviour to identify patterns and gain valuable insights. Let us look at the key fundamental success factors that help identify dormant users.

Purchase Frequency
Analyse when the particular customer last shopped and how frequently they used to shop from your store. This way, you can filter out those who are no longer returning. For instance, if a customer who was a frequent shopper in your company’s store has not purchased something in the past two or three months, they are an inactive customer.

Average Order Value (AOV)
If there is a significant decline in AOV, it means the customer visits your iceland phone number list store frequently but purchases less or buys products of low value. This could be a sign of a lack of interest. Analysing AOV can help determine when a customer ceases to spend money to the extent they used to. The inactive user could be reactivated with personalised offers or discounts.

Customer Lifetime Value (CLTV)
Customer Lifetime Value offers extensive information regarding the most valuable customers. For example, you can highlight customers with a high CLTV who are now low CLTV customers, indicating they are buying less or not at all. Determining customer value helps businesses examine which dormant users are the best to target with wake-up calls.

Email Engagement Metrics
You can determine the engagement level retained by the number of opens and click-through rates. A person who reads your emails and has bought something from you in the past needs a gentle prod in the form of a reminder or a promotion to return. On the other hand, if open rates and CTRs are declining, this may indicate that the user is growing tired.