E-commerce Glossary

Purchase Frequency

Average number of orders placed per customer over a given period.

Purchase frequency indicates how many times a customer orders on average over a given period (typically 12 months). It is a key retention indicator and a direct lever on LTV.

Calculation: Purchase Frequency = Total Number of Orders / Number of Unique Customers.

A frequency of 1.2 means your customers order an average of 1.2 times. The goal is to increase this frequency through cross-selling, loyalty programs, email follow-ups, and personalized offers.

Fullmetrix calculates purchase frequency by RFM segment, by acquisition cohort, and by period to identify the most effective retention levers.

Related terms

AOV (Average Order Value)Average amount spent per order in your store.See definition ARPU (Average Revenue Per User)Average revenue generated per user over a given period.See definition Blended CACAverage acquisition cost including all marketing channels.See definition Blended ROASOverall return on all advertising spend combined.See definition CAC (Customer Acquisition Cost)Total cost to acquire a new customer.See definition Churn RatePercentage of customers lost over a given period.See definition

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