What percentage of sales come from repeat customers?

Asked 2 years ago

Are repeat customers really more profitable? What percentage of your sales comes from repeat customers? How do you calculate the repeat customer rate?

Repeat customer rate
Ecommerce analytics
Percentage of sales

Alexander Mason

Tuesday, December 21, 2021

Repeat customers generate 41% of the total profit of an e-commerce store. Moreover, this subset of buyers spends 67% more on their orders. Not to mention, the CAC for these customers is also low.

The following formula calculates repeat customer rate:

Repeat Customer Rate = Repeat Customers ÷ Total customers × 100

On average, a good repeat customer rate lies somewhere between 25%-30% for most e-commerce businesses. Use this, along with these key metrics to boost your sales.

Jeremy Hyde

Monday, March 21, 2022

Repeat customers are the most profitable part of your entire customer base. They have their trust and satisfaction built with your brand. Hence, it would help if you put less effort into making them buy more and more from you.

Generally, the rate of repeat customers depends on the business, the industry, and the customer satisfaction level. In the e-commerce business, the average repeat customer rate is 25-30%, and the e-commerce retention rate benchmark for eight weeks is over 35%.

The formula to calculate repeat customer rate is as follows:

(Total number of customers who purchased before / Total number of customers) X 100

In Google Analytics, you can find repeat customers data by navigating to the audience tab.

Go to Audience > Behaviour > New and Returning Users. In the New and Returning User tab, scroll down, and you will see the percentage of returning users and the percentage of revenue from returning users. Use the numerical data to calculate your repeat customer rate.

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