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According to the survey reports of small businesses analyzed by BIA/Kelsey 

“More than 50% of their annual revenues were generated from repeat customers. Repeat customers were also found to spend 67% quite new customers.” 

The more times you’ll get a customer to form another purchase, the greater their potential lifetime value becomes. With the profitability of your business in mind, you’ll encourage your new customers to stay coming by enticing them with great deals. 

Also, the more often repeat customers convert, the upper their average order value compared to first-time customers. this can be largely because repeat customers tend to form more purchases over time thanks to the event of name trust, making them valuable for business success. Repeat customers offer business owners a high lifetime value, contributing significantly to a better value per purchase over a protracted period. 

See 6 reasons why repeat customers are better than new customers

What is a repeat customer?

Repeat customers are basically customers you already have, so business owners that are able to retain existing customers tend to be more successful also using the right platform.

Let’s examine the primary factor affecting what proportion a repeat customer spends: the number of previous purchases. 

A study by RJMetrics found that your loyal top 10% spend 3 times more per order than the lower 90%, and your top 1% of shoppers spend 5 times over the lower 99%.

repeat customers spending


According to, the subsequent important factor is how long a customer has been shopping with you. Apparel shoppers purchase 67% more per order after shopping with an organization for 30 months, and this is often gotten from a study by Bain & Company. 

repeat customers bain company over time

They also found similar ends up in all of the categories they studied. Repeat customers have a high lifetime value, which contributes to a better value per order over time. 

During the, spend only 17% more per transaction, but repeat customers spend 25% more.

According to Adobe, “first-time customers spend about 17% more per transaction during the peak season. While this is great news, your repeat customers spend 25% more per transaction.”

However, that’s not all!

The percentage of revenue from repeat purchasers has been proven to increase even during a recession.

The same study found that during recessions, repeat purchasers are even more important. For instance, during Europe’s recession, studies showed that there was an increase in revenue generation from repeat customers. This shows that your repeat customers will remain loyal even during hard economic times.

Not only are your repeat customers purchasing more over time than new customers, they likely trust you adequate to get your dearer products or services.

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