RFM

RFM stands for Recency, Frequency and Monetary Value. It has been used by direct marketers for over 40 years as a segmentation tool to increase marketing ROI.

The basic premise of RFM is that customers who have purchased more recently, more frequently and have spent more with your company are your best prospects for future direct marketing campaigns. The goal of RFM is to increase marketing ROI by only mailing customers that are likely to respond. Done well, you increase your ROI as you attain almost the same number of sales by contacting only a fraction of your customer base.

Using our in house software we can work closely with you to efficiently segment your customer database based upon your own specific criteria and return the customers most likely to respond to your next mailing campaign.

Given the information we could also enhance our service by identifying those that have only purchased from sale catalogues/main season catalogues in the past and also those that have/have not purchased from the equivalent catalogue in previous years.