RFM analysis segments customers by Recency, Frequency, and Monetary value. It identifies your best customers and those at risk, enabling targeted marketing strategies.

The Three RFM Factors

View RFM Components

Recency: How recently did they purchase? Recent buyers are more engaged.
Frequency: How often do they buy? Frequent buyers are more loyal.
Monetary: How much do they spend? High spenders are more valuable.

Common RFM Segments

  • Champions: Recent, frequent, high spenders (nurture and reward)
  • Loyal Customers: Frequent buyers, good spend (upsell)
  • At Risk: Were good customers, have not bought recently (win back)
  • Lost: Have not purchased in a long time (re-engagement or let go)
  • New Customers: Recent first purchase (convert to repeat)

Using RFM Insights

  • Tailor email campaigns by segment
  • Allocate budget to high-value segments
  • Create win-back campaigns for at-risk
  • Personalise offers by customer value

RFM Tools

Klaviyo has built-in RFM analysis. Can also be done in spreadsheets or BI tools. We help clients implement and action RFM segmentation strategies.