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RFM segments

The Customer RFM report assigns every customer to one of ten segments based on three axes:

  • Recency (R) — how recently they ordered. Smaller days-since-last-order = better.
  • Frequency (F) — how many orders they placed.
  • Monetary (M) — how much they spent.

Each axis is scored 1 to 5 (quintiles of the active customer base). The combination of (R, F, M) maps to one of the segments below.

For each axis:

  • Customers are ranked.
  • The ranking is split into 5 equal-size buckets (quintiles).
  • The bucket index becomes the score, where 5 = best.

So R=5 means “ordered very recently”, F=5 means “ordered very often”, M=5 means “spent a lot”.

SegmentRecencyFrequencyMonetaryDescription
Champions555Recent, frequent, big spenders — the customers every shop wants more of
Loyal customers3–54–53–5High frequency, decent monetary — your reliable base
Potential loyalists4–52–32–3Recent buyers with growing frequency — nurture them
New customers4–511First or second purchase, recent — onboard them
Promising3–411–2Recent first-time buyers with some spend — push for repeat
Need attention2–32–32–3Mid-tier on every axis — slipping or stable, hard to tell
About to sleep2–31–21–2Below-average values, drifting away
At risk1–24–54–5Used to spend a lot — haven’t bought recently
Can’t lose them14–54–5Top historical spenders who’ve gone completely silent
Hibernating1–21–21–2Lowest scores across the board — write them off or run a final win-back

The exact ranges may be tuned per shop in Settings → Plugins → P2Lab Stats → Reports → Customers.

SegmentTypical action
ChampionsVIP programme, early access, referral incentives
Loyal customersCross-sell to category neighbours, loyalty rewards
Potential loyalistsTiered discount on second-of-kind purchase, category upsell
New customersWelcome series, brand storytelling, first-repeat discount
PromisingBehavioural follow-up on first-purchase category
Need attentionRe-engagement campaign with personalised recommendations
About to sleepTime-limited discount or free shipping push
At risk”We miss you” with curated offers tied to their past purchases
Can’t lose themHigh-touch outreach — personal email, exclusive offer
HibernatingCheap re-engagement (newsletter only), or remove from primary lists