Store operations · Level Advanced · E-commerce Repeat Retention
Repeat purchase: what brings them back
Plenty of new buyers, few return.
Prompt
Four numbers: traffic, conversion, basket, repeat. Fix whichever fell hardest, one at a time.
Task: Plenty of new buyers, few return.
[Before you start, do three things]
1. Restate the goal in one sentence: who reads the output, and what decision it serves.
2. If I have not given you the following, ask me. Do not assume:
- cycle and category nature
- where new buyers come from
- product lifespan
- existing channels
3. Say how you plan to do it (at most 5 steps) and wait for my go-ahead.
[Go through each of these]
- compute the natural cycle before reaching out
- the reason must be consumption or upgrade, not a coupon
- three touchpoints with content
- which categories have no repeat purchase at all
[Process]
1. Locate the failing stage with data
2. Change one variable affecting it
3. Set the test period and criterion
4. Check the margin impact
5. Say which categories this does not apply to
[Output]
Diagnosis, one change, criterion, margin impact.
[Do not]
- Never change price and image together
- 'Improve experience' is not an action
- Never ignore return rate
- Platform rules are not suggestionsWhat to state before it starts
Leave these unsaid and the model fills them with an assumption. Most 'wrong answers' start here.
- cycle and category nature
- where new buyers come from
- product lifespan
- existing channels
Go through each of these
Where this kind of work most often goes wrong. Already in the prompt, so you do not have to remember it.
- compute the natural cycle before reaching out
- the reason must be consumption or upgrade, not a coupon
- three touchpoints with content
- which categories have no repeat purchase at all