Once you calculate your Shopify store's average orders per customer, you have the data needed to answer a variety of questions.
Should you design a loyalty program around 5 orders or 10 orders?
When should bonus gifts be added to an order?
Are customers only ordering a second or third time, or are they ordering a dozen times?
Is this customer better or worse than the hypothetical average customer? (When combined with Average Order Value)
What kind of a payback period should your paid acquisition target? (When combined with Average Latency and Average Order Value)
Since the average orders per customer is an average, many customers will order less often and many will order more often. It can serve as a middle-of-the-road baseline just as Average Order Value shows you what a typical order size is.
Learning both of those can make determining potential customer value really easy.
If you want your Average Orders per Customer calculated for you, along with segments by date and different sales channels, it's now included in Repeat Customer Insights.
Eric Davis
Segment your customers automatically with RFM
Segmenting your customers has always been touted as a powerful marketing tool but many stores avoid it because it can be time-consuming.
Repeat Customer Insights will automatically segment your entire customer base for you based on the valuable data Shopify has already collected for you. Ranging from 5 to 30 to over 125+ different segments using RFM and other models, you can pick how much power you want to harness.