Home / Academy / Customer Intelligence / What Is Repeat Purchase Rate?
Customer IntelligenceBeginner3 min read

What Is Repeat Purchase Rate?

Repeat purchase rate tells you what percentage of customers buy more than once. It's the clearest signal of whether customers love your product.

Key Takeaways

  • Repeat purchase rate = Customers who bought more than once ÷ Total customers × 100.
  • A 30%+ repeat purchase rate within 12 months is strong for most eCommerce categories.
  • The second purchase is the most critical — customers who buy twice are far more likely to buy a third time.

The formula

Repeat purchase rate is the percentage of customers who have made more than one purchase in a given time window (typically 12 months). If 1,000 customers made at least one purchase and 350 made more than one, repeat purchase rate is 35%. This is one of the cleanest signals of whether customers find enough value to return.

The second purchase is everything

Research consistently shows that customers who make a second purchase are dramatically more likely to make a third, and so on. The drop-off from first to second purchase is the steepest cliff in the customer journey. A business that can engineer that second purchase — through follow-up email, loyalty reward, product recommendation — dramatically improves its long-term economics.

What drives second purchases

Product quality (the fundamental driver). Post-purchase follow-up that creates an opportunity to buy again. Product range breadth (something else to buy). A subscription or auto-replenish option. Loyalty points from the first purchase. Timely replenishment reminders for consumable products. A memorable unboxing or delivery experience that makes the brand stick.

Monitoring over time

Track repeat purchase rate month-by-month. An increasing rate over time indicates your post-purchase strategy is improving. Segment by acquisition channel — some channels may systematically produce lower-quality customers with lower repeat rates, informing your channel investment decisions.

Related Articles

What Is Customer Lifetime Value (CLV)?4 min · IntermediateWhat Is Churn Rate?4 min · BeginnerWhat Is Customer Retention?3 min · Beginner