We look into the future. How a customer’s first order affects their future purchases

After analyzing more than 1,000,000 online purchases, it was possible to identify a very interesting pattern that allows us to predict how many purchases a customer will make on your site in the future.

Frightening statistics indicate that 62% of customers will never make a repeat purchase on the same site. And only 16% of customers actually make more than 3 purchases on your site.

Therefore, from a business point of view, it is very important to understand how customers behave on their first purchase and make every effort to ensure that these customers return again.

So how does it all the same understand whether the customer will return for a repeat purchase or is he forever lost for you?

FACT # 1: Customers who bought more than 1 product on their first order are more likely to buy a second time.

We analyzed more than 1 million online transactions over 2 years in completely different areas of online trading, from the fashion industry and gadgets to food and drinks ...

And the conclusion was one:

THAN MORE PRODUCTS IN THE FIRST ORDER OF THE CUSTOMER - MORE THAN IT IS POSSIBLE THAT HE WILL BUY FROM YOU ONCE AGAIN!

The study showed that 50% of customers bought only one product, making their first order. At the same time, those who bought immediately 2 or 3 goods are 36% more likely to make their second order.

Customers who bought 4-5 products at once during the first order are more likely to place a second order by 77% on the same site.

And those who bought 6 or more products at once are TWO more likely to buy again on your site.

FACT # 2: Customers who bought more than 1 product on their first order are more likely to become CONSTANT BUYERS.

The analysis showed that customers who bought more than 1 product on their first order are more likely to become your regular customers (VIP customers).

For example, it turned out that if a customer bought only 1 product at the first order, then the probability that he would become a VIP customer is ONLY 1 to 17.

Moreover, if a customer buys 2 products, this probability immediately increases by 50%, and if he buys 3 and more goods - then immediately at 300%.

FACT # 3: The quantity of goods in the first order, determines the number of future customer orders.

Customers who bought more than 1 product on their first order are more likely to buy from you for a long time.

Customers who bought 2 or more products at the first order make 7% more purchases in the future than those who bought only 1 product.

Those who bought 3 or more products at once place 14% more orders in the future.



And now the most important question ....

HOW TO INCREASE THE NUMBER OF GOODS IN THE FIRST ORDER OF THE CUSTOMER?

Based on the statistics obtained, it is quite obvious that the more goods a customer buys in the first order, the greater the likelihood that he will continue to buy from you in the future.

Accordingly, online sellers are more than interested in selling as many products as possible to the customer on their first purchase.
How to affect the quantity of goods purchased:

• Add product recommendations. Before the customer gets to the order payment page, show him the block with recommended products. These recommendations should be based on what other customers have bought with the same product.
• Add products "impulsive purchase." The principle is the same as at the checkout in the supermarket. Standing at the checkout, waiting for your turn, you will definitely take chewing gums, coffee bags, chocolates, etc. According to the same principle, add to the checkout page a selection of not expensive, but popular products that the client can add to his order.
• Offer a discount or special offer on additional products. This may be an offer of free delivery or an additional discount for the purchase of additional goods. For example: Buy 2 things - 3 as a gift, Free delivery, for purchases from $ 100 - add one more product to the order, 30% discount on the second product and 50% on the third, etc.
• Repost on social networks. Invite customers to share the news about their purchase on your social networks and get a discount on the purchase of additional goods.
• Make the buying process look like a quest. You can use any game mechanics for this task. For example, give the customer a bonus card, according to which, the more they shop, the more free gifts, bonuses or receive. Or the more purchases, the larger the discount on his card.

After the first order, NOT ALL IS LOST ....

Overcoming the barrier of the second order is one of the greatest challenges for online sellers.

Even if you didn’t succeed in motivating the client to buy more than 1 product at his first order, you should not stop and give up.

The main strategy here is to invest in all kinds of communication channels with the client in order to return him to the site for a second purchase.

These channels can be:

1. Sending trigger letters after purchase and for resuscitation of inactive customers.
2. Letters with product recommendations.
3. SMS messages to customers who have not bought from you for a long time.
4. Push notifications.
5. Retargeting campaigns on Facebook, Twitter or Vkontakte.