RFM segmentation groups customers by three scores:
- Recency (R): how many days since their last order. More recent is better.
- Frequency (F): how many orders they have placed.
- Monetary (M): how much they have spent in total, after refunds.
Each score runs from 1 to 5, where 5 is best.
Go to WooCommerce → Deep Insights → Customers → RFM segments.
The segments
Customers are placed in the first segment whose rule they match:
| Segment | Rule | Meaning |
|---|---|---|
| Champions | R ≥ 4 and F ≥ 4 | Bought recently and often |
| Loyal customers | R ≥ 3 and F ≥ 3 | Order regularly and are still active |
| New customers | R ≥ 4 and F = 1 | Placed their first order recently |
| Potential loyalists | R ≥ 3 and F ≤ 2 | Fairly recent buyers with one or two orders |
| At risk | R ≤ 2 and F ≥ 3 | Used to order often but have not ordered for a while |
| Hibernating | R = 2 and F ≤ 2 | Infrequent buyers who have been inactive for some time |
| Lost | R = 1 and F ≤ 2 | Lowest recency and low frequency |
Each segment card shows the number of customers, their share of customers and lifetime revenue, average lifetime revenue, average orders, average days since the last order, and the trend in the last 90 days vs the 90 days before.
Click Analyse revenue on a card to open the Revenue report filtered to that segment. You can also filter any report by segment from Filters → Customer segment.
How scores are calculated
By default, Deep Insights uses your store’s own distribution: the cutoffs are the 20th, 40th, 60th and 80th percentiles of your customers, recalculated daily. The Score cutoffs card shows the current values.
If you prefer fixed rules, go to Settings → Customers & segments, choose Fixed thresholds and enter your own values for recency (days), frequency (orders) and monetary (lifetime net sales).
The Recency × Frequency grid shows how many customers fall in each score combination.
Things to know
- Segments describe each customer’s current state, not the selected dates.
- Scores are recalculated every day, because recency changes as time passes, and after new orders sync.
- Customers are scored separately for each currency.