Customer Retention Rate

Customer retention rate is a metric used by businesses to measure the percentage of customers that they retain over a specific period of time. It's calculated by taking the number of customers at the end of a period (E), subtracting the number of new customers acquired during that period (N), and then dividing that result by the number of customers at the start of the period (S). CRR = ((E-N)/S) x 100 A high customer retention rate is generally considered good because it indicates that you're providing value to your customers and they're happy doing business with you. The average customer retention rate in e-commerce is around 38%.