ARPC Analysis Algorithm

🤔 What is it?

A complete ARPC (Average Revenue per Customer) analysis algorithm for e-commerce, providing a structured approach to diagnosing and improving this key revenue metric. This flowchart-based algorithm helps businesses identify what influences ARPC and what actions can be taken to optimize it.

📦 What’s Inside?

• Ready-to-use ARPC analysis algorithm in a visual flowchart format
• Breakdown of key ARPC drivers (AOV, Order Frequency)
• Step-by-step diagnostic process, answering:
  • Why has ARPC changed?
  • Which metrics should you investigate?
  • What actions should be taken to improve it?
• Clear, data-driven recommendations for optimizing ARPC through pricing, customer retention, and product strategy.

💁🏻‍♂️ Who is it for?

• E-commerce business owners
• Marketers and analysts
• Growth managers and revenue strategists
• Agencies working with e-commerce brands

🪜 How to Use It?

1. Follow the algorithm to diagnose changes in ARPC
2. Analyze key drivers
3. Identify root causes and implement corrective actions to boost ARPC
4. Use the recommendations to optimize pricing, improve customer retention, and refine promotional strategies

This structured approach ensures that ARPC changes are not just identified but also effectively addressed to drive long-term revenue growth 🚀