ARPC (Average Revenue per Customer) Driver Tree

The Average Revenue per Customer (ARPC) Driver Tree is a tool that breaks down what drives ARPC by focusing on its key components, such as Average Order Value (AOV) and Purchase Frequency. It connects these components to actionable drivers, like customer segmentation, discount strategies, and product bundling, making it easier to identify areas for improvement.

By using this structured approach, businesses can optimize pricing, refine promotions, and enhance customer retention to increase the revenue generated per customer over time.

Quick stats:

• 1 key metric - ARPC (Average Revenue per Customer)
• 2 components
• 15 drivers
• 75 improvement hypotheses to help influence a key metric through drivers

This framework provides a data-driven way to fine-tune marketing, pricing, and product strategies, ensuring long-term growth and profitability 🚀