Scope
How does the Repurchase Revenue Impact Reporting?
What is the impact of Repurchase Revenue Impact Reporting?
Summary
We track the Deflect Rate and the Save Rate as key metrics in Chargebee Retention, but these alone do not tell us the full picture of the impact and the ROI that your retention initiative is generating. Repurchase Metrics allow you to track what percentage of your deflects and saves ultimately go on to buy again, thus completing a First Time Repurchase Order. We also can then track not only their first order post Chargebee Retention session but also the cumulative repurchase orders that occur beyond that over time. To get this level of insight, we need to add Repurchase Revenue Impact metrics to our existing in-app reports in Chargebee Retention. To enable Repurchase-based Attribution, simply navigate to Settings > Setup > Billing System from Chargebee Retention.
Solution
This set of metrics gives us insight into how much revenue you have retained from past cohorts and sheds light on what we can expect from future cohorts as well. This allows you to start to put together a view of the overall ROI and impact on your revenue and customer LTV (Life Time Value) that your Retention initiatives are having.
Repurchase Revenue Impact reporting is available for customers who are using our Chargebee Billing Integration. If you are using a different billing integration and would like to see Repurchase Reporting enabled for this integration as well, please contact [email protected]
To enable Repurchase-based Attribution, simply navigate to Settings > Setup > Billing System and you will see the configuration available if you have already integrated Chargebee Billing with Chargebee Retention. Once this setting is enabled, Chargebee Retention will start tracking your repurchase metrics and add them to various reports in the admin app.
How Repurchase Revenue Impact metrics are tracked?
Chargebee Retention integrates with the invoices object in your billing system to track orders that occur after the initial cancel session. We track two different sets of metrics tied to invoices that occur after the session:
- Repurchases: Invoices that are paid after the initial session for Deflects
- Winbacks: Invoices that are paid after the initial session for Cancels
This allows us to track Repurchase activity for both sessions that produce a Deflection and a Cancel. We will only count an invoice if it is paid after the initial Cancel session occurs. If the invoice is paid prior to the session, it will not be included in the calculation.
Note: We filter out 'one-time' orders that are not tied to a subscription ID today. If you would like to see these orders included in your Chargebee Retention reports, please reach out to [email protected] and we will log this as a feature requestWe then use this invoice logic to generate several metrics tied to individual subscribers' invoices. These include:
Repurchase Customer Metrics
- First repurchase order: First time a new invoice is paid post deflect event
- Total number of repurchase orders: Total invoices that occur post deflect event for the subscriber
- First-time repurchase amount: Repurchase revenue for the first invoice post deflect event
- Cumulative repurchase revenue: Total repurchase revenue for the subscriber for all of the invoices post deflect event
Winback Customer Metrics
- First winback order: First time a new invoice is paid post cancel event
- Total number of winback orders: Total invoices that occur post cancel event for the subscriber
- First-time winback amount: Winback revenue for the first invoice post cancel event
- Cumulative winback revenue: Total winback revenue for the subscriber for all of the invoices post cancel event
We then also create the following aggregate metrics that get surfaced in our various reports:
Repurchase Aggregate Metrics
- First-time repurchase rate: Number of first-time repurchases / Total saves + watch list for the cohort (does not include lost-deflects)
- Avg. number of repurchase orders: Number of repurchases/number of customers who repurchase
- Avg. value of repurchase orders: Dollar value of repurchases/number of repurchases
Winback Aggregate Metrics
- First-time winback rate: Number of first-time winbacks/Total cancels (includes lost-deflects)
- Avg. number of winback orders: Number of winbacks /number of customers who winback
- Avg. value of winback orders: Dollar value of winbacks/number of winbacks
Repurchase data in the Customers Report
The first place we include Repurchase metrics is in the existing customers' report. We have added two additional tabs to this page, one for Repurchases and one for Winbacks.
This allows you to pull a list of all the customers who repurchased and all those who were a Winback for further analysis and breakdown. The default fields for each of these views are:
- Repurchases: Start Date, Customer, Experience, Audience, Accepted Offers, Chargebee Retention MRR, First Repurchase Date, Number of Repurchase Orders, Cumulative Repurchase Revenue
- Winbacks: Cancel Date, Customer, Experience, Audience, Cancel Reason, Chargebee Retention MRR, First Winback Date, Number of Winback Orders, Cumulative Winback Revenue
Keep in mind that the Winbacks will be tied to the cancel date whereas the repurchases will be tied to the date of the initial session that produced the deflect.
Repurchase Data in the Experience Performance Report
We will be adding the following key metrics to the Experience Performance Report as options that can be selected from the column selector:
- First Repurchase Order
- First Time Repurchase Rate
- Cumulative Repurchase Revenue
- Total number of repurchase orders
- Average number of repurchase orders
- Average value of repurchase orders
- First Winback Orders
- Winback Rate
- Cumulative Winback Revenue
- Total number of winback orders
- Average number of winback orders
- Average value of winback orders
- Deflects still paying rate
Experience Performance Report is a cohort-based report in Chargebee Retention. When looking at repurchase metrics, date cohorts are really important. If you are looking at a recent cohort, for example, the first-time repurchase orders and rates might be really low initially. These rates will increase over time, so it is best to ensure you are taking into account your date filters when analyzing these rates in the experience performance report. Typically it is best to start looking at repurchase metrics after a few cohorts have elapsed, i.e, a few weeks/months have gone by since the initial cancel session.
Repurchase Data in the Offer Performance Report
Repurchase metrics also are included in the Offer Performance Report, you now can view the first repurchase orders, first-time repurchase rate, cumulative repurchase revenue, and the total number of repurchase orders in this report. These additional metrics allow you to track how much revenue your Offer Accepts are driving over time.
You can add these metrics to the view using the columns selector.
Keep in mind that you will want to look at older cohorts of Offer accepts to track these metrics over time as newer cohorts will not have had time to complete a repurchase post initial offer acceptance.
If you have any further questions about Repurchase reporting or Repurchase based metrics, please contact [email protected].
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