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- 🍯 Let’s Talk Retention Metrics—Because Click Rates Don’t Pay the Bills
🍯 Let’s Talk Retention Metrics—Because Click Rates Don’t Pay the Bills
Learnings from your favorite 9-Figure DTC Brand
Hello You DTC Savage,
I know we all love to post screenshots of obnoxiously high open rates & click rates, but let’s be honest—those don’t matter.
So what does matter, you ask? Here’s what actually moves the needle for your business:
Revenue per Email (RPE)
Gross Profit per Order (GPPO)
Customer Lifetime Value (CLV)
Everything funnels into these.
Our bread and butter metric is RPE. It’s the ultimate measure of effectiveness. Sure, your email could have sky-high opens and clicks, but if you’re not squeezing out revenue efficiently, what’s the point? RPE tells you if your flow or campaigns are working or if you’re just batch & blasting like the olden days. It’s so important, we built a custom dashboard to measure and plot it:
RPE (Revenue per Email) and RPR (Revenue per Recipient) are sometimes used interchangeably.
GPPO? Vital when you’re testing offers or landing pages. If one test nets you $100k with a $30 coupon, but another brings $80k with a $10 coupon, which one’s the winner? These small details matter, especially at scale. ArE yOu AcTuAlLy MaKiNg MoNeY?
CLV is a balancing act. Those high-CLV products won’t always drive the most revenue upfront, so you need to cross-sell. Second and third purchase analysis is your secret weapon here.
Key takeaway: Vanity metrics are cute, but without efficient revenue, they’re just numbers. Nail down what matters for your brand: RPE, GPPO, and CLV.
Lot’s more to come on this topic - stay tuned.
P.S. - You should watch “Monsters” on Netflix. It’s a great show.
Talk soon,
Feras