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Revenue Intelligence

Customer health scoring and segmentation analytics

Overview

Revenue Intelligence provides deep insights into your customer base. It helps you understand:

  • Which customers are your most valuable?
  • Who is at risk of leaving?
  • Where should you focus retention efforts?
  • How healthy is your customer portfolio?

This dashboard uses RFM analysis (Recency, Frequency, Monetary) combined with payment behavior to create actionable customer intelligence.

Intelligence Score

The Score

The Intelligence Score (0-100) represents the overall health of your customer portfolio:

Score Grade Meaning
80-100 A Excellent customer health
70-79 B Good with minor concerns
60-69 C Fair, some at-risk customers
50-59 D Poor, significant churn risk
Below 50 F Critical, customer base at risk

Score Components

The score considers:

  • Customer health distribution
  • Revenue concentration
  • At-risk customer revenue
  • Churn rate trends
  • New customer acquisition

Key Metrics

Header Metrics

Metric Description
Intelligence Score Overall portfolio health
Active Customers Customers with recent activity
Total Revenue Revenue from analyzed period
Projected CLV Customer lifetime value projection
Champions High-value, engaged customers
At-Risk Count Customers showing churn signals
At-Risk Revenue Revenue at risk from churn
Retention Rate Customers retained period-over-period
New Customers Recently acquired customers

Understanding RFM Analysis

RFM is a proven customer segmentation method based on three factors:

Recency (R)

How recently did the customer purchase?

Recent buyers are more engaged. Long gaps signal disengagement.

Recency Score Meaning
0-30 days 5 Highly engaged
31-60 days 4 Active
61-90 days 3 Moderate
91-180 days 2 Cooling off
180+ days 1 At risk

Frequency (F)

How often does the customer purchase?

Frequent buyers are loyal. Infrequent buyers may be transactional.

Frequency Score Meaning
12+ per year 5 Monthly+ buyer
6-11 per year 4 Regular
3-5 per year 3 Quarterly
1-2 per year 2 Occasional
Less than 1 1 Rare

Monetary (M)

How much does the customer spend?

Big spenders are high-value regardless of frequency.

Scored relative to your customer base:

  • Top 20% = Score 5
  • 60-80% = Score 4
  • 40-60% = Score 3
  • 20-40% = Score 2
  • Bottom 20% = Score 1

Customer Segments

Based on RFM scores, customers fall into segments:

Champions (RFM: 555, 554, 545, etc.)

Your best customers:

  • Buy frequently
  • Spend heavily
  • Recently active

Action: Reward and retain. They're VIPs.

Loyal Customers (RFM: 4-5 in F, varied R&M)

Consistent buyers who may not be top spenders:

  • Regular purchase patterns
  • Moderate to high frequency
  • Stable relationships

Action: Upsell and deepen relationship.

Potential Loyalists (RFM: High R, Low F&M)

New or reactivated customers showing promise:

  • Recent purchase
  • Not yet established pattern
  • Potential for growth

Action: Nurture into loyalty.

At-Risk (RFM: Low R, High F&M historically)

Previously good customers now disengaging:

  • Used to buy frequently
  • Used to spend significantly
  • Haven't purchased recently

Action: Win back before it's too late.

Hibernating (RFM: 1-2 across all)

Inactive customers:

  • Long time since purchase
  • Low historical frequency
  • Low spend

Action: Consider reactivation campaign or accept loss.

Customer Tiers

Beyond RFM, customers are tiered by value:

Tier Criteria Treatment
Platinum Top 5% by revenue White-glove service
Gold Next 15% by revenue Priority support
Silver Next 30% by revenue Standard+ service
Bronze Remaining customers Efficient service

Dashboard Sections

Customer Health Matrix

Visual grid showing customers by RFM segment:

  • Size = Revenue
  • Color = Health (Green/Yellow/Red)
  • Click to see segment details

Top Customers

Ranked list of highest-value customers:

  • Revenue (YTD and trend)
  • RFM scores
  • Health status
  • Days since last purchase

At-Risk Analysis

Customers showing churn signals:

  • Revenue at risk
  • Last purchase date
  • Decline in activity
  • Suggested actions

Revenue Concentration

  • Pie chart of revenue by tier
  • HHI concentration index
  • Top customer dependency

Customer Lifetime Value

Projected total value of customer relationships:

  • Average CLV
  • CLV by segment
  • Trend over time

Churn Analysis

  • Current churn rate
  • Churn by segment
  • Revenue impact of churn
  • Comparison to industry benchmarks

Using the Dashboard

Daily

  1. Check for any Champions becoming At-Risk
  2. Review new customer additions
  3. Monitor any active win-back campaigns

Weekly

  1. Review At-Risk customer list
  2. Check concentration risk
  3. Plan customer outreach

Monthly

  1. Analyze segment migrations (who moved up/down?)
  2. Review CLV projections
  3. Assess retention rate trends
  4. Plan segment-specific strategies

Quarterly

  1. Full segment review
  2. Adjust tier thresholds if needed
  3. Update customer strategies
  4. Set retention targets

Configuration Options

Access via Settings → Revenue Intelligence:

RFM Weights

Weight Purpose Default
Recency Weight Importance of recency 25%
Frequency Weight Importance of frequency 25%
Monetary Weight Importance of spend 30%
Payment Weight Payment behavior factor 20%

Recency Thresholds

Setting Purpose Default
Good Recency Days for "good" status 30
Warning Recency Days for "warning" 90
Critical Recency Days for "at-risk" 180

Health Score Settings

Setting Purpose Default
Good Threshold Score for "good" 80
Warning Threshold Score for "warning" 60
Critical Threshold Score for "at-risk" 40

CLV Settings

Setting Purpose Default
Projection Years How far to project CLV 5 years
Discount Rate Time value of money 10%

Best Practices

Focus on At-Risk, Not Hibernating

At-Risk customers (recently disengaged high-value) are worth saving. Hibernating customers may be gone forever — don't waste resources.

Don't Neglect Champions

It costs more to acquire customers than retain them. Keep Champions happy.

Address Concentration Risk

If one customer is 40% of revenue, that's dangerous. Actively diversify.

Make RFM Actionable

Each segment should have a clear strategy. RFM without action is just academic.

Combine with Qualitative Data

RFM is quantitative. Combine with what sales and service know about customers.

Common Questions

Why is a big customer scored low?

RFM considers recency. A customer who spent $1M last year but nothing in six months scores lower than one spending $100K per quarter consistently.

How accurate are CLV projections?

CLV uses historical patterns projected forward. It's most accurate for stable, established customers. Take projections for new customers with a grain of salt.

Can I customize segment definitions?

Segment boundaries are fixed, but you can adjust the RFM thresholds that determine scores.

What's a good retention rate?

Varies by industry:

  • B2B services: 90%+
  • B2B products: 80-90%
  • B2C subscription: 70-85%
  • B2C retail: varies widely

Should I worry about concentration?

Yes, if any customer is more than 10-15% of revenue, or your top 5 customers are more than 40% of revenue, you have concentration risk.

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