What is customer retention rate in SAP CRM-ANA - CRM Analytics?

SAP Term: customer retention rate

• Component: CRM-ANA

• Component Name: CRM Analytics

• Description: A key figure for determining the customer lifetime value. The customer retention rate expresses the percentage of customers retained from the previous lifetime period.

Smart SAP Assistant

• Key Concepts: 
  Customer retention rate is a metric used to measure the percentage of customers that remain loyal to a company over a certain period of time. It is an important indicator of customer loyalty and satisfaction, as it shows how well a company is able to retain its customers. 
  
  How to use it: 
  The customer retention rate can be calculated by dividing the number of customers at the end of a period by the number of customers at the beginning of the period. This metric can be used to measure customer loyalty and satisfaction over time, as well as to identify areas where improvements can be made. 
  
  Tips & Tricks: 
  It is important to track customer retention rate over time in order to identify trends and areas for improvement. Additionally, it is important to compare customer retention rate with other metrics such as customer acquisition rate in order to get a better understanding of customer loyalty and satisfaction. 
  
  Related Information: 
  The SAP CRM Analytics component provides tools for analyzing customer data and tracking customer retention rate. It also provides insights into customer behavior and preferences, which can be used to improve customer loyalty and satisfaction.