Holiday e-commerce customers offer mixed returns

E-commerce retailers might think new customers acquired during the holiday season are a gift, but they many not keep on giving.

A new study from analytics platform provider RJMetrics indicates online retailers acquire 24% of their new customers during the months of November and December. However, this trend varies by retail category. Computer/electronics and apparel/accessories retailers both acquire 26% of their new customers during the holidays. Conversely, food/drug, health/beauty, and housewares/home furnishings all only acquire 22% of new customers in the holiday season.

While the quantity of new customers acquired is significantly higher than the average month, the quality of these customers is lower. The study shows the average holiday shopper places 7.2% fewer orders over their lifetime, and has a 6% lower average order value (AOV), which results in a 13% lower customer lifetime value (CLV).

In addition, 39% of returning holiday customers make their second purchase within the same holiday season, which means the best time to remarket is as soon as possible. After 30 days, study data indicates their repeat purchase probability falls off significantly.