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Three Legged Database Marketing Strategy: RFM

Database Marketing, a three-legged strategy, balanced on Recency, Frequency, and Monetary value are together known as RFM. As an entrepreneur, you take advantage of excellent time-tested leads from and build effective marketing strategies to maximize your ROI.

At the onset, your team must understand what those three interdependent terms RFM really stand for:

Recency –  the last time a prospect completed the action.
Frequency –   comes from the number of times the prospect revisited the action.
Monetary Value –  the total value of effective or projected sales.

CRM tool, which comes free with is effective in utilizing to get the best results from the leads provided. There are numerous AI solutions and in recent times have been used to calculate and modify the results as your team goes forward.


CRM will then also keep track of recency which varies from business to business and can be 30 to 90 days depending on the product. An upgrade or modified advanced version can give an idea of loyalty to the client.


Frequency measurements will vary for products based on the type of industry, again, there is always a reason for the visit. The factors that come into play are repetitive buyers, upgrading clients or visitors with the potential of committed sales within certain periods.

Monetary Value

Your team effort in the real world measurements will be evaluated on the cash flow in addition to finances which are where your team has to evaluate the sum-total of ROI. The results appearing on the M factor, guide the team to fine-tune the other two factors R and F.

Pragmatic Strategy Approach

Overall, Recency and Frequency correlate in the process and will work at defining the best output. And monetary value footprints guide the updates to those two as the marketing strategy moves forward from the initial stages.

RFM analytical pundits across the spectrum urge to give the most attention to customers with the highest RFM. While, comparatively, those with the lowest put on win-back mode or removed from the efforts.

Your team will do well to see the fine nuances of defining the equations in your particular business. High frequency will manifest as negative experience while low frequency will stand the test of time and yield positive results.

Your best database marketing strategy will evolve moreover as your team uses the CRM tool. And coupled with handling the leads from establishes a path to understanding and using the RFM factors.



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