Question

Customer retention rate was estimated. the parameter of KPI target

return rate was set as 0.1. please explain what does this parameter
mean and how it is calculated.

Answer 1

The parameter KPI target refers to the desired level of performance for a specific key performance indicator (KPI), such as the return rate of customers. The target return rate of 0.1 means the goal is to have a return rate of 10%. To calculate the return rate, you would divide the number of returning customers by the total number of customers and multiply by 100.

Step-by-step explanation:

The parameter KPI target refers to the desired level of performance for a specific key performance indicator (KPI). In this case, the KPI is the return rate of customers. The target return rate of 0.1 means that the goal is to have a return rate of 10%.

To calculate the return rate, you would need to know the total number of customers and the number of customers who return. You can calculate it by dividing the number of returning customers by the total number of customers and multiplying by 100.

For example, if there are 1000 customers and 100 of them return, the return rate would be (100/1000) * 100 = 10%.