Mysterious & Bizarre Results

The cataloger segmented his file by recency, frequency, lifetime monetary (RFM) value. And each year his older segments would shrink a bit, which is normal.

But one year his list began shrinking across the board. He didn’t notice at first, because the initial effect was small. But within a year, it was obvious that something bizarre was shrinking all segments in his housefile. Customers simply were disappearing from the file.