Customers and pricing
Share of wallet
Our share of what one customer spends in the category.
Last reviewedWhat does Share of wallet mean?
Share of wallet is the share of a customer's total spending in a category that comes to us. A customer who spends 1,000 a year on groceries, 300 of it with us, gives us a 30% share of wallet. Raising it is often cheaper than winning new customers.
Related terms
- ARPU (average revenue per user)Revenue divided by the average number of users.
- CLV (customer lifetime value)The profit a customer is expected to bring over the whole relationship.
- TAM, SAM and SOMTotal market, the part you can serve, and the part you can win.
- Market shareOur sales as a share of total market sales.
- Relative market shareOur share divided by the largest competitor's share.
- Penetration rateThe share of potential customers who already use the product.
- AOV (average order value)Revenue divided by the number of orders.
- CAC (customer acquisition cost)What it costs, on average, to win one new customer.