Definition
The percentage of a customer's total spending in a category that goes to your brand, measuring loyalty in dollars rather than sentiment. The ultimate relationship status metric.
Example Usage
Our share of wallet among premium customers is 67%, meaning they spend two-thirds of their category budget with us.
Origin
Financial services terminology from the 1980s, expanded to retail and consumer goods.
Fun Fact
Increasing share of wallet among existing customers is typically 5-25x cheaper than acquiring new ones, yet gets less attention.
Source: Customer relationship management and loyalty metrics
Related Terms
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See “share of wallet” in Corporate Speak, Gen-Z Slang, Pirate Speak, and more.
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