Customer Asset Formation in a Retail Brand Built from Scratch Based on Transactional Database Evidence

Citation: Oleg Troshkov, "Customer Asset Formation in a Retail Brand Built from Scratch Based on Transactional Database Evidence", Universal Library of Business and Economics, Volume 01, Issue 02.

Copyright: This is an open access article distributed under the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.

Abstract

A customer base is routinely called an asset, yet small retailers rarely build one deliberately or learn what they own until the business is offered for sale. The customer asset examined here is the author’s own: Millo Kids, an educational children’s retail brand he founded and directed in Indonesia between 2020 and 2024, trading through four stores and an online channel. The asset was produced by a designed system: an assortment selected on developmental criteria rather than price or brand recognition, a written selling procedure taught to each employee individually and enforced as a manager’s documented duty, pay tied to plan fulfilment, and a bonus on the next purchase for registering, which turned transactions into a persistent per-customer record. That record, analysed under cleaning rules declared before computation, holds 1,659 buyers, 3,975 orders and 2,070,160,701 IDR of revenue. On this base 43.94 per cent of buyers returned, the headline result of the system and a confirmation of the approximate 40 per cent the author’s own operational tracking had shown; the Gini coefficient of spend is 0.5719, the highest-spending tenth holds 43.64 per cent of revenue, and among records stating a city Greater Jakarta accounts for 41.33 per cent against 16.33 per cent for Bali, where the stores stood. When the author prepared the business for sale he itemised the base as its own priced component beside stock, equipment and lease deposits, and separately from the social account reaching those customers. The finding with the widest implication is the gap between the two: the transactional record transfers with the file, while the right to contact those customers largely does not, since 3.46 per cent of records carried a marketing consent held in the firm’s own name and the working relationship ran on third-party platforms. Where 81 per cent of enterprises remain untouched by digitalisation, owning a structured transactional record is itself an achievement, and the permission to act on it is what must be built deliberately.

Keywords: Customer Asset, Customer Base Analysis, Indonesia, Repeat Purchase, Revenue Concentration.

https://doi.org/10.70315/uloap.ulbec.2024.0102019