How do you calculate store footfall?
Footfall is the number of people who come in over a period: per hour, per day or per week. It is counted at the entrance, with a counter or from the camera at the door, with staff subtracted so that only potential buyers remain. Set against the number of receipts for the same hour, footfall gives you the conversion rate.
What is a good conversion rate for a store?
There is no single figure that holds for every store. In a pharmacy most people who come in buy something: in our pilot, about two in three. In clothing, furniture or electronics stores many people come in just to look, and conversion is much lower. Compare the store with itself, by hour, by day and across locations, not with an average from another country.
How is a store’s conversion rate calculated?
Divide the number of receipts by the number of visitors in the same period and multiply by one hundred. If 400 people came in and 100 receipts were issued, conversion is 25%. You count receipts, not items sold and not their value: one receipt means one purchase decision, even if a family of four paid.
What does conversion mean for a store?
It’s the ratio of people who bought to people who came in. It tells you how well a location turns traffic into sales, regardless of how much traffic it gets. A store with low traffic and high conversion has a visibility problem; one with high traffic and low conversion has a problem inside — the queue, staff, stock or product placement.
What counts as a good conversion rate?
There’s no universal number, and we advise you not to compare yourself with published averages. They come from systems that count differently, in stores of a different format and from another country — and if the denominator is calculated differently, the numbers aren’t comparable. The useful comparison is twofold: you against last week, and your locations against each other, measured with the same method.
Why does my conversion rate look too low?
Most often because the visitor count includes people who had no way to buy: employees going in and out, couriers, sales reps, the customer who went back for their wallet. In a small location, staff can be a tenth of everyone who crosses the threshold. The second common cause is groups: four people paying with a single receipt look like 25% conversion.
How do I measure the number of visitors?
With a counter at the door, or with video analytics on the security cameras you already have. The difference between them, with the advantages of each, is explained on our page about the people counter. What matters is that the method is the same in every location; otherwise, comparing stores means nothing.
Why read conversion by the hour, not by the month?
Because the average hides exactly what you care about. The same 25% day can be 34% in the morning and 12% between five and seven in the evening. By the month you see nothing and can do nothing; by the hour you see the window in which you lose people, and you can fix it the same week — an extra checkout, one person moved to the sales floor, a promotion taken out of the corner.
What is a store heat map?
An image of the floor plan in which the spots where people stopped are colored in and the places nobody walked past stay cold. It shows whether goods that don’t sell really aren’t in demand, or simply aren’t seen. It’s built from counted silhouettes, with no identities: nobody is recognized and no profile is built.
What is video analytics for stores?
Software that reads the security camera feed and extracts numbers from it: how many people came in, by hour; how many bought, against receipts; how long they waited at the checkout; where they walked on the sales floor. It runs on existing cameras, needs no new devices at the door, and sends numbers, not images, out of the location.