Understanding your sales numbers is business 101. It is the most basic practice within the retail environment. If you do not know what your sales are, you have absolutely no way to determine if your business is being successful, or if you are about ready to go under.
What fewer owners and operators understand is how to drill down their sales numbers and make this data actually work for enhanced success. It is the difference between knowing that your sales are consistently good (or bad) and knowing that your data might be skewed from an abnormally large sale (or refund).
The added step to make your sales data even more accurate and beneficial to you is to implement some kind of retail traffic counter systems. These people counters, or traffic counters, can help break down your sales information on much smaller platforms. It allows you to go beyond sales per day. You now have the ability to do sales per hour, and also generate a conversion rate- basically how much you sell per customer.
This gives you the starting point to grow your business in two ways. You can increase your ticket average (sales per customer) and you can increase your customer traffic. Both ways increase your revenue.
When you can pinpoint which of these two areas you want to focus on, you have a better chance of determining the next course of action. Do you want to run additional marketing promotions or advertising to increase the overall number of customers making purchases?
Would you rather take the customers traffic already coming in, but increase what those customers are purchasing? If so, you would do better to spend your time and money not on advertising, but on training your employees to push add on sales.
Both ways start with a drill down of your sales numbers. Then you add on a retail traffic counter to separate what kinds of sales you are generating, and then creating a solution to increase or enhance the sales you don’t have.