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People Counter

How to tell if your sponsored events are resulting in more purchases in-store

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Written by Tony Loxton
Nov 15

Foot traffic is a key component for the success of any physical storefront, and increasing the number of people that visit your store is a constant challenge. Despite the perception, foot traffic analytics isn’t just for stores in shopping malls. It has a multitude of functions that can be transferred to many different industries, not just retail. Getting customers to visit your physical location creates an opportunity to connect in-person, increase your sales and customer engagement, as well as increase the awareness around your brand.

The most common methods to achieve an increase in foot traffic is through promotional activities such as:

  • Special events
  • In-store promotions to promote new products
  • Demos
  • Celebrations of milestones such as anniversaries and holidays.
  • Special one-day promotions and door-buster sales

Determining how successful your promotions and events are is essential for creating a marketing strategy that increases the foot traffic in your store; as such it’s imperative that you track and analyse your in-store customers during these events. Measuring your event results will give you critical insights into understanding your potential and current customers, as well as determine what your invested funds have achieved.

How to measure foot traffic

Measuring foot traffic used to be a slow and rather tedious process of counting visitors physically as they enter the store, or going over CCTV footage to get numbers at the end of the day. Luckily, innovative tech evolutions means there are now people counter tools that can do the hard work for you. You can now keep up with the number of people that come into your store, when they come in and how long they stay through sensors, mobile apps and wi-fi networks. You can use these people counter tools to determine the success of your in-store promotions by gathering the relevant metrics on the day of the event. These are the metrics that will help you to gauge how successful your events are:

Profit

Essentially you want to make a profit from your in-store promotions and events. You need to determine whether the lower cost of your promotional items was offset by an increase in the number of people buying your products, or a higher number of items being bought. This can be achieved through a simple cost per acquisition calculation: total ad spend / number of items purchased = cost acquisition. This should be done on a normal day at the shop and during an event to see how the results differ.

Sales volume

Ideally, you should see an increase in sales volume during a promotion or event; for this you need to know your baseline sales volume on any given day. What is the average amount of sales you make during a normal working day? Compare this to the number of sales you made during the event and you can ascertain whether there was an increase and if it can be counted as a success.

Customer satisfaction

Was there an increase in the number of people visiting your store and purchasing your products after your in-store promotion? Customer satisfaction is key to increasing brand loyalty and retaining customers in the long-term. Track how many people visit your store before, during and after the event to see if you have a larger number of visitors directly linked to the customer satisfaction factor experienced at your promotion.

Goals

Before hosting any kind of event, you should set clearly defined goals that are easy to track. Things such as increased customers acquisition, higher sales volume and wider brand recognition are some of the most useful metrics to track and analyse in order to see if you have achieved your goals. Analysing your visitors’ behaviour and getting insights into when they visit, how long they stay for and what they buy, allows you to track how your campaigns are working and use the results to design successful future events.

Today’s customers expect the brands they interact with to show an understanding of their wants and needs, not just their wallets. Foot traffic analysis is an excellent way to understand your consumers and how they interact with your store, and it can solve multiple business problems if utilised correctly.  For more information on how people counter can give you more performance insights, download the guide "Unlock a new world of insight into your store’s performance" and get real-time data with our innovative people counter analytics tool.

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