Retail conversion

Your sales dropped: did fewer people come in, or did fewer people buy?

Andrea Montes1 min read

Two stores saw their sales drop from $5 million to $4 million.
In the report, they look identical.

Buuut the same thing didn't happen to them.

Store A had fewer people come in: it went from 1,000 visitors to 800. The ones who came in bought the same as always.
Store B had the same number of people come in, but its conversion rate dropped from 25 % to 20 %. Out of every 100 people who walked in, 5 more left without buying.

If you only look at sales, you give both of them the same fix: more advertising, more signage, more campaigns.
And at store B you'd be bringing more people into a place where they're already walking out on you.

The rule I've used for years (almost 30 in retail, to be exact):
→ If traffic dropped, look outside: location, window display, advertising.
→ If conversion dropped, look inside: service, stock, lines, prices.

Publicado originalmente en LinkedIn.

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