Before a business even decides to set up shop in an area, the company's research team will study the foot
traffic in the area during different times of the day and the week. Companies that are chain stores or
franchises study traffic patterns in an area as well as median income, crime rates, and local foot traffic. If it's
a larger business and is interested in the area, it might contract out the work. Consultants are often used to
conduct surveys and analyze foot traffic patterns at different times of the year.
Street-level retail establishments, naturally, depend heavily on foot traffic, but businesses on a second or
third floor of a building also need foot traffic to get noticed. On the street level might be a retail store, such
as a coffee shop. However, on the upper floors might be professional service stores, such as law firms,
financial advisers, and accountants.
Foot traffic—or customer traffic—is an important metric because higher foot traffic tends to lead to
higher sales and revenue numbers. However, foot traffic alone is not enough to generate new sales.
Companies must offer a desirable product or service and follow through with delivering a positive
experience to the customer.
Transcript
Overview Before a business even decides to set up shop in an area, the company's research team will study the foot traffic in the area during different times of the day and the week. Companies that are chain stores or franchises study traffic patterns in an area as well as median income, crime rates, and local foot traffic. If it's a larger business and is interested in the area, it might contract out the work. Consultants are often used to conduct surveys and analyze foot traffic patterns at different times of the year. Street-level retail establishments, naturally, depend heavily on foot traffic, but businesses on a second or third floor of a building also need foot traffic to get noticed. On the street level might be a retail store, such as a coffee shop. However, on the upper floors might be professional service stores, such as law firms, financial advisers, and accountants. The signage and marketing at the street level is a crucial element in boosting foot traffic for the businesses located on the second and third floors. What is foot traffic? companies, especially retailers, depend on foot traffic to attract customers. It's an important metric because more pedestrians can lead to increased sales and higher revenues for a business. It can be an important factor when considering whether a business can succeed in a specific geographic area. What are the benefits of measuring foot traffic? provide valuable observations about customers, such as how much time they typically spend in a store or what times of day they're most likely to visit. Understanding customer patterns and behavior can help professionals like salespeople or marketers design promotions or campaigns to attract new customers and sell products or services. to understand the impact of their marketing efforts or campaigns. For example, if foot traffic increases after marketers use targeted online advertising, they may consider that strategy to be effective. data to plan employees' schedules. This data helps them make sure they have enough staff scheduled to handle surges during peak hours. • Planning inventory: Foot traffic can help professionals manage inventory according to customer activity. For example, if customers buy a specific product consistently, even during non- peak hours, the inventory manager knows to keep it in stock at all times. • Accounting for external factors: Measuring foot traffic regularly can help businesses understand how external factors, such as nearby events or weather conditions, can affect the number of people coming to the location. For example, managers may decide to decrease staffing during a snowstorm because customers are less likely to visit. How to measure foot traffic 1. Set a goal determine the goal of gathering this data. For example, you may want to know how many people come into the store during a specific time frame or how many walk past the business without entering. Setting a goal for this data can help you decide how to gather it effectively. Some companies choose to hire consultants to help them decide how to gather foot traffic data and how to implement those methods. However, it's possible to collect foot traffic data yourself. You can install surveillance cameras at the front of the store and watch the footage to learn how many people are coming in each day. You could also use outdoor sensors to track people's movements. If you're gathering data during a short time frame, it may be easier to track the foot traffic manually by watching the entrance and counting people who enter. traffic data. It's helpful to measure foot traffic at different times of the day and week to understand when people are going to your store or walking in the area. If you're using electronic equipment, such as cameras or sensors, check them regularly to make sure they're providing accurate information. If you're collecting data manually, make sure to position yourself in an area where you can track the foot traffic clearly without obstructions. 4. Analyze the numbers numbers. It's helpful to use a basic computer program to create a chart or graph that visually shows the results. You can also create a spreadsheet that contains all the data. These methods can help you interpret the data and determine trends. For example, you may find that traffic is highest during weekday evenings and weekend afternoons. Because of this, you may determine that most of your customers have free time during those hours. 5. Consider other factors factors—things outside of your control—that may affect this metric. For example, rush-hour traffic can limit the number of people who can reach the store. Taking these external factors into account can help you better understand your location's foot traffic. that information to help guide decisions about the business. Foot traffic can be an important metric for understanding customer patterns, but it's how you use that data that can help you encourage more customers to visit the business. For example, if you know that traffic peaks after 5 p.m. on weekdays, you may decide to host in- store events on Thursday evenings to attract more people to the store. Tips for increasing foot traffic Keep your storefront well-maintained Here are some quick ways you can boost the appeal of your store and get people through your front door: • Invest in signage: Signage is often the first thing people will see. Don’t be afraid to get creative and help your brand stand out from the rest. • Cleanliness: One sure-fire way to get people to leave without buying a single thing is any sign of dirt. Before you open your shop, mop your floors, dust your shelves and put any wayward products back in their right place. • Be attention-grabbing: Spend time curating a storefront that showcases the best your shop has to offer. Use colour to make your display pop or intrigue people with unusual items, or funny decorations that fit your brand. Add curbside “extras” You don’t need to only rely on your storefront to stop shoppers in their tracks. You can take your business to the next level with curbside marketing! For example, if you own a cafe, you can put a board on the sidewalk that has a witty message or calls attention to a special offer. If your shop is in an area that’s popular with freelancers, you can use the board to advertise your free and fast WiFi facilities. Make sure your sales staff look busy You can have the most beautiful eye-catching storefront in the world, but if the energy inside your shop is a low vibe, your potential customers will leave. starts with your associates. friendly and happy. Sales staff that look bored or unapproachable will quickly stop people from spending their money in your shop. Invest in employee training The quickest way to kill the growth of any business is bad customer service. You don’t want to invest time and money in figuring out how to get foot traffic to your store and then losing the business because your staff have zero customer skills. According to a study by American Express, 33% of Americans say that poor customer service will make them switch brands immediately. To avoid this, business owners need to invest in their employees. If you don’t have the budget to bring in a professional customer service expert, you can start small. Here are some things you can start doing right now: • Ban cellphones on the shop floor • Show appreciation by saying “Thank you for shopping with us” • Always treat the customer with respect and politeness • Don’t let your bad mood impact the service you’re providing Build your online presence ever. When someone types in “pet store near me”, you need to make sure that your business pops up in Google’s Places box. It’s an easy way to increase foot traffic to your storefront and your website with zero marketing budget. effective way to make sure people can easily find you (and become a customer). and-collect Kick it up a notch by offering in-store collections of purchases. It’s an excellent way to get people into your store, and hopefully, pick up a thing or two while grabbing their previous purchase. selected in-store pick-up, and of those consumers, 45% bought something else in store. Get listed online to increase foot traffic If you’re relying on people to find you the ol’ fashioned way (the Yellow Pages, or people accidentally turning down the wrong road), you’re playing a game of dodge ball with your potential income. If you do one thing today for your business, get your online listings up as soon as possible! Make sure you have all the important details (business hours, address, contact details) and add a few photos that sell your business. Explore social media opportunities If you’ve got a marketing budget, it’s time to dip your toes into running social media ads. One of the best platforms is Facebook. You can set up a campaign to boost your FB page, drive click- throughs to your website or incentivise store traffic with a Facebook Offer. These offers can be a discount code or a freebie that people can claim in-store. Use email marketing counts and getting the elusive 10K on Instagram, smart business owners know that the real power lies in email marketing. One day, we could all wake up to the news that Instagram is shutting down. When that happens, you’ll instantly lose access to that community you’ve spent hours building. The best way to avoid such a catastrophe is to build your email list consistently. You’ll always have access to those people and if someone has signed up for your newsletter, you know they are a raving fan. Repeat business is how you boost sales with little effort. Once you’re on a customer’s radar, you want them to keep coming back – preferably with their friends and family in tow. Just increasing your customer retention rates by 5% can lead to a 25% increase in profit! Offer in-store services If you sell a product that requires maintenance, you can use that as a service to attract people to your store. Here are some ideas to increase sales in retail stores: • If you run a camera store, you can offer a free in-store sensor cleaning to customers. While they are waiting around for their device, the customer can browse around and see if there’s anything else they need. • If you notice something wrong with the camera, you can offer to repair it. Both scenarios show you how to increase foot traffic and boost your bottom line. Employ experts to help your customers Depending on the type of store you own, you can use experts to help educate your customers on your products. beautiful, but the make-up artists have equipped them with knowledge and the best products for their skin type. Host classes your customers will love Don’t be afraid to use your store as a space to hold classes. No matter what type of products your selling, there are tons of creative classes you can offer to get people off their couches and into your store. Here are some ways on how to get customers in the door: • A cosmetics shop can hold a make-up masterclass by a popular beauty influencer to increase store traffic. • A health and fitness store can advertise a free pilates class where customers can try the latest resistance bands. • A music store can hold a class teaching kids how to play the guitar. Work with influencers and brand ambassadors Influencer marketing is incredibly powerful when it’s done correctly. It gets your brand in front of your ideal customer, and you have someone the audience trusts promoting your products. Not sure how to get customers in the door with influencers? can create an affiliate/referral program. Hold in-store events customers a one-of-a-kind in-store experience! Do you own a book store? Great! Invite your customers to attend a special reading by a famous author. Or you can create a weekly book club event. It’s an easy way to encourage people to buy your products and a way to connect people who others that share the same hobby. Conclusion Foot traffic—or customer traffic—is an important metric because higher foot traffic tends to lead to higher sales and revenue numbers. However, foot traffic alone is not enough to generate new sales. Companies must offer a desirable product or service and follow through with delivering a positive experience to the customer.