Retail is evolving, and it’s changing more rapidly than it ever has before. Shoppers hold the power – they are clearly in control, and for the first time are dictating disruptive and transformative change.
Today’s successful retailers have questions about their shoppers, and Traffic 2.0 delivers the answers, allowing retailers glean insights, create better strategies, and execute for better results. Below are “20 Questions with Traffic 2.0.”
How many shoppers enter my store? 
How many shoppers is what traffic counts used to be. It’s the simplest measure and, frankly, the ante into today’s analytics game. New technologies – and the combination of them – are so much more accurate than old “beam” counters, and accurate traffic count is critical in calculating fundamental metrics like conversion (percentage of store traffic that completes a purchase).
What percentage of passersby enter my store? 
This is the “capture rate,” and it’s important. Store traffic represents opportunity – opportunity to interact and engage with your shoppers, present fixtures, displays and merchandise, and serve them. But, if shoppers walk by and don’t enter the store, you lose opportunity. Capture rates help retailers evaluate the effectiveness of window displays, marketing and promotional activities, and more.
Is she a new or a repeat visitor? 
Once inside the door, understanding if a shopper is new to the store can be enlightening to evaluate marketing and promotional efforts, and is helpful in prioritizing and fine-tuning strategies around shopper acquisition and retention.
If she’s a repeat visitor, what is the frequency of her visits? 
Acquiring new customers is time-consuming and costly. Retaining existing customers and making them loyal brand shoppers is much more cost effective and profitable. For your repeat customers, insights into frequency of their returning visits is directly attributable to marketing communication efforts and even buying and merchandising patterns.
If she’s a new visitor, is she local or a tourist? 
Some stores, in some locations, are greatly dependent on visitors, be it tourists off a cruise ship, travelers taking advantage of currency fluctuations, or just seasonal tourism. Understanding your shopper and her situation helps plan out not only marketing and store promotions, but store merchandising as well.
What stores does she visit before  and after  visits to my store?
Where does your shopper visit and buy before and after your store? This data gets you deeper into a customer’s shopping behavior and patterns, and allows for opportunity to adjust promotional and follow-up campaigns accordingly, and even opens the possibilities of co-branded, bundled offers.
What is the duration of her store visit? 
“Bounce” rates are important. If a shopper enters the store but never really gets past the “landing zone” just inside the door and ends up leaving, a golden opportunity for the store has been missed. What’s the correlation between shopper/sales associate interaction and sales, and what can you do to staffing models to optimize? What is the determinate duration that leads to a sale?
Where does she go in the store? 
In the not so recent past, all retailers understood was front door traffic and buying transactions at POS terminals. Everything else was a “black hole,” and nothing really was known of shoppers who didn’t convert and purchase. Technology advances empowering Traffic 2.0 now allow a retailer to grasp a complete understanding of a shopper’s navigated course through store, leading to a Full Path Analysis.
Which fixtures engage her , and which don’t? 
Engagement is critical – get a shopper to engage, and you’re one step closer to providing the service she desires and needs. Understanding how displays attract and engage shoppers is critical – for example, in the men’s department, what works best, shirts hung on hangars or folded in stacks? Traffic 2.0 takes out the bias and guess work.
How does fixture engagement correlate to sales  and average transaction value? 
Displays have to do more than attract a shopper’s eyes. They have to pull the shopper to the display, make her stop and engage, and, eventually, select the item(s) she wants to purchase. Engagement time/duration with shoppers is nice, but it has to positively correlate to transactions at POS to provide return to the store.
How does she use mobile technology? 
Well over 50 percent of shoppers use mobile devices while shopping in-store. Effective retailers are now empowering mobile technologies, offering guest Wi-Fi and integrating technology into displays and fitting rooms. Knowing how your shopper utilizes the mobile resources at her fingertips allows for a retailer to better tailor its offerings and deploy countermeasures “keep the sale” within the brand’s own channels.
Does she interact with sales associates , and if so, how often  and for how long? 
Traffic 2.0 can differentiate between shoppers and store associates, and it can also determine when the two meet initially, how many times they subsequently interact and the duration of each interaction.
How does sales associate interaction correlate to sales  and average transaction value? 
Through understanding which shoppers convert and their ATV, retailers can adjust staffing models and associate training to deliver the quantity and quality of assisted selling touchpoints shoppers respond to best.
How to shoppers who buy differ from shoppers who don’t buy as they navigate through the store? 
Is there a difference in the paths taken through the store by shoppers who buy as compared to those who don’t buy? Other than visiting a checkout terminal, the answer is usually “yes.” Traffic 2.0 and Full Path Analysis allow store management to identify “friction points” that get in the way of shoppers completing their journeys with purchases. With friction points clearly identified, corrective actions can be more effectively deployed.
Want to understand more about Traffic 2.0? Join us for our April 28, 2015 webinar, “Increasing Sales with Traffic 2.0,” and join the #retail conversations on Twitter @RetailNext and at www.facebook.com/retailnext.