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How To Increase Retail Sales Without Discounting

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Lack of service due to incorrect staffing of the store to meet the number of customers is one of the main reasons of loss sales. A store who got a traffic of 3,000 visitors in a week, but sells only 15% to them, it’s just 450 transactions. This situation means that 2,550 people leaved the store without buying. If we want to enhance the sales of 5%, it’s necessary to sell to 23 of the 2,550 visitors who didn’t buy. Perhaps the mailman or delivery man comes a few times.

Lack of service due to incorrect staffing of the store to meet the number of customers is one of the main reasons of loss sales.

A store who got a traffic of 3,000 visitors in a week, but sells only 15% to them, it’s just 450 transactions. This situation means that 2,550 people leaved the store without buying. If we want to enhance the sales of 5%, it’s necessary to sell to 23 of the 2,550 visitors who didn’t buy. Perhaps the mailman or delivery man comes a few times. Or perhaps some leave for lack of the right merchandise; perhaps there are family groups in these numbers. But in service-sensitive stores there are most likely at least 23 of these people who simply didn’t find the service or the product they wanted to make a purchase.

What is the real potential of a store?

Service-sensitive stores selling 30% or less of their traffic can almost always increase sales by 5% or more … and maybe a lot more … even on declining traffic. The key to accomplishing this is to realize that with the traffic data, 70% of store traffic leaves without making a purchase … and that some of this traffic would have made a purchase given the right level of service, particularly during key selling periods. Another way to perform on your traffic is to know the traffic patterns of your visitors via a traffic system management.

In today’s economy, the actual traffic already in the store remains by far the quickest, most cost-effective route to significant and sustained sales increases.

Common Conversion Rates
Enclosed mall specialty stores:5%-15%
Strip mall specialty stores:15%-25%
Stand-alone, main street:25%-35%
Big box:35%-45%
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