What is Traffic?

Below is introdued the meaning of Traffic and related items.

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Written by Success Customer
Updated over a week ago

This section introduces the meaning and structure of the term "Traffic" which indicates the number of customers who have entered a store.

Factors that makeup Traffic:

Traffic consists of the following two KPIs:

(1) The number of customers passing by the store

(2) The percentage of customers who enter the store out of the total number of customers passing by the store (i.e. the store visit rate).

In other words, traffic is the number of customers who entered the store as a percentage of the customers who passed by the store.

Indicators affected by the number of customers visiting the store

There are KPIs that are affected by the increase or decrease in Traffic.

These are "number of purchases" and "purchase rate".

The number of purchases is one of the KPIs closely related to sales.

The number of purchases is determined by the percentage of customers who purchase out of the number of customers visiting the store (purchase rate).

If the Traffic increases, the purchase rate will increase; if it remains the same, the number of purchases will increase.

On the other hand, if the Traffic decreases, the number of purchases may decrease even if the purchase rate increases.

In this way, the number of customers visiting a store has a close relationship with the KPIs that makeup sales.

The number of customers visiting a store is closely related to the KPIs that makeup make up so it is important to understand the indicators that influence the number of customers visiting a store and use store visit data to understand the current state of the store.

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