If you work in the retail industry, you’d probably agree that collecting anonymized consumer data is a top priority. In an industry where margins are thin and competition is stiff, businesses that really get to know their customers can offer more targeted, personalized experiences, increasing their sales success.
It’s one of the reasons why loyalty programs are increasing in popularity. Incentivizing customers to provide you with their purchasing records – through an app or points program – helps you learn more about their preferences and when and how they shop. As a retailer, all of this information ultimately helps you position the right product, to the right person at exactly the right time.
Valuable customer data can also be uncovered in brick-and-mortar retail spaces using analytic sensor technology. Sensors positioned near doorways and around high-traffic spaces are helping many retailers capture people counting data, which when analyzed with the right software, can be extremely beneficial at uncovering new customer insights.
If you’re new to the idea of people counting, here are three ways the technology could benefit your retail business.
Understand customer traffic
People counting technology can tell you exactly how many people entered and exited your stores on any given day. Analyzed over time, this data reveals your busiest shopping days and can help you plan your inventory and staffing levels accordingly. You can also compare store performance to see if one location has higher or lower traffic and investigate why.
Evaluate marketing efforts
Beyond just traffic in and out, analytics sensors can also help you analyze which areas of your store are of most interest to customers. They can tell you how people move throughout your spaces so you can plan your most important displays and promotions in high-traffic areas.
Many grocery and big box retail stores already take advantage of this principle with end caps – the display placed at the end of an aisle. People counting data can help you be precise and know for certain where your customers are moving.
Measure conversion rates
When people counting metrics are compared against sales data, you can calculate conversion rates, a more accurate way to measure retail success.
After all, if one out of every two people visiting your store is not making a purchase, there’s something wrong. Measuring your conversion rates can help you analyze how successfully you’re connecting with your customers. It can help uncover training and marketing opportunities, and ensure you and your staff are capitalizing on every possible sale.
One of the best ways to get the most value out of your people counting data is to integrate it with your video surveillance system. Most retailers already have security cameras in place; by integrating people counting data with video, you can truly gain detailed insights into what’s happening in your store.
Ready to learn more about how people counting technology can benefit your business? Download the FLIR Brickstream 3D Gen 2 datasheet.