7 Reasons to Use People Counters

Overseeing the operations of a retail store is a daunting task. Analyzing store point of sales (POS) data can only tell you what happened in a day but not how. In order to efficiently run a business, owners need to have the full picture of how their store is operating. Installing and utilizing people counting systems can tell you how to effectively capitalize on the opportunities presented. Below are seven common reasons to use people counters in order to efficiently run your retail business.

Near Real-Time Traffic Volume

People counting sensors have the ability to capture reliable data on each of the stores you operate. Once data is gathered analytics software is able to generate reports showing various traffic patterns. These reports can show the busy and slow times of day and traffic patterns in relation to store promotions. Analyzed data can show management the potential of a specific store by comparing potential versus actual customers. It outlines the percentage of store visitors who made a purchase and the sales conversion ratio.

Number of Transactions / Number of People Entering Store = Sales Conversion Ratio

Once management has this information they are able to determine proper staffing, create effective promotional events and establish employee incentives.


By looking at POS data, management is able to see which store had higher sales in a day but that is all they are able to see. Other factors often play a role in the sales numbers and need to be considered when reviewing each stores profitability and efficiency. For example, Store #1 brought in $5,000 in gross sales in one day while Store #2 brought in $4,000. At first glance, Store #1 seems to be the most profitable. When additional data is analyzed management might see that Store #1 had 500 people enter the store while Store #2 only had 250 people. Store #1 had higher sales due to the high traffic numbers but Store #2 was more effective in capitalizing on the 250 opportunities entering their store.

Store Performance Comparisons

Valuable analytics software, such as Vea Analytics, has the ability to track and compare data from specified stores within a retail chain. The data can be pulled on individual stores or compare the entire chain as a whole looking at either real-time or historical data. This information is important for management so they can quickly analyze how their stores are performing and will know if a store is underperforming or if there is a stand-out store.


Historical traffic pattern data helps to determine the proper staffing needed to cover specific shifts. Maintaining an appropriate Customer per Staff Hour ratio enhances a customer’s shopping experience and can save a store money.

Total Traffic / Staff Hours = Customer to Staff Hour Ratio

By analyzing traffic patterns management is able to schedule staff hours based on store traffic, properly schedule maintenance during slower hours and assist with loss prevention by scheduling enough staff to monitor entrances.

Store Hours

Store hours can be determined based on the peak traffic times that are obtained from people counting data. By looking at peak traffic times or lull’s management is able to make an executive decision on whether or not to stay open longer or close a store on extremely slow days. Analytics derived from people traffic can be the weighing factor on whether or not to increase or decrease store hours rather than relying on POS data.


Analyzing sales data alone does not give a complete picture as to whether a marketing campaign was successful or not. People counting technology and data analytics will determine if the campaign drove more people into your store compared to a non-promotional day. Data analytics is able to tell if people responded to your promotion by showing up to your store but they may NOT have made a purchase. Management can then look at other factors to see what may have deterred the customer, perhaps the store wasn’t properly staffed or they were out of stock of a specified item. Understanding how to analyze marketing campaign effectiveness is key to setting new traffic goals for future campaigns and budgets.

Traffic Predictability

Forecasting traffic data is key for management to prepare for a promotion, holiday or even a change in seasons. By calculating historical traffic data and comparing year-over-year data management can get a pretty good idea of what to expect and how to staff and stock their stores.

(Traffic LWTY / LWLY) x Traffic TWLY = Traffic TWTY

TWTY: This week this year LWTY: Last week this year LWLY: Last week last year TWLY: This week last year By installing SenSource people counting technology and pairing it with the Vea Analytics software you are able to calculate and analyze your store data giving you the ability to forecast future traffic and efficiently run your store to create higher sales. Contact a member of our sales team today to see how our intelligent imaging series can help your store.

Learn additional reasons to use people counters in your store in these articles:

4 Ways to Improve Business Operations with People Counting Sensors

Predicting Retail Traffic Patterns

Times Are Changing and So Are Consumer Shopping Habits [Infographic]


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