The Measurement Minute by Gary Angel

 

Measuring shopper groups is important – not least because it has a huge impact on conversion rates. Shoppers in groups reduce total opportunity – and because the percentage of shoppers in groups can vary wildly by day-time part and section even at the same store, conversion rates that don’t reflect groups may be off by a factor of 4 or 5.

 

Of course, Shopper Group measurement isn’t just about conversion rates. It has a huge impact on Associate allocation models and allocation strategies as well. The number of people in an area isn’t as important as the number of shopping groups – and if those two numbers are very different, your allocation models need to be adjusted.