I have a question, at the jewelry store I’ve started working at, we
have taken up customer counting in order to try to track “Walk-in
Customer Conversion”.
The company hasn’t done this before so they are not quite sure of
what a reasonable average should be for a jewelry buisness. So I was
hoping to get some idea of what it might be … 5%, 10%, 15% ? Our
manager is from a diffrent type retail buisness and their expected
ratio was well over 40%, I can’t imagine it being that high in even
a Mall jewelry store.
Anyway, we don’t do in house repairs, just sales and we have a
product price range from $100 to $30000, if that helps.
thanks for any thoughts anyone might have on this.
Great idea! I used it in my store and Harry Friedman uses it to teach
and use in his Retailers Management Bootcamp. thefriedmangroup.com
You should 1st use the enter/exit numebrs as a group.
You take out all employees and postmen. Then what;'s left 9divide by
“2” for round trip) then you have a starting number.
You say you don’t do “in hosue” repairs. but do you have repairs? If
so I’d suggest you break down closing ratios by DEPARTMENT.
Most stores have 70% of people walking in asking a question about
service, wether you charge or not.
the remaining 30% are candidates for prodiyct sales.
Here’s the “typical” closing ratio for many “average” jewelry stores
Type Closing ratio
REPAIRS 90%
CUSTOM DESIGN 60-80%
PRODUCT SALES 33%
So if they have a closing ratio of 33% in product 9sell 3 out of 10)
then if they could go to 4 out of 10 (40%) their product sales would
increase 33%!
yes, sue the door counter but also track how many people you WAIT on
with a repair and who buy, how many you wait on with custom and how
many buy and how many look at product and how many buy.
If I understand what “Walk-in Customer Conversion” means (that you
are tracking how many people come in, who haven’t been customers
before, who then become customers) I would say that a really
reasonable average would be 100%, but then that’s probably wishful
thinking on all of our parts. Actually I think a mall store’s average
would be lower than a free standing or strip mall located store as
you get a lot of people coming to a mall for other shopping who might
stop in just to kill time, or just because they are in the mall. Free
standing stores tend to draw people because of what they are
offering. I think I may draw around the 40% mark but I would think a
mall store should probably be happy at a 15-20% mark, especially one
given your price range (since a lot of mall shoppers are looking for
bargains and if you start at $100 you’re not really selling
bargains). What might be even better for the store to track would be
why the customers don’t want to buy (if possible). Did they seem
aghast at the pricing? Did they not like the selection? Some of this
would have to be based on supposition of course but it would be more
effective then just knowing how many people actually buy.
Daniel R. Spirer, G.G.
Daniel R. Spirer Jewelers, LLC
1780 Massachusetts Ave.
Cambridge, MA 02140
The walk in traffic in my mall store is about 25%. I am in a large
mall with several other jewellery stores. My money range is about the
same as in your store. How we figured out the ratio - we asked each
customer if they came into the store for a reason or were they walkng
by and decided to stop by and look. We did this for two weeks and
then figured out the ratios.