Understand customer behavior with loyalty data

Retail | Use loyalty metrics to understand customers and measure the number of loyal visitors

Understand customer behavior with loyalty data

Retail | Use loyalty metrics to understand customers and measure the number of loyal visitors
In This Article

Loyalty metrics can be used to better understand customer habits and preferences for your store or competitive locations. Use visit frequency to see how many times customers frequent a location and evaluate your mix of loyal to casual customers. 

You’ll be able to answer these questions after reading this article:

  1. How can you use traffic metrics to compare locations’ visit frequency?
  2. How can you differentiate between loyal and casual visitors?
  3. How can you see how many unique visitors visited a location?

Get started with the following steps:

Step 1: Compare visit frequency for your store to other stores nearby

a. Open the Property report page for your POIsPoints (Locations) of Interest. (add multiple locations by clicking on the plus icon) and choose your preferred time period. 

b. By comparing Visit FrequencyThe number of total visits by unique visitors. (Metrics), you can see that these 3 home improvement stores in the same market have vastly different metrics. Visitors frequented The Home Depot nearly 4 times in the last 12 months, while Vickery Hardware had less than 2 visits in the same time period. 

Learn about Foot Traffic Metrics

Step 2: Review additional loyalty data for your store or competitors

a. From the Property report page, navigate to the Loyalty section in the left sidebar. 

b. Here, you can view the breakdown between loyal and casual visitors. You determine what a loyal visitor is by setting the minimum number of visits each visitor has to make in your chosen time period to your location to be considered loyal. For example, if you set your minimum number of visits to be 4, the visitors who have visited your location 4 or more times will be counted as loyal visitors. All other visitors will be counted as casual visitors. You can view the data with different filters and easily switch between the Loyal and Loyal vs. Casual visualizations by using the Hide Casual toggle.

c. In the second section, Visits Frequency, each bin in the chart shows the estimated number of unique visitors who visited your store a certain number of times during your chosen time period (choose between Visitors, % of Visitors, Visits, % of Visits).

Learn about Loyalty
Case Study

Retailer uses loyalty data to lower city construction impact fees by 55%

The Challenge

A retailer building a new location received an impact fee of over $1M for their new store, based on two multipliers: ratio of new vs. existing customers and distance traveled by customers. How could the retailer use objective data from other stores to challenge these assessment amounts and save money on their build?

The Outcome

Using Placer's data, the company proved that customers from existing stores were nearly 2x more loyal than the city assumed in their impact fee models, and that those customers traveled there via freeway, not between local businesses, lowering the impact fee by more than 50%.

Case Study

Retailer uses loyalty data to lower city construction impact fees by 55%

The Challenge

A retailer building a new location received an impact fee of over $1M for their new store, based on two multipliers: ratio of new vs. existing customers and distance traveled by customers. How could the retailer use objective data from other stores to challenge these assessment amounts and save money on their build?

The Outcome

Using Placer's data, the company proved that customers from existing stores were nearly 2x more loyal than the city assumed in their impact fee models, and that those customers traveled there via freeway, not between local businesses, lowering the impact fee by more than 50%.

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