Sensors at the doors count how many people enter the store each hour. That count is foot traffic. It measures the raw volume of potential customers walking through the entrance.

Traffic varies by time of day, day of week, weather, local events, and marketing activity. Retailers compare traffic against sales to calculate conversion rates. High traffic with low conversion points to problems inside the store; low traffic with high conversion suggests the offer is strong but awareness or access is limited.

Location decisions, window displays, and external promotions all aim to increase foot traffic. Once inside, the store’s job is to convert as many of those visitors as possible. Tracking foot traffic over time reveals seasonal patterns and the impact of competitive openings or closures nearby.

Traffic is the top of the retail funnel; everything else depends on it.