Measuring pedestrian traffic for successful city marketing

The appeal of town centres is influenced by the dedicated work of local authorities and, above all, by city marketing and city management. Key performance indicators are essential to ensure that the appeal of a retail location and the success of marketing initiatives are not assessed sporadically on the basis of gut feeling. The number of passers-by is one of the most important key performance indicators in brick-and-mortar retail. Modern footfall measurement is now digital, easy to implement and fully compliant with data protection regulations.

Why is pedestrian traffic so important?

The number of passers-by has a significant impact on retailers’ takings. This is relatively straightforward: only when passers-by line the high streets can retailers attract customers and, in turn, generate takings. The simple rule of thumb is: the more passers-by, the more customers and the higher the turnover. That is why many city management and city marketing initiatives aim to attract more passers-by to city centres or specific retail areas.

A professional pedestrian traffic count makes it easier to answer many questions faced by retailers, city centre managers and local authorities. How many pedestrians are in the city centre each day? How does pedestrian traffic vary depending on the time of day, the day of the week and the season? How do events affect pedestrian traffic? What differences are there between individual zones and shopping streets? How do roadworks affect the attractiveness of the city centre?

The data collected is important for the future development of the respective town centres. That said, footfall measurement can, of course, also be used for centralised retail locations outside the actual town centre or key tourist and cultural hotspots. In addition, vehicles, bicycles and even shopping trolleys, children and dogs can be counted. Furthermore, other Crosscan solutions enable the collection of data on dwell times, walking routes, real-time footfall levels, and the age and gender of passers-by (anonymised).

Technologies for measuring pedestrian traffic

Footfall measurement has long since moved away from manual counting and is now carried out using technical systems with digital connectivity and analysis. The major advantage of technical footfall measurement lies in its ability to collect data continuously, 24 hours a day, 365 days a year. The data obtained then provides valuable insights for city marketing and the further development of town centres. Typical technologies used for footfall measurement include laser scanners, Wi-Fi trackers, infrared scanners, video cameras and radar. The various technologies differ in terms of installation complexity, purchase price and counting accuracy. We would be happy to advise you on the advantages and disadvantages of these technologies.

Passer-by traffic measurement as a data source for all stakeholders in the retail sector

Knowing the footfall figures is important for determining the success of individual events. These include, for example, town festivals, late-night shopping, weekly markets, fashion shows, concerts or region-specific themed events. Measuring footfall sheds light on how sustainable such events and gatherings are. Those in charge can then make better-informed decisions as to whether the effort involved in individual events and gatherings is worthwhile and whether, for example, it would make sense to focus on the events that attract the most footfall.

Furthermore, footfall is important for managing vacant premises and attracting new retailers. This is because the level of footfall and its trends over a longer period can be key factors in favour of a particular location. Furthermore, footfall can provide insights into how the mix of retail sectors needs to be optimised. To this end, it is useful to carry out comparisons with other towns and local authorities, as well as with previous years, in order to analyse high-footfall retailers that are not yet present or are no longer operating.

Knowledge of footfall figures is equally important for retailers and other business owners. This enables retailers to compare the data with the specific footfall figures and turnover for their location. The ratio between visitors and passers-by is known as the ‘capture rate’. Analysing the capture rate provides insights into both the general attractiveness of the location and the success of the shop window design and marketing activities.

Construction work and changes to traffic management also have an impact on footfall in town centres, high streets and shopping centres. However, to ensure that this impact is not merely assessed on a gut feeling, systematic footfall measurement is essential. Furthermore, the effects of changes to opening hours, parking arrangements or public transport links can be substantiated with concrete figures. A long-term perspective also allows conclusions to be drawn about the attractiveness of the retail location for local residents, people from the catchment area and tourists.

Analysing a location’s appeal using footfall measurement

The shopping experience in the city centre remains important to people. However, online competition, demographic change and shifting customer expectations mean that all stakeholders need to make regular improvements. The retail sector relies on high footfall. Cultural venues, the hotel industry and the hospitality sector also benefit from this. Systematic footfall measurement enables the quality of a location to be assessed and changes to be analysed at an early stage. We would be happy to advise you on the various Crosscan solutions.