Average Spend per Head
Why it’s important
As the name implies, Average Spend per Head measures the mean amount of revenue which is being earned per customer. For many industries, this is an essential metric – particularly when broken down by channel, time of day, day of the week, product type or area, as this generates a more nuanced picture of actual Customer behaviour.
How to create it
To create our metric in FUTRLI we’re going to need two pieces of information:
- Total Sales
- Customer Head Count
The first, Total Sales should be being sourced from our Accountancy software of choice, either automatically or via a manual upload into FUTRLI. To create a more nuanced picture of our Customers’ buying habits, you can break down your Sales data further using Tracking data, distinct nominal codes or manual uploads. In this example, we’re going to look at Average Spend per Head split between Restaurant Sales and Bar Sales.
Our Customer Head Count will have to be uploaded into FUTRLI via CSV. In this example, we’re recording these daily and are using separate Child fields to record our Restaurant and Bar Customers:
Now we have our data in place we can craft our KPI. If you are creating Average Spend per Head at a macro level, then you can do so by simply divide your Total Sales by your Customer Head Count:
If you are splitting by a particular channel or area of the business, then simply create a separate formula for each division and divide Applicable Sales by Applicable Head Count for each. In our example, we’re going to be doing the latter and thus creating two formula, one in which we divide Restaurant Sales by our Restaurant Head Count, and one, in which we divide Bar Sales by our Bar Head Count:
Once we’ve created our formulas we’re ready to spin our Card and enjoy the results: