Retail Performance based measures are important for any retailer whether large or small and serves to communicate the strategy of the business and align employees with the goals of the organization. Managers use performance measures to track staff against benchmarks and targets. Managers are able to identify poor performance areas and react in time to make adjustments in resource and skills. Big companies motivate staff using Key Performance Indicators (KPI) as the basis for rewards. And performance measures are used by Senior Managers to guide future developments and plans.

Usually single store owners rely on their POS systems to track the obvious KPIs such as Average Sale, Sales per Hour, and Items per Sale . However, the figures produced by POS systems are simply a tally of those KPIs and do not show Store Managers how each Salesperson is performing in relation to each other as well as the store objectives. Unless you have something to compare someone to you cannot identify their area of weakness. Moreover, Salespeople need to be measured on a level playing field to make any sense of the numbers, because they work in slow and/or fast periods of the shopping day.

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