Five Minute Friday: Know Your Numbers - The 2 Metrics That Drive Performance

Boutique Chat

Ashley Alderson

Business, Marketing, Retail, Boutiquetips, Fashionindustry, Fashionbusiness, Entrepreneurship, Businessstrategy

5 • 853 Ratings

🗓️ 18 July 2025

⏱️ 6 minutes

🔗️ Recording | iTunes | RSS

🧾️ Download transcript

Summary

In this episode of Five Minute Friday, we’re kicking off our Know Your Numbers series by diving into two of the most important numbers every boutique owner should track daily: Average Order Value (AOV) and Units Per Transaction (UPT).

These simple but powerful retail metrics offer a clear path to more revenue, better team training, and a stronger customer experience—without needing more foot traffic or major changes to your business.

🔑 Key Takeaways:

Understand the Power of AOV & UPT

Learn how to calculate these key metrics and what they reveal about your daily performance.
Stop comparing your numbers to others—benchmark against your own best days.

Boost Your Sales with Smart Store Moves

Use strategies like bundling, cross-selling, and impulse placement to drive additional purchases.
Re-merchandise often and place high-converting products in high-traffic areas.

Train with Purpose

Equip your staff with product knowledge and simple ways to increase units per sale.
Reinforce small actions—like suggesting one more item—that lead to big results.

Treat Metrics Like an Insurance Policy

Use daily tracking to protect your business during economic dips or slow seasons.
A consistent focus on these numbers builds long-term resilience and growth.

Bottom line: Your numbers tell a story—and when you know how to read them, you can write a better one. Tune in and take back control of your retail growth.

Want more? Join the Boutique Hub: https://tbhub.co/podcastjoin

Transcript

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0:00.0	Being a retailer ain't easy. That's why we at the boutique hub are going to be coming to you with a new series called Know Your Numbers.
0:08.1	We're going to get the facts on what is the most important to drive profit, drive cash in your business, and really have you feel in control over your future.
0:20.0	Numbers are black and white. It's the one thing we record every day,
0:24.9	and we're going to teach you how to make the most of tracking your KPIs and metrics. Let's jump in.
0:31.0	Today I'm really excited because this is my favorite AOV and UPT, average order value and units per transaction. Now,
0:41.4	why am I so excited about these two metrics? Well, to me, there's two things here. One, it is back
0:49.3	to the basics, right? This is what is, as I like to think about it, old school retail, those foundations,
0:56.0	those fundamentals, those things that we never want to slack at. And there is always the chance
1:02.6	to improve our performance with these two metrics, right? They say in retail, you open your doors
1:07.6	each and every day, and you have a chance to better yourself, the customer
1:11.9	experience, the selling experience, and you can see a daily impact in average order value
1:18.1	and UPT units per transaction.
1:21.0	So these are simple formulas.
1:23.5	Let's jump in your average order value.
1:26.0	It's simply your dollar sales divided by the number of transactions.
1:30.6	And let's think about this daily.
1:32.1	So how much did I sell today divided by the number of transactions?
1:37.5	Units per transaction.
1:39.4	Okay, your UPT.
1:41.0	Again, how much did I, how many units did I sell today divided by the number of transactions?
1:49.5	Okay. So these two formulas, again, are going to show you how you are performing, right? So your
1:56.8	average order value, this may vary from industry to industry, right? So a luxury retailer may have
	...

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