Test your knowledge on key performance indicators in the retail industry with this challenging quiz. See how well you measure up by tackling questions about inventory turnover, customer retention, and more!
1. What does the Sales Per Square Foot (SPSF) KPI measure?
Average transaction value across sales
Total sales divided by total inventory
Efficiency of sales per store area used
Sales growth compared to last year
2. Why is the Inventory Turnover Ratio important for retailers?
It measures sales performance annually
It indicates labor cost percentages
It evaluates customer satisfaction rates
It shows how often inventory is sold and replaced
3. How does the Average Transaction Value (ATV) KPI help retailers?
By showing the average revenue per transaction
By calculating total costs vs. profits
By measuring customer retention over time
By assessing total foot traffic in-store
4. Which KPI measures the success of customer loyalty and repeat business?
Average Transaction Value (ATV)
Customer Retention Rate (CRR)
Inventory Turnover Ratio
Sales Per Square Foot (SPSF)
5. What does the Break-Even Point (BEP) illustrate for a retailer?
Time taken to fulfill a customer's order
Proportion of total revenue spent on labor
Percentage of repeat customers each month
Sales at which total revenues equal total costs
6. How is Year-Over-Year (YoY) Sales Growth used by retailers?
To evaluate efficiency of order delivery
To calculate average sales per customer
To compare sales performance to the previous year
To measure profitability of store locations
7. What metric helps retailers assess short-term financial health?
Current Ratio
Labor Cost Percentage
Sell-Through Rate (STR)
Order Fulfillment Time
8. Why is foot traffic an important KPI for retailers?
