Sales Per Square Foot

AAA

DEFINITION of 'Sales Per Square Foot'

A popular sales metric used in the retailing industry. Sales per square foot is simply the average revenue a retail business creates for every square foot of sales space.

INVESTOPEDIA EXPLAINS 'Sales Per Square Foot'

Sales per square foot is used by businesses and analysts alike to measure the efficiency of a store's management in creating revenues with the amount of sales space available to them. The higher the sales per square foot, the better job mangement is doing of marketing and displaying the store's products.

RELATED TERMS
  1. Units Per Transaction - UPT

    A sales metric often used in the retail sales sector to measure ...
  2. Comps

    A buzzword that refers to a retail firm's comparable same-store ...
  3. Like-For-Like Sales

    A comparison of this year's sales to last year's sales in a particular ...
  4. Same-Store Sales

    A statistic used in retail industry analysis that compares the ...
  5. Enterprise-Value-To-Sales - EV/Sales

    A valuation measure that compares the enterprise value of a company ...
  6. Chain Store Sales

    An indicator that provides information on the monthly sales volumes ...
Related Articles
  1. Measuring Company Efficiency
    Fundamental Analysis

    Measuring Company Efficiency

  2. Choosing The Winners In The Click-And-Mortar ...
    Investing

    Choosing The Winners In The Click-And-Mortar ...

  3. Analyzing Retail Stocks
    Fundamental Analysis

    Analyzing Retail Stocks

  4. Becoming A Financial Analyst
    Professionals

    Becoming A Financial Analyst

Hot Definitions
  1. Hyperinflation

    Extremely rapid or out of control inflation. There is no precise numerical definition to hyperinflation. Hyperinflation is ...
  2. Gross Rate Of Return

    The total rate of return on an investment before the deduction of any fees or expenses. The gross rate of return is quoted ...
  3. Debit Spread

    Two options with different market prices that an investor trades on the same underlying security. The higher priced option ...
  4. Leading Indicator

    A measurable economic factor that changes before the economy starts to follow a particular pattern or trend. Leading indicators ...
  5. Wage-Price Spiral

    A macroeconomic theory to explain the cause-and-effect relationship between rising wages and rising prices, or inflation. ...
  6. Accelerated Depreciation

    Any method of depreciation used for accounting or income tax purposes that allows greater deductions in the earlier years ...
Trading Center