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Metric Definitions & Glossary

Complete reference guide for all metrics used across Falcon Retail dashboards

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Sales & Revenue Metrics 7
Net Sales
Sales & Revenue Primary

Total revenue after discounts and returns. This is the primary revenue measure reflecting actual cash collected from customer transactions.

Gross Sales - Discounts - Returns
Gross Sales
Sales & Revenue

Total revenue before any deductions such as discounts, returns, or allowances. Represents the sum of all transaction values.

Discount Amount
Sales & Revenue

Total monetary value of all discounts applied to transactions. Includes promotional discounts, employee discounts, and loyalty reductions.

Discount Rate
Sales & Revenue Percentage

Percentage of gross sales given as discount. Indicates promotional intensity and pricing strategy effectiveness.

Discount Amount / Gross Sales × 100
Average Order Value (AOV)
Sales & Revenue Performance

Average revenue per transaction. A key performance indicator for measuring transaction productivity and customer spending patterns.

Net Sales / Transaction Count
Revenue per Unit
Sales & Revenue

Average revenue per unit sold. Reflects pricing strategy and mix of products sold across channels.

Net Sales / Units Sold
Comp Sales
Sales & Revenue Year-over-Year

Same-store sales growth comparing the same period in the current year versus the prior year. Eliminates the impact of new store openings to measure like-for-like performance.

Profitability Metrics 4
Gross Margin
Profitability Primary

Revenue minus cost of goods sold. Represents the profit available after covering the direct cost of products. Core measure of operational efficiency.

Net Sales - (Unit Cost × Quantity)
Gross Margin %
Profitability Percentage

Margin expressed as a percentage of sales. Allows comparison across product categories and time periods. Target typically 40-50% for retail.

Gross Margin / Net Sales × 100
Contribution Margin
Profitability

Revenue after variable costs (COGS, shipping, fulfillment). Indicates how much each sale contributes toward covering fixed costs and profit.

GMROI (Gross Margin Return on Inventory Investment)
Profitability Efficiency

Gross Margin Return on Inventory Investment. Measures how many dollars of gross margin profit are generated for each dollar of average inventory investment. Higher values indicate better inventory productivity.

Gross Margin / Average Inventory Cost
Inventory Metrics 6
Units on Hand (UOH)
Inventory Primary

Current inventory quantity across all locations and channels. Real-time snapshot of available stock ready for sale.

Sell-Through Rate (STR)
Inventory Percentage

Percentage of received inventory that has been sold. Key metric for assessing demand and product performance. Target typically 80%+.

Units Sold / (Units Sold + Units on Hand) × 100
Weeks of Supply (WOS)
Inventory

Number of weeks current inventory will last at current sales velocity. Indicates inventory health and potential stockout or overstock risk.

Units on Hand / Avg Weekly Units Sold
Stock-Out Rate
Inventory Risk

Percentage of SKUs with zero units on hand. Indicates product availability risk and potential lost sales opportunity.

Markdown Depth
Inventory Pricing

Average percentage reduction from original retail price. Reflects clearance and promotional activity. Higher values indicate more aggressive discounting.

Open-to-Buy (OTB)
Inventory Planning

Budget available for new inventory purchases within the current period. Critical for inventory planning and purchase authorization.

Planned Purchases - On-Order
Customer Metrics 4
Customer Lifetime Value (CLV)
Customer Strategic

Predicted total revenue from a customer relationship over its entire duration. Used to segment customers by value and determine acquisition investment levels.

Repeat Rate
Customer Loyalty

Percentage of customers who make 2 or more purchases within a defined period. Key indicator of customer satisfaction and retention.

Customer Acquisition Cost (CAC)
Customer Marketing

Cost to acquire a new customer. Divides total marketing and promotional spend by number of new customers acquired. Critical for ROI measurement.

Loyalty Tier
Customer Segmentation

Customer classification based on spend levels: Bronze (baseline), Silver, Gold, Platinum (highest). Used for targeted marketing and personalization.

Store Operations Metrics 5
Traffic / Visitors
Operations Primary

Number of people entering a physical store. Measured via foot counters and sensors. Foundation metric for traffic-based analysis.

Conversion Rate
Operations Percentage

Percentage of store visitors who make a purchase. Critical indicator of sales effectiveness and customer engagement at store level.

Transactions / Visitors × 100
Average Basket Size
Operations

Average dollar value per transaction. Reflects successful upselling and customer purchasing power.

Units Per Transaction (UPT)
Operations

Average number of items per sale. Indicates selling effectiveness and basket building. Target typically 1.5+ units.

Units Sold / Transactions
Email Capture Rate
Operations Marketing

Percentage of transactions capturing customer email addresses. Used for loyalty program enrollment and marketing communication.

E-Commerce Metrics 5
Sessions
E-Commerce Primary

Total website and app visits. A session represents one user's visit duration. Foundation metric for digital traffic analysis.

Session Conversion Rate
E-Commerce Percentage

Percentage of sessions resulting in a purchase order. Critical indicator of digital channel effectiveness. Target typically 2-4%.

Orders / Sessions × 100
Net Merchandise Demand (NMD)
E-Commerce

Ordered revenue after accounting for cancellations. Reflects true customer demand for products ordered online.

Bounce Rate
E-Commerce Percentage

Percentage of single-page sessions where users exit without further engagement. Lower is better. Target under 50%.

Cart Abandonment
E-Commerce Percentage

Percentage of shopping carts not converted to completed orders. Indicates friction in checkout process. Target under 70%.

Channel Metrics 4
Channel Mix
Channel Allocation

Revenue distribution across sales channels (store, online, BOPIS, etc.). Shows which channels drive the most revenue.

BOPIS (Buy Online Pick Up In Store)
Channel Omnichannel

Orders placed online for in-store pickup. Growing channel that bridges digital and physical retail, driving foot traffic.

Digital Penetration
Channel Percentage

Digital revenue (online + BOPIS) as percentage of total company revenue. Shows shift toward digital commerce.

Omnichannel Rate
Channel Percentage

Percentage of customers using two or more channels. Indicates customer engagement depth and cross-channel loyalty.

Promotion Metrics 3
Promo Lift
Promotion Performance

Incremental sales attributed to a promotion above baseline. Calculated as actual sales minus expected sales without promotion.

Promotion ROI
Promotion Performance

Return on promotional investment. Measures profit generated for every dollar spent on promotion. Target >200%.

Incremental Revenue / Promo Cost
Redemption Rate
Promotion Percentage

Percentage of promotional offers that are actually used by customers. Indicates offer appeal and customer engagement.

Time Period Definitions 8
WTD (Week-to-Date)
Time Definitions

Calendar period from Monday through the current day of the week. Used for weekly trend analysis and rapid reporting.

MTD (Month-to-Date)
Time Definitions

Calendar period from the 1st of the month through the current day. Standard reporting period for monthly performance.

YTD (Year-to-Date)
Time Definitions

Period from January 1 through the current day of the calendar year. Used for annual performance tracking.

TY (This Year)
Time Definitions Current Period

Current fiscal year (February 1, 2026 - January 31, 2027). Reference year for all year-over-year comparisons.

LY (Last Year)
Time Definitions Prior Period

Prior fiscal year (February 1, 2025 - January 31, 2026). Used for year-over-year performance comparisons.

Comp Period (Comparable Period)
Time Definitions

Same calendar period in the prior year. Used for like-for-like seasonal comparisons. For example, Feb 2025 is comp to Feb 2026.

Fiscal Year Definition
Time Definitions

Falcon Retail fiscal year runs from February 1 through January 31. Aligns with retail calendar and inventory planning cycles.

Reference Date
Time Definitions

The specific date used as the calculation point for all metrics. Typically the current date or end of reporting period. Ensures consistency across dashboards.