Units per transaction (UPT) is a sales metric used to measure the average number of items that customers purchase in any given transaction.
The higher the number of units per transaction (UPT), the more products customers buy per visit.
Getting people to buy more means that the company understands its customers well. It also means additional income and perhaps more leverage to increase prices and margins.
– Retailers often make units per transaction (UPT) a key performance indicator (KPI).
Base unit per transaction (UPT) is calculated by dividing the number of items purchased by the number of transactions per period.
It is recommended that the number of units per transaction (UPT) be calculated later on a daily basis rather than on a quarterly or seasonal basis for the most accurate data.
Performance Based Management (ABM) is a means of analyzing a company’s profitability by looking at every aspect of its business to determine its strengths and weaknesses.
A ballpark figure is a rough estimate of what something might mean in numerical terms when a more precise number is estimated, such as the cost of a product.
The binomial distribution is a probability distribution that generalizes the probability that a value will take on one of two independent values given a set of parameters or assumptions.
Share capital is the number of ordinary and preferred shares that the company has the right to issue and which are accounted for on the balance sheet as part of share capital.
The Central Limit Theorem (CLT) states that the distribution of sample means approaches a normal distribution as the sample size increases, regardless of the distribution of the population.