Vend Retail Guide
Vend’s 2019 Retail
A closer look at the performance of independent retailers around the world.
When you’re running a retail business, it’s not always easy to determine how you’re doing compared to your peers. While reports and balance sheets can shed light on your company’s performance, these tools don’t provide insights on how you measure up with other businesses.
That's where Vend's Retail Benchmarks Report comes in. We analyzed the data of more than 13,000 stores across multiple industries and regions in the year ending 31 March 2019 and compiled the data in this nifty guide.
We've also created additional resources to supplement our findings. There's the retail benchmarks calculator, which lets you enter your store data to see how you compare with other stores in your vertical. And if you want tips and insights to improve your results, grab a copy of the full copy Retail Benchmarks PDF report – it's free!
Check out our findings below!
Revenue and Margins
On average, retailers made $28,094 per month, with North American Retailers generating the most revenue. The average gross margin in retail is 53.33%.
Over the 2018 financial year, retailers made an average $28,904 USD per month. When we looked at the data from a regional perspective, we found that North American retailers generated the most revenue, grossing $31,038.52. They were followed by Australian retailers, who earned $29,081.51 per month. Not far behind are retailers in New Zealand and the UK, who earned $28,527.71 and $28,066.89 respectively. Meanwhile, South African retailers grossed a monthly average revenue of $18,785.98.
If we look at things from a per store perspective, Vend’s data shows that New Zealand and Australian retailers have taken the lead with $22,238.78 and $22,300.28 respectively. Meanwhile, retailers in North America made $22,289.03 per store, while the UK’s per store average revenue was $20,434.18. South African retailers, on the other hand, made an average of $13,091.70 per store.Get the report
When comparing across different verticals, we found that beer, wine and liquor stores earned the most, with $51,939.39 in gross monthly revenue. They were followed by vape stores, which earned $42,465.63, and furniture stores, which earned $42,478.98 per month.
The lowest revenue-grossing retailers include office supplies, stationery and gift shops ($22,089.51) and retailers in the hobbies and musical instruments space ($22,303.84).
We can see a similar story when looking at revenues per store. Beer, wine and liquor stores still had the highest gross revenue per store with $37,944.50, then furniture stores with $32,397.77. The retailers with the lowest per store revenue include cosmetics stores ($14,065.17) and office supplies ($16,241.80).Get the report
Once again, North American retailers seem to be doing well on this metric, having an average gross margin of 53.46%. Australia, New Zealand and the UK all have gross margins that are just above 52%. South African retailers had a gross margin of 46.16%.Get the report
Looking at the data from an industry-specific perspective, we found an interesting trend: some of the retailers that had the highest revenues also had the tightest profit margins. In the same vein, stores with relatively low revenues had high gross margins.
Take beverage manufacturers, which had an average monthly revenue of just $26,159.65. Their revenue might be lower compared to other stores, but they had the highest margins at 65.74%. Meanwhile, beer, wine and liquor stores — which, if you can recall, had the highest revenues — had the lowest margins at just 35.64%.
That said, there are a handful of retailers that seem to have struck a good balance between gross revenues and margins. Jewelry, luggage and leather goods stores not only grossed higher-than-average revenues ($36,715.03), they also had the second highest gross profit margins (62.53%). A similar pattern can be seen with cosmetics retailers, which had comparatively high revenues and margins.Get the report
Transactions and sales
In the 2018 financial year, retailers processed an average of 651.5 transactions across all their stores. The average transaction value was $54.14 (USD) and the average basket size was 2.4.
Retailers in the UK took the lead for transaction count at 793.51 transactions per month. New Zealand retailers processed 737.37 transactions, while those in North America, Australia and South Africa had transaction counts in the 600s.
Vend’s data for transaction counts per store paint a slightly different picture. New Zealand retailers had a higher transaction count per store with 558.98, while UK retailers had 554.35. North American retailers had an average transaction count of 498.79 per store, while those in Australia and South Africa had 446.88 and 444.21 respectively.Get the report
We see a lot more variation when looking at transaction counts across verticals. Unsurprisingly, retailers that sell consumable goods — food and beverage stores and vape shops — had the highest transaction counts. Meanwhile, retailers that sell high-ticket items such as furniture, jewelry and shoes processed the fewest transactions.
The story is very similar when we looked at per store transaction counts. Beer, wine and liquor stores had the highest transaction counts with 1,229.17, followed by specialty foods (961.00) and vape stores (822.25).
Retailers selling high-ticket items — i.e, furniture, jewelry and shoe stores had the lowest transaction counts.Get the report
How much are those transactions worth? Vend’s data shows that North American retailers saw the highest transaction values — $56.44. Not too far off are Australia and New Zealand, which had average transaction counts of $56.08 and $51.69 respectively. Meanwhile, those in the UK had $45.35 and South African retailers saw an average transaction value of $37.16.Get the report
When compared by vertical, furniture stores had the highest transaction value at $223.81. Jewelry, luggage and leather goods retailers and shoe stores were neck and neck with average transaction values of $108.49 and $108.48 respectively.Get the report
Retail basket sizes are consistent across all regions, with South African leading slightly with 2.84 items per basket, and Australia trailing slightly with 2.25.Get the report
From a per-vertical standpoint, beverage manufacturers had the highest basket size with 3.43, while shoe stores had the lowest with 1.32.Get the report
Retailers had an average of 637 customers (that they know of) and cosmetics retailers seem to be truly adept at collecting customer data.
Looking at the data per region, retailers in North America and South Africa had the highest numbers, with an average customer count of 808.82 and 800.08 respectively. They’re followed by New Zealand (606.44), Australia (565.16) and the UK (458.17).Get the report
Cosmetics retailers seem to be truly adept at collecting customer data, as they had the highest customer counts in Vend’s study (1,604.41). Following closely behind are shoe stores (1,583.37) and jewelry, luggage and leather goods stores with 1,350.93 customers.Get the report
That’s a wrap on Vend’s Retail Benchmarks 2019! We hope you picked up tremendous insights and now have a better idea of where your business stands compared with retailers in your industry and region.
No matter what your results are, remember that there’s always something you can do to improve. So, take another look at the recommendations we made in the full report and put them to work in your biz!
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