Average transaction size (ATS) is a metric that measures the average amount customers spend on products within a specific period of time.
To understand how to price products, engage customers, and assess the success of their business, retailers use several different types of sales metrics, including average transaction size (ATS), also known as average ticket size.
To find this number, retailers choose a particular period of time (such as an hour, a day, or a week), calculate the total amount of sales made within that time period, then divide that number by the number of transactions completed within that time. This formula helps them determine the average amount customers are spending on products within that time frame.
Average transaction size (ATS) is an important metric for retailers to understand because it connects directly to the success of their business: by increasing the ATS, they can increase their overall profits. Having a pulse on this metric can help retailers determine if they need to price items or engage with customers differently.