KPI Library
The indicators used in grocery chains: definition, formula, a working calculator, a worked example and where each one misleads. A ready-made grocery chain set, arranged by role and frequency, is here too. Every KPI links to the Mindpera module that calculates it.
Grocery chain KPI set
The set is a ready dashboard design: who looks at which indicator, and how often, in a grocery chain.
All KPIs
34 KPIs
Sales & customers
- Like-for-like sales growth (LFL)
(Current-period LFL sales − Same period last year LFL sales) ÷ Same period last year LFL sales × 100Like-for-like (LFL) sales growth is the percentage change in sales of the same stores that were open throughout both periods compared; it strips out the effect of store openings and closures. - Average transaction value (ATV)
Net sales (excl. VAT) ÷ Number of transactions (receipts)Average transaction value is net sales excluding VAT for a period divided by the number of transactions (receipts): the average amount a customer spends per shopping trip. - Units per transaction (UPT)
Total units sold ÷ Number of transactions (receipts)Units per transaction (UPT) is total units sold in a period divided by the number of transactions (receipts): the average number of items a customer buys per trip. - Store conversion rate
Number of transactions (receipts) ÷ Number of visitors × 100Store conversion rate is the number of transactions (receipts) in a period divided by the number of visitors entering the store; it shows what share of shoppers actually buy. - Sales per square metre
Net sales (excl. VAT) ÷ Selling area (m²)Sales per square metre is net sales excluding VAT for a period divided by the store's selling area; it is the productivity measure that shows how much sales the space generates. - Sales per labour hour (SPLH)
Net sales (excl. VAT) ÷ Total staff hours actually workedSales per labour hour is net sales excluding VAT for a period divided by the total staff hours actually worked in that period; it measures labour productivity. - Markdown sales share
Net sales at a reduced price ÷ Total net sales × 100Markdown sales share is net sales made below the original selling price, at a marked-down or promotional price, as a percentage of total net sales for a period. - Private label share
Own-brand net sales ÷ Total net sales × 100Private label share is the net sales of products a chain sells under its own brand divided by total net sales, tracked by category, store and period. - Promotional uplift
(Promotion-period sales − Baseline sales) ÷ Baseline sales × 100Promotional uplift is the percentage by which sales during a promotion exceed the baseline sales expected without it, calculated by product and store.
Inventory & availability
- Inventory turnover
Cost of goods sold (COGS) ÷ Average inventory at costInventory turnover is cost of goods sold for a period divided by average inventory at cost; it shows how many times stock sold through and was replenished during the period. - Days of inventory
Average inventory at cost ÷ Annual COGS × 365Days of inventory is average inventory at cost divided by daily cost of goods sold; it shows on average how many days of sales the stock on hand covers. - GMROI
(Net sales − Cost of goods sold) ÷ Average inventory at costGMROI (Gross Margin Return on Inventory Investment) is gross profit for a period divided by average inventory at cost; it shows how much gross profit each unit of money tied up in stock produces. - In-stock rate
(Active store-product combinations − Out-of-stock combinations) ÷ Active store-product combinations × 100In-stock rate is the share of store-product combinations that should be on sale and have saleable stock at the time of measurement; it shows how likely a shopper is to find the item. - Dead stock ratio
Non-moving stock past the threshold at cost ÷ Total inventory at cost × 100Dead stock ratio is the cost of stock counted as non-moving under the business's written threshold divided by total inventory at cost; it shows how much capital is tied up in goods that do not sell. - Inventory record accuracy (IRA)
Items with records correct within tolerance ÷ Total items counted × 100Inventory record accuracy is the share of counted items whose system record matches the physical count within a defined tolerance; it shows item by item how far stock records can be trusted. - Stock count variance rate
(|Negative variance| + |Positive variance|) ÷ Value of stock counted × 100Stock count variance rate is the absolute sum of negative and positive differences between the physical count and recorded stock, divided by the value of stock counted; it shows the financial size of record error. - Inventory carrying cost rate
(Capital + Storage + Risk + Service cost) ÷ Average inventory value × 100Inventory carrying cost rate is the annual capital, storage, risk and service cost of holding stock divided by average inventory value; it expresses the yearly cost of excess stock as a percentage.
Cost & profitability
- Gross margin
(Net sales − Cost of goods sold) ÷ Net sales × 100Gross margin is gross profit — net sales less cost of goods sold — expressed as a share of net sales; it shows what selling the product earns before operating expenses. - Contribution margin
(Net sales − Variable costs) ÷ Net sales × 100Contribution margin is what remains of sales after deducting variable costs only; it is the amount available to cover fixed costs and leave a profit. - Shrinkage rate
Shrinkage cost ÷ Net sales × 100Shrinkage rate is the cost of stock that leaves inventory without being sold — through spoilage, breakage, expiry, preparation loss or unexplained loss — as a share of net sales. - Occupancy cost ratio
(Rent + Service charge) ÷ Net sales × 100Occupancy cost ratio is a store's rent plus service charge as a share of its net sales excluding VAT for the same period; it shows whether the store's sales carry the cost of its space. - Food waste to sales ratio
Cost value of disposed food ÷ Food net sales × 100The food waste to sales ratio is the cost value of food disposed of in a period divided by food net sales for the same period; donated and marked-down products are not counted as waste. - Fresh food shrink rate
(Disposal + Trimming + Weight variance) at cost ÷ Fresh department net sales × 100Fresh food shrink rate is the cost value of loss from disposal, trimming and weight variance in short-life departments such as produce, bakery, meat and deli, divided by that department's net sales. - Break-even sales
Monthly fixed costs ÷ (Gross margin − Shrinkage rate − Variable cost rate)Break-even sales is the monthly net sales at which a store covers its fixed costs and makes neither profit nor loss; it is fixed costs divided by the contribution margin ratio.
Supply & planning
- OTIF (on time in full)
Lines delivered both on time and in full ÷ Total order lines × 100OTIF (On Time In Full) is the share of supplier order lines delivered both within the requested date window and with the full quantity ordered. - Fill rate
Fulfilled (units, lines or orders) ÷ Requested (same unit) × 100Fill rate is the share of the quantity requested by a store, customer or warehouse that is met from stock, measured by units, order lines or whole orders. - Supplier lead time
Σ (Goods receipt date − Order date) ÷ Number of deliveriesSupplier lead time is the number of days from placing a purchase order to the goods being received and ready for sale; it is tracked as an average together with its variability. - Forecast accuracy (MAPE)
Σ (|Actual − Forecast| ÷ Actual) ÷ n × 100MAPE (mean absolute percentage error) divides each period's demand forecast error by actual sales and averages those percentages; forecast accuracy is stated as 100 − MAPE. - Forecast bias
Σ (Forecast − Actual) ÷ Σ Actual × 100Forecast bias shows whether the demand forecast runs systematically above or below actual sales, as total error divided by total actual sales. - Lost sales rate
(Stockout days × Normal daily sales) ÷ (Actual sales + Stockout days × Normal daily sales) × 100Lost sales rate is the estimated sales that did not happen because the product was not on the shelf or in stock, as a share of actual sales plus those estimated lost sales. - Days payable outstanding (supplier payment days)
Trade payables balance ÷ Cost of goods sold × Days in periodDays payable outstanding shows how many days, on average, a chain takes to pay supplier invoices; it is the trade payables balance divided by daily cost of goods sold.
Branch operations
- Labour cost ratio
Total labour cost ÷ Net sales × 100Labour cost ratio is the total employer cost of staff for a store, branch or chain as a share of its net sales excluding VAT for the same period. - Cash variance rate
|Expected takings − Counted takings| ÷ Expected takings × 100Cash variance rate is the absolute gap between takings counted at the end of the day and the takings expected from POS records, as a share of expected takings. - Price label accuracy rate
Compliant label checks ÷ Total label checks × 100Price label accuracy rate is the share of checked shelf labels that match the till price and meet mandatory label requirements, tracked by store and day.
See it with your own data.
Mindpera runs this calculation every day by product, branch and category; a value that crosses its threshold lands on its owner as a task.