People Counting Systems in 2022:  how they work and why they’re important

Are you considering using people counters in your spaces? If so, we say you're on to something.

Automated people counter systems were initially created to improve operational and marketing performance in the retail industry. However, today many private businesses and public institutions have caught on to the benefits of implementing people counting technology in their spaces.

The numbers speak for themselves: analysts say the worldwide people counting market will reach an astounding 1.7 billion USD by 2027 (ReportLinker, September 2021).

What's behind this growing interest by private businesses and public institutions for people counting technology? The answer is two-pronged:

#1: Today's decision-makers are much more aware of data importance — what we call business intelligence.

#2: The tools to collect and analyze this data are also more accessible than they used to be in terms of cost, user-friendliness and usability — what we call "actionable data."

In this Tech Times article, we'll be looking at:

  • The benefits of people counting systems
  • How do people counting systems work?
  • The accuracy of people counter systems in 2022
  • Choosing a people counting system in 2022
People Counting Systems in 2022:  how they work and why they’re important

The benefits of people counting systems - who uses them, and why. 

Also known as foot traffic or footfall technology, people counter systems first introduced in the retail industry are now a widespread solution.

Private businesses and public institutions from several sectors rely on people counter systems, including corporate buildings, event venues, hospitality, healthcare, libraries, museums, transportation and worship places.

A people counter system will capture data and reveal insights that provide strategic and operational benefits.

These benefits include some of the following examples:

#1 Efficiency and profitability

  • improving conversion rate and staff performance (e.g. sales numbers versus footfall numbers)
  • optimizing marketing tactics and expenditures (e.g. impact of marketing tactics on foot traffic)
  • demonstrating reach and results (e.g. for public grants — libraries, museums, etc.)
  • staffing efficiently based on foot traffic trends or real-time occupancy

#2 Improved customer experience

  • staffing preemptively, whether in real-time (e.g. airports, events) or by benchmarking recurring traffic trends (e.g. retail)
  • benchmarking foot traffic data to ensure quality customer service
  • reducing customer friction
  • providing free-flow circulation — as opposed to artificial queue lines or gateways like turnstiles

#3 Space management

  • right-sizing spaces (e.g. identifying high-demand and unused areas)
  • optimizing facility maintenance and reducing energy consumption

#4 Safety and compliance

  • controlling occupancy in real-time, at all times
  • complying consistently and cost-effectively with regulations on occupancy levels (e.g. Covid-19, Fire codes)
People Counting Systems in 2022:  how they work and why they’re important

Though several private or public entities are now working with people counting systems, stores, shops and malls still account for a good chunk of people counting technology users.

In fact, the advent and growth of e-commerce increased the importance of footfall data for brick-and-mortar decision-makers, who doubled down on business intelligence efforts; if e-commerce platforms measure online traffic and conversion to gather business insights, why not collect similar data in the physical world?

How do people counting systems work?

Modern people counter devices — also called entry sensors — use various technologies to capture footfall traffic. Invisible beams, time of flight or AI-powered cameras are among them.

Once captured by the device — that's the hardware part of a people counting system — data is relayed either through a wired or WiFi internet connection to the software platform in the Cloud.

Users of a modern people counting system will then refer to the analytics platform-that's the software part of a people counting system. This platform pulls the data from the Cloud, processing the data to deliver several pieces of information. For instance: total foot traffic, foot traffic during specific periods, live occupancy, correlations with sales, etc.

People Counting Systems in 2022: how they work and why they’re important.

That combination of hardware and software is why we keep referring to the term "people counter systems." In Tech Times' product review of one of the market's leading people counting systems, you'll see that extending the notion of people counter systems to include provider plans and customer support is equally logical.

People Counting Systems in 2022:  how they work and why they’re important

Important: keep in mind that not all people counter systems provide the same level of information. If you're looking for a people counting system, you'll want to inquire about its breadth of capabilities, explore the brand's website, and request a demo when it's available.

Also: make sure that the people counter device you choose can work as a cohesive system and provide actionable data.

We say this because several "basic" people counter devices display footfall numbers on the device itself. That might work for some users. But in this day and age of IoT and business intelligence data, we see little reason to go for an antiquated device that won't even connect to the Cloud or an analytics platform.

Granted, our Tech Times editorial team has a penchant for technology. Plus: the upfront cost of a fully automated and cloud-connected people counting system is also higher. However, if you factor in the repeated cost of manually inputting your foot traffic data, human error and the inevitable inconsistencies related, and the fact that you can't access your data remotely, then the cost comparison quickly shifts in favour of fully automated people counter systems.

People Counting Systems in 2022:  how they work and why they’re important

The accuracy of people counter systems in 2022

Let's cut to the chase: what's the worst people counter device out there? The answer: other people!

Footfall traffic specialists often make that joke. The thing is, "it's funny 'cause it's true."

Whether someone is running a private company or managing public spaces, their first reaction is often to think they can correctly estimate or count the number of people entering and exiting their facilities. According to footfall experts at SMS Storetraffic, "when our clients start working with a people counting system, they realize the level of discrepancies between their footfall estimates and reality."

Three crucial factors help determine the accuracy of a modern people counter system:

#1 The people counter device's quality, namely its ability to capture and report on foot traffic accurately and consistently.

#2 Working with the right people counting technology for the right circumstances/location.

#3 Installing the people counter device correctly — as recommended by the people counter manufacturer/provider.

When meeting these factors, the accuracy of a modern people counting system will typically range between 95% and 99%. Translation into real-life terms: this level of accuracy means you can fully rely on your data to improve decision-making.

People Counting Systems in 2022:  how they work and why they’re important

Choosing a people counting system in 2022

Type "people counter" on your browser, and you'll be greeted by a slew of solutions and brands. Which one can you trust? We asked ourselves that same question.

Our Tech Times team narrowed down the people counting industry's offerings based on critical factors. Our goal: get our hands on one of the best people counting systems and experience it first-hand to see how it performs.

One brand, in particular, caught our attention, notably for its customer satisfaction scores and well-established reputation: SMS Storetraffic. You can check out our full Tech Times review to learn more about our experience with SMS Storetraffic's people counting system.

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