Sales Dropping? Is It Your Manager or Your Location?

Sales Dropping? Is It Your Manager or Your Location?

Published: 5th April 2026

Video

In this video, we answer:

• What is the most overlooked factor when sales drop?
• How can you test whether your problem is location or management?
• What example shows why foot traffic data is critical?
• What is the formula for projected sales?
• What is entry rate for fast food vs snacks?
• What should you do before signing any lease?
• Why should you never compromise on location?
• What happens when you settle for a bad location?
• What matters more than your manager or your food?

Key takeaways:

• Is it your manager… or your location?Your sales are down. What do you do? Change the menu? Blame the manager? Most owners jump straight to that conclusion. But what if the real problem is walking right past your front door every single day?
• Here is a simple test.If your sales dropped by half, and the foot traffic outside also dropped by half? Your operations are probably fine. The problem is outside your control. But if foot traffic stayed the same and sales still dropped? Then you have a manager problem.
• Foot traffic increased 150%.You hire a new manager. Sales double. Everyone celebrates. But what if foot traffic also doubled because a new train station opened nearby? That sales increase has nothing to do with the manager. Without foot traffic data, you will give credit – or blame – to the wrong person.
• The formula:Projected Sales = Foot Traffic × Order Value × Entry Rate × Adjustments. For fast food, entry rate is only 3% to 5%. For snacks? 1% to 3%. You need massive traffic to survive.
• Above target? Open. Below target? Walk away.Before you sign any lease, stand outside that location and count foot traffic. Compare it to your projected target. Do not compromise.
• Never compromise on location.If you cannot get the right spot this year, wait. Next year? Wait. Even the year after? Wait. Because once you settle for a bad location, you will never go back for the good one.
• Location first. Everything else second.Your manager matters. Your food matters. But nothing matters more than the people walking past your door. Count them first. Everything else comes second.

Full transcript

[0:00-0:10]
Visual: A busy street scene. People walking past a restaurant. Cut to an empty dining area inside. Text fades in: “Is it your manager… or your location?”

Narrator (Female, Confident, American Accent):
Your sales are down. What do you do? Change the menu? Blame the manager? Most owners jump straight to that conclusion. But what if the real problem is walking right past your front door every single day?

[0:10-0:25]
Visual: Split screen showing foot traffic counter on a phone, then a sales chart going down alongside a people counter going down. Both lines move together.

Narrator:
Here is a simple test. If your sales dropped by half, and the foot traffic outside also dropped by half? Your operations are probably fine. The problem is outside your control. But if foot traffic stayed the same and sales still dropped? Then you have a manager problem.

[0:25-0:40]
Visual: A shop manager looking proud next to a sales chart going up. Then a wide shot showing a massively crowded street. Text appears: “Foot traffic increased 150%”

Narrator:
Let me give you an example. You hire a new manager. Sales double. Everyone celebrates. But what if foot traffic also doubled because a new train station opened nearby? That sales increase has nothing to do with the manager. Without foot traffic data, you will give credit—or blame—to the wrong person.

[0:40-0:55]
Visual: Simple formula on screen: Projected Sales = Foot Traffic × Order Value × Entry Rate × Adjustments. Icons for each factor appear one by one.

Narrator:
So how do you get this right? You need four numbers. Foot traffic in front of your shop. Average order value. Entry rate—that is the percentage of people who actually walk in. And adjustment factors. For fast food, entry rate is only three to five percent. For snacks? One to three percent. You need massive traffic to survive.

[0:55-1:10]
Visual: A person standing on a sidewalk, counting people on their phone. Then a “For Lease” sign. Text appears: “Above target? Open. Below target? Walk away.”

Narrator:
Here is the most practical takeaway. Before you sign any lease, stand outside that location and count foot traffic. Compare it to your projected target. If the number is above? Open the shop. If it is below? Walk away. Do not compromise.

[1:10-1:20]
Visual: A calendar flipping through years—”Year 1″, “Year 2”, “Year 3″—all showing “Wait”. Then a “Finally Got It!” celebration scene.

Narrator:
One final piece of advice. Never compromise on location. If you cannot get the right spot this year, wait. Next year? Wait. Even the year after? Wait. Because once you settle for a bad location, you will never go back for the good one.

[1:20-1:25]
Visual: A thriving restaurant with people queuing outside. Text appears: “Location first. Everything else second.”

Narrator:
Your manager matters. Your food matters. But nothing matters more than the people walking past your door. Count them first. Everything else comes second.

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