Measurement & Market
What is sales decomposition?
Sales decomposition is the discipline of breaking a sales change into its component causes — traffic versus check, price versus mix within check, channel shifts, daypart shifts, store groups, and market backdrop — until the driver is specific enough to act on. 'Sales are down 4%' is a symptom; 'lunch traffic at urban locations is down 9% since the March price increase' is a decision.
Decomposition works as a cascade of splits, each narrowing the search: sales into traffic and check; check into price, mix, and attach; the decline into dayparts, channels, and store cohorts; and the residual against market context, separating what the brand did from what the market did to everyone.
The alternative to decomposition is the conference-room anecdote war, where marketing blames price, operations blames staffing, and the loudest theory wins. Decomposition replaces competing narratives with an attribution everyone can check.
Why it matters
Most wrong turnaround decisions come from treating the wrong cause. A discount can't fix an operations problem and a staffing push can't fix mispricing; decomposition is how a brand finds out which one it actually has.
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