An empty classroom isn’t just unused space; it’s a missed revenue opportunity. If your classroom sits vacant for much of the week, it is very likely dragging down your Sales Per Square Foot (SPSF) and limiting your store’s earning potential. Although creating classes and events takes effort, filling your classroom space with engaging programming can deliver significant returns through increased sales, stronger customer loyalty, and new sources of revenue.

What is SPSF?

SPSF, or Sales Per Square Foot, is an important business metric that can help indicate the financial health of your business. SPSF indicates how much revenue (sales) every square foot of your store generates over a period of time (one year).

What does this metric indicate about your business?   It’s a measure of how efficiently you are using the space that you occupy to sell your products and services.

How to Calculate Your Shop’s SPSF:

SPSF is one of the easiest business metrics to calculate:

To find your SPSF for the prior fiscal or calendar year, simply take your gross sales for the year and divide it by the net square footage of your store. The net square footage should be only the areas that shoppers can browse, use, or buy from. Storage areas, offices, restrooms, employee-only rooms, and the like do not count. Classroom space does count!

For example, if your shop had an annual revenue of $200,000 and has 1,000 square feet of shoppable floor space, your SPSF would be:

 $200,000 / 1,000 square feet = $200

What is a “good” SPSF?

SPSF varies widely across different market types. Not surprisingly, Apple stores are the unicorn, ranking highest with SPSF consistently over $5,000; few retailers come even close. Bargain dollar stores come in at the other end of the spectrum in the $100-$200 range.

Smaller specialty retail shops, such as bookstores and sporting goods, typically have a SPSF in the $150 to $250 range. Michaels stores fall within this range, with Statista.com reporting that Michaels stores had an average SPSF of $221 in the US and Canada from 2014 to 2019. Reports that we found for Joann stores (before closing) indicate numbers in the low $100’s, with an average around $111.

For small, independently owned craft shops, it is difficult to find real metrics for comparison; large publicly held companies are required to report financial information to the SEC, while privately owned businesses are not, so the data is simply not readily available. But several online sources suggest that small independently owned craft stores average in the low $200s.

While SPSF is a good metric for determining your business’ financial health, it’s certainly not the only one. But it can help a shop owner recognize inefficiencies that may be overlooked. One of these inefficiencies is failing to use your existing classroom space to its full potential.

If your shop has classroom space, you created that space with the belief that offering classes could generates revenue in a unique way; classes can generate three or more separate sales from each student, including:

1. The registration fee: what the customer pays up front when sign-up occurs
2. The required materials: revenue earned when customer shops for the pattern and/or supplies needed
3. Additional spending in the shop on the day of class: what the customer spends on other product while they’re in your store.

Educational events also provide an opportunity for you to show customers your level of expertise, building trust and repeat sales.

Fill Your Classroom; Improve Your SPSF

You know what full classes can do for your bottom line; the challenge is, of course, the planning and preparation involved in executing them. Then there’s the challenge of marketing the classes so that they sell out and make the planning worth the effort.

At Urban Sewciety, our full-service fabric shop and studio in Westfield, NJ, we face these same challenges day in and day out. With a 3,300 square foot classroom, the financial health of our business is dependent on utilizing that square footage as many hours as possible, every day of the week. Throughout our 11 years in business, we have tested many strategies for keeping the classroom full, making sure that our educational space is contributing to our SPSF. While our popular Sewciety Kids® After-School Sewing Program fills our classroom every weekday in the late afternoon hours, we struggled at times to maximize adult class enrollment in the morning and evening hours.

Following are three strategies we have employed to solve common challenges we face in keeping our classroom utilized.

Challenge #1

While weekend adult classes were consistently filling, weekday and weeknight classes typically had lower enrollment.

Strategy we tested: In 2022 we offered a select few free classes around Thanksgiving as a “thank you” to our loyal customers. These were beginner-level classes, no more than 2 hours in duration, and focused on small, easy projects that would make excellent holiday décor or gifts but required little planning in advance:  examples include mitered-corner napkins, simple fabric baskets, and fringed tea towels. We held these classes only on weekdays or weeknights – never on weekends. We called them ‘Freebies’, and although there was no registration fee, we “required” students to purchase the pattern and materials in our shop. This, of course, was difficult to enforce, but most customers honored that “requirement”. We also made complete kits – the pattern, fabrics, and even matching thread – making it as easy as possible for students to purchase their materials from us.

What we expected: Our regular customers would sign up and take advantage of the free classes. The classes would fill, and we’d generate revenue from product sales during otherwise low foot traffic times.

What actually happened: Some regulars signed up, but most registrations came from brand new customers – people who had never once set foot in our store. Not only did these classes fill, but they also generated huge waitlists, sometimes with dozens of customers waiting for a spot to open up.

What we learned: There were people curious about our classes and the quality of instruction we offered. Free classes gave them an opportunity to try us out; we earned their trust and this resulted in future paid registrations. These classes created some of our best new customers. We also learned that NO project is too easy to offer a class for. The easier the project, the more students we enroll!

How we used what we learned: We continue to offer free classes at various times year-round. This is one of our best strategies for finding new customers and building their trust.

Challenge #2

Fill classes during the summer, when customers are seemingly spending less time sewing and more time outdoors and traveling.

Strategy we tested: In 2024, we offered a Summer Class Pass. Customer pays one fee and can take an unlimited number of eligible classes from mid-June to end of August. We planned heavily in the months prior, filling our calendar with classes every day of the week.

What we expected: A measurable improvement in summer class registrations.

What actually happened: Like the Freebie classes did, this strategy also attracted new customers. Nearly every summer class sold out. Product sales increased drastically during the summer months due to the increase in traffic through the store and the need for students to purchase their materials for class.

What we learned: We previously blamed low enrollment for summer classes solely on the warm weather and customers being out of town. We learned that price is the real barrier to enrolling in multiple classes, and offering a flat rate motivated customers. Having spent less money on registration fees, they spent more on retail product.

How we used what we learned: We continue to offer the class pass every summer. Customers know it’s coming each year and anticipate it with excitement, creating demand and hype for our classes that endures beyond the summer months.

Challenge #3

Find other ways to utilize the classroom that require less planning and effort than structured classes do.

Strategy we tested: Offer periodic WIP (Work-In-Progress) sessions, also commonly called “Open Sew”, that allowed students to work on their own projects under the guidance of an instructor.

What we expected: Our regular students would enroll to work on unfinished projects.

What actually happened: Regular shoppers who typically never took structured classes with us enrolled in WIPs. These sessions catered to customers who weren’t interested in formal instruction but were longing for ways to engage with other like-minded crafters in a relaxed, inspiring environment.

What we learned: Not every event needs to be education-focused and heavily structured. Crafters like to be with each other, and they appreciate being provided with the time and space to do so (for a smaller fee than formal classes).

How we used what we learned: We offer frequent WIP classes, filling in the calendar around structured classes. Occasionally, we hold longer, more party-like WIPS with potluck meals provided by the customers. They love these!

After 11 years in business and experimenting with many different strategies, we have found what works for our audience. Your local market may differ from ours; be curious, be inventive, be experimental, and don’t be afraid to fail. Think of your classroom as a laboratory, where customers engage with staff members, providing feedback, and helping you as the shop owner learn exactly what they want. Try lots of different things and pay attention to the results. You may find a niche that elevates your business to the next level, or at least improves your SPSF.

Megan Whitney

contributor