See how Data Ladder helps retail businesses leverage data to optimize prices, streamline inventory control and management, and build personalized customer service delivery.
Retail Learns to Embrace Big Data
Sales Receipts / Records
It is the classic “Who, What, When, Where, Why and How.” This data can be used to evaluate everything from staffing, store hours, sales volumes or specific traffic information. It is a goldmine of information.
This is a powerful tool for small retailers. Social media will allow you to keep a close tab on customers through interaction and understanding. Capitalize on this venue and you will boost loyalty and customer volume.
Customer Loyalty Programs
Skip the paper punch cards. The digital tools give you amazing insights into customer preferences and habits. It will also help you connect on a deeper level with your customer base and solidify loyalty.
This data will help you accurately manage inventory, buffer stock, and overall annual inventory. It significantly impacts customer service and cash flow. Quickly identify and respond to low performing merchandise, making room for products customers engage with.
Website analytics provide amazing actionable insights. Whether you sell on the web or not, you will be able to glean amazing insights into customer behavior, preference, and habit. You will also be able to have a greater understanding of what marketing platforms work best for your business and allow you to exploit that success.
Accepting the Power of Data in Retail
Having confidence in analytics can be a difficult concept to grasp. Fully embracing the intelligence can sometimes run up against the human practices used across the industry for years. The retail sector is no different and has struggled in some areas, completely capitalizing on the power of data. The value of data can be seen in optimizing prices, inventory control and management, and personalized customer service delivery.
One of the challenges facing retail is in pricing. Traditional pricing models dictate that seasonal item prices are reduced at the close of the season to make room for the next merchandise flow. This principle has been a firm tradition that has been religiously practiced by retail and expected by customers. The practice of seasonal clearance is a tradition that would be hard to shake.
The test for retail was to employee analytics to reduce the price of seasonal merchandise, before the traditional cut-off date and implement those price reductions as sales of items slow, but before sales hit the low point. Studies have shown that when using a human control group vs. predictive analytics in this concept, analytics performed at least 90% better than the human control group. These numbers have convinced retail of the value in predictive analytics in pricing.
How We Help You Improve Data Quality
Optimize Merchandising Strategy
Gaining insight and focusing limited resources on what sells and how to convert customers. Due to retail’s basic infrastructure, dependence on data to run operations is critical. From supply chain and distribution to operations at the store level, there are many moving parts that contribute to a smooth workflow. In addition, many retail companies have an e-commerce portion that adds a substantial portion of sales.
The case for using big data within retail companies is critical. Even more so, the ability to manage it effectively with data quality tools is even more important. The ability to use it to drive sales and optimize processes provides a value unmatched by other types of services. In retail, using big data to drive customer loyalty and provide a benefit for customers is a good enough reason for many retailers to implement a data quality program.
Identify Low Performance Products
Clearly, proper and effective data management is critical to the retail environment. Within that, understanding the proper categories of their goods allows retail to effectively marketing and sell their product. It is crucial to their success that unstructured data is managed properly. Quickly identify and respond to low performing merchandise, making room for products customers engage with.
Retail will enjoy significant increases in their financial performance and customer satisfaction across the industry, in all sectors. The key to success will be to have the right partner, with the right expertise to provide retail with the tools required to succeed. Targeting and segmenting existing customers and general audience with new promotions, ads, and loyalty perks.
Understand your Data & Market
Retailers refine and manage the data to ensure they can connect to the widest base of their customers, often going so far as to offer special bargains for the loyalty card holder. These offers can be made available online or in the store to loyalty card holders to get you excited about the deals and hopefully tell your friends about the deals.
Increase Order Value
All companies, manufacturers, and vendors have their own set of numbers for items they sell or manufacture. If you are a retailer and are dealing with many companies and manufacturers, then you can relate to this dilemma. Quickly exposing existing customers to new products, converting loyalty into deeper sales.