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5 Benefits of Retail Analytics
Learn about the benefits of DSD software and retail analytics that provide detailed business and customer insights.
Retail analytics is the process of collecting valuable data on inventory levels, supply chain movement, consumer demand, sales, and much more. All of which can be used for a variety of applications like maintaining procurement levels and making crucial marketing decisions.
Whether they’re being used to enhance a scan-based trading partnership, or inform a sales strategy, these are the five top benefits offered by retail analytics.
1. Customer behavior insights
The first and foremost advantage of leveraging retail analytics is that it offers tangible and actionable insights into customer behavior. Managing any aspect of a business becomes many times easier when one knows how to measure the return on investment. Retail analytics makes this possible. From studying the social responses to a product to gauging how a campaign improved the store’s conversion rates, retail analytics offer a highly accurate picture to retailers of what works and what doesn’t.
2. Improving Marketing ROI
As established, retail analytics help in measuring and enhancing return on investment across various aspects of business management. Since a store manager can measure the effect of in-store influences on purchase patterns, he can alter future campaigns accordingly. He can focus on effective campaigns and streamline marketing initiatives based on what clicks with its specific clientele. DSD Retail analytics also help in assessing the viability of customer loyalty programs, seasonal discounts, one-time offers and more.
3. Optimizing In-Store Operations
In-store retail analytics offer a profound understanding of consumer behavior inside the store. Tracing their shopping patterns and dwelling times can unlock innumerable opportunities for all kinds of retail operations, from individual stores to sprawling shopping malls. Managers can better fathom:
- Eye-catching store layouts
- Product placements that draw maximum attention
- And the service delivery quality that customers feel more pleased with
With these metrics at hand, retailers can analyze and optimize the best staffing options, the most appealing design techniques and the most effective selling tactics.
4. Managing the Basics
Retail analytics can play a vital role in elevating the efficiencies in everyday business management. Predictive retail analytics allow the seller to take swift actions for decision-making on stocking, tracking, and restocking SKUs regularly. By keeping track of how often a particular product moves from the shelves to the shopping carts, sellers can chart the trends that are dominant in the current market. This information can also help them identify their most popular items, so they can then focus on these and similar products to increase sales.
5. Enhancing Loyalty
By giving meaningful insights into customer behavior, retail analytics helps in bolstering the relationship between a store and its visitors. It allows the retailer to get the right information across to the right recipient to ensure a rewarding shopping experience for the buyer. By personalizing marketing content, remembering purchase history and preferences, retailers are able to showcase the relevant products and offers to the most responsive audience and thereby enhance the propensity in them to buy. This also augments brand resonance by making customers feel recognized and valued. Naturally, this increases the loyalty that they feel towards the store.
Optimize DSD Logistics With Retail Analytics
From merchandising and marketing to inventory loss prevention and operations, the benefits of in-store retail analytics spread across various categories. And it suffices to say that the importance of DSD retail analytics is going to increase in the coming years. A number of large retailers and sellers have profited from using these analytics for some time now. As retail analytics technology becomes more ubiquitous and popular, it will lead to greater benefits, both for the sellers as well as the consumers.
iControl’s collaborative analytics solution offers exactly this. It provides a normalized, harmonized, and secure web portal where critical trading information can be shared. iControl helps you to analyze product orders and allows retailers and trading partners to proactively evaluate past in-stock performance. We also provide forecasted inventory levels with alerts that anticipate expected out-of-stocks.
To learn how the iControl suite of solutions can help your business make better merchandising decisions, contact us today.