Retail analytics is the process of providing valuable data on inventory levels, supply chain movement, consumer demand, sales, and much more that can be used for a variety of applications like maintaining procurement levels and making crucial marketing decisions. Retail analytics also gives us detailed customer insights along with insights into the business and processes of the organization with scope and need for improvement.
The first and foremost advantage of leveraging retail analytics is that they offer 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 give a highly accurate picture to retailers of what works and what doesn’t.
As established, retail analytics help in measuring return on investment across various aspects of business management. Consequently, they can have a deep impact on enhancing the ROI from marketing endeavors. 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 etc.
In-store analytics offer a profound understanding of the 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 the kind of layouts that catch eyeballs, the 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 the best staffing options, the most appealing design techniques and the most effective selling tactics.
Retail analytics can play a vital role in elevating the efficiencies in everyday business management. Predictive analytics allow the seller to take swift actions for decision-making on stocking, tracking, and restocking SKUs regularly. By keeping a 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 in identifying their most popular items and then focusing on these and similar products for increased sales.
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 and 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 the brand resonance with the customers who feel more valued. Naturally, this increases the loyalty that they feel towards the store.
From merchandising and marketing to loss prevention and operations, the benefits of in-store analytics spread across various vertices. Marketing is usually the biggest beneficiary in these cases, while merchandising and inventory management also receive a tangible boost. It suffices to say that the importance of DSD retail analytics is going to increase in 2018 and coming years. A number of large retailers and sellers have profited from using these analytics for some time now. As the 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.