Holiday season is just around the corner... How are you preparing for this?
In order for retailers to capitalize on changes in the industry, especially during the holidays, they need ways to collect, manage and analyze a tremendous volume, variety, velocity and veracity of data. If retailers succeed in addressing the challenges of “big data,” they can use this data to generate valuable insights for personalizing marketing and improving the effectiveness of marketing campaigns, optimizing assortment and merchandising decisions, and removing inefficiencies in distribution and operations.
Effectively analyzing the large volume and variety of customer data opens new opportunities to gain a deeper, more complete understanding of each customer and create a smarter shopping experience. That information deepens their understanding of customer preferences, helps them more accurately identify shopping patterns and enables them to generate more precise customer segmentation.
Retailers can then use new insights to deliver highly targeted, location-based promotions, in real time.
We have seen an evolution of retail in recent years, with the rise of the omni-channel experience. Data is booming across all sectors and disciplines, and retailers have the world at their hands by being able to gather a substantial amount of customer data and using it to drastically change the customer experience.
Customers today are making an “informed purchase journey” in which they research and talk about products online and use this information as a key part of their purchase process. According to Google’s ZMOT (Zero Moment of Truth), 70 percent of consumers research online before purchasing in-store. Combine this with the fact that the average shopper uses about 10.4 sources of information to make a purchase decision and you realise the importance of providing a great omni-channel experience.
With a variety of channels to choose from, and easy ways to compare prices, retailers are recognising the necessity of differentiating themselves and creating a unique customer experience. Many supermarkets have loyalty programs which they use to offer customers additional services such as insurance policies and banking, however this strategy hasn’t led to increased loyalty.
Technologies can simplify the task of managing and analysing the deluge of customer data to ensure that the required information is available and consistent across both physical and digital platforms. When done well it will help provide a competitive advantage and an engaged customer that is truly at the heart of the company.