Big Data is making big waves within the world of retail, and for those that harness this tool there lies rich consumer pickings.
However it seems that all too few a retailer can fail to grasp just what Big Data can deliver, so here we take an in-depth look at exactly what Big Data can mean for the retail world.
Marketing has been completely revolutionised
Today the shopper can forget about having to work through promotions and offers that arent of interest and instead look forward to retailers serving up relevant deals to the right customer, at the right time and in a truly tailored way.
Big Data in action: Newsletters sent by email can today be built around a specific customer’s unique shopping habits and interests; with offers even being targeted to an item that a customer viewed online but chose, at that point, not to purchase. Here are some ways its changing marketing.
Capitalising upon shopping behaviour is more comprehensive and insightful – leading to better and faster implementable changes
Identifying shopper trends is an essential task if retailers are to meet consumer demand, and big data is empowering companies that previously relied upon slow and often time out-of-date monthly reports.
Big Data in action: With big data point of sale systems can be seamlessly updated with data that is defined by consumer demand. Such systems can then order in additional stock, ensuring that consumer demand is met and sales arent missed out upon.
Bricks and mortar retailers are being handed some much needed leverage
The retail environment accounts for one of the most competitive and under pressure trading landscapes of all, with the average bricks and mortar retailer facing a plethora of challenges at any one time – from the rise of internet shopping to the pressures from corporate big boys and finishing upon rents and taxes that increase year upon year.
However Big Data is providing for the essential insight into in-store consumer behaviour that is helping such retailers gain somewhat of an upper hand. Through this insight store based retailers are transforming customer experience for the better, and benefiting from an all-important advantage over and above the internet based trader.
Big Data in action: Point of sale systems are delivering upon the promise of big data, with smart, data fed features including loyalty programs and even data that is fed from mobiles that track consumers within stores, ultimately leading to the most efficient store layout possible.
Pricing strategies are getting smarter
Big data is leading to powerful dynamic pricing systems where product pricing is based upon real-time consumer demand and competitor pricing.
Big Data in action: Whist dynamic pricing strategies were once the preserve of e Commerce retailers today digital signage is making in-store dynamic pricing possible. Couple this with POS systems that are iPad based and completely mobile and it seems that the 21st century version of in-store shopping has truly arrived.
The logistics of retailers is looking leaner and more efficient than ever before
The world of logistics incorporates the complex organisation of deliveries, stock levels, staffing numbers and everything in between.
Previous to big data much of this was based upon time-consuming analysis. However in todays big data driven world retailers can make smart choices and operate at optimal efficiency.
Big Data in action: Big data leads to staff rotas that are based upon solid footfall data, deliveries that are arranged around product demand and stock levels that are lean – reducing the need for product reductions and leading to a supply chain that is seriously efficient.
