In this blog, the marketing experts at Reapp (if we say so ourselves) are here to talk a little more about the true power of retail data analytics, exploring how it can enhance your decision-making, customer engagement, and overall business strategy in the supermarket industry.
At a glance, we’ll touch on:
- What is Retail Analytics?
- The topline benefits
- How to collect it
- Best practices for supercharged results
- And finally, how Reapp can help you – yes, you – nail analytics.
So let’s dive in.
What is retail analytics?
The ‘textbook’ definition of retail analytics is pretty dull. It deals with the numbers and figures created from a retail source, such as a shop or supermarket.
But its purpose is much more interesting.
The business of retail analytics is to collect, collate, and digest large volumes of data, using this information to improve pricing strategies, streamline supply chain operations, and even increase customer satisfaction.
A good deal of modern data analytics in retail is used to create bespoke shopping experiences and improved customer service based on customers’ past purchases – something that has made online shopping one of the most lucrative commerce streams around.
Big data, bigger ideas.
But what about large data sets?
While bigger doesn’t always mean better, big data is especially useful for predicting trends and informing strategic decisions through market analysis.
It’s what fuels all the good stuff, underpinning competitive marketing strategies, your pricing structures, and more – giving clear lines between profit and customer purchase history.
The use of big data can also be used to identify any issues that might cause delays or stock shortages – and more.
The importance of retail analytics in today’s market
To improve performance, brands and retailers alike can use data that can help them make clearer decisions and make predictions in real time.
As a result, brands can use accurate store-level data to make informed business decisions for sustainable ROI.
As the famous Bananarama adage (sort of) goes: It ain’t what you do with data, but it’s the way that you use it.
And that’s what gets results.
Change and change alike
Taking advantage of data will allow you to make more educated and effective business decisions, as the digital world is constantly changing.
Analytics tools let you pivot and change insights in a pinch, even when you are spotting new trends and patterns within your company – or even within the industry around you.
A deeper understanding of these trends or patterns will allow you to make judgments that will ensure you remain profitable, competitive, and relevant.
The ability of data to fuel growth while maintaining consistency is crucial for making significant decisions.
Why? Well, data-driven decision-making is the key strategy employed by big-hitters in the brand and retailing world, used to gain valuable insights from various functions and operations across the business.
Psst… that’s where we can help.
With over 3 billion units at your fingertips, Reapp can fetch actionable insights, useful KPIs and benchmarks to help you consistently make smart choices – from the shop floor to the management suite.
This results in continued growth and profitability, thanks to accurate sources and quick-on-the-draw report generation.
Which sounds like good stuff from top-to-bottom.
New and improved… everything
Making choices guided by freshly extracted data leads to the discovery of new and thrilling business opportunities. Additionally, delving deeper into readily accessible information through the use of real-time software gives you a pretty comprehensive understanding of your company’s core operations.
From this, you’ll uncover actionable insights and avenues to propel your growth and generate innovative ideas – giving you that crucial competitive advantage.
After all, arming yourself with in-depth insights that enhance your decision-making, and sound choices can only propel your business forward.
Paving the way for new and improved things? It seems logical, Captain.
Plus, choices guided by data often leads to the discovery of new and exciting business opportunities.
When combined with the rapid rise of technology’s influence on our strategies – especially when various departments can access these valuable insights – innovation is fostered both independently and collaboratively.
The outcome? A truly unique commercial system that’s powered by smart numbers and smarter thinking.
How do you collect retail analytics data?
Ready to start making the most out of your data?
There’s a number of touchpoints already at your disposal, both in store and online.
Point of sale
Harvesting the data from your Point of Sale (POS) system effectively can be a powerful tool for understanding consumer behaviour and driving the growth of your retail business.
Here’s how you can leverage different streams of data for your strategies:
- Product Data: Identify your best-performing products and ensure they are well-stocked and promoted adequately. You can also analyse the gross profit margins for each SKU to determine which products are the most profitable – helping you make informed decisions about pricing and promotions.
- Customer Data: By tracking how much individual customers spend, you can segment them based on their spending behaviour. This allows you to personalise marketing efforts, offer loyalty rewards, or even send targeted promotions. You can even Monitor how often customers return and identify those who are loyal to your brand, meaning you can kick-start retention strategies to keep them engaged and encourage repeat purchases.
- Sales Data by Channel: You can even compare the profitability of different sales channels, such as physical stores versus your ecommerce website, and accurately allocate resources to channels that need a little extra boost.
- Multi-Channel Integration: Ensure a seamless experience for customers across all channels by using data to optimise inventory management, pricing, and marketing strategies that drive sales on every platform.
Foot traffic counter
In brick-and-mortar stores, the more people you have walking through your doors, means the higher your revenue prospects.
This surge in foot traffic can unlock a treasure trove of in-store sales insights, enabling you to:
- Align staffing schedules with peak days and hours, so you have the perfect team in place when it matters most.
- Gain valuable insights into how extraneous circumstances, like the weather, can impact in-store conversion rates – allowing you to adapt strategies accordingly.
- Uncover the most effective marketing tactics that consistently draw a crowd to your location.
Managing inventory can be a retailer’s constant challenge, but streamlining stock and optimising retail lines is made all the more simple with tools like Reapp.
Our software can offer invaluable insights through key inventory analytics, such as:
- The detection of irregularities like theft, stock count discrepancies, or supplier issues.
- Forecasting consumer demand as you approach peak seasons, ensuring you meet customers’ needs effectively.
- Identifying when your stockroom is over-packed and needs decluttering – helping save on costs and space!
- And much more!
What are some of the best practices for Retail Analytics?
You see, retail analytics aren’t just a tool; it’s a strategic advantage.
Join the ranks of forward-thinking brands and marketers who harness the power of retail analytics for top business outcomes – but if you’re not sure where to start, our team says it’s as easy as 1-2-3. f
- Define Clear Goals and Key Performance Indicators (KPIs)
Begin your journey by setting crystal-clear objectives and identifying the essential KPIs that align with your retail goals. This will be a useful yardstick in the world of retail analytics!
- Invest in Data Quality and Precision
Remember, data is the lifeblood of retail analytics. Invest in ensuring your data is of the highest quality and accuracy – as plenty of clean, reliable data is the stuff that’ll drive your business forward.
- Empower Your Team with Data Expertise
Your team is the driving force behind successful retail analytics. Invest in their growth by providing training and education in data analysis, as empowered brains are your greatest asset in the data-driven retail world!
Unlock actionable consumer insights with Reapp
When it comes to making great business decisions, one thing stands apart from the rest – accurate consumer insights.
And when it comes to sourcing these critical insights, look no further than Reapp.
(If you hadn’t noticed, that’s us. Hi!)
Reapp is a fusion of bespoke software, cutting-edge technology, and industry expertise, culminating in a proper powerhouse solution that earns quite a bit of praise from our clients.
But at its core, Reapp is a versatile analytics software tool that’s meticulously crafted. It’s designed to empower businesses in boosting their sales and optimising stock management, leveraging fresh data from an array of sources to create automated reports that dive deep into consumer behaviour.
We drill deep to change the way your business formulates marketing strategies, giving you the insight to nab pivotal sales and repeat customers.
It’s clever stuff made easy-breezy.
Our suite of unique software applications is the easy way to gain at-a-glance reports and intuitive dashboards – all with the click of a button.