By Amanda Cromhout- www.truth.co.za
If the customer data is well mined and used to its maximum, the insights gathered can be used to drive the entire business strategy, significantly beyond just marketing. None of the benefits yielded from applying customer data to retail business decision-making can be seen at all by your competitors.
Customers won't consciously understand how you are using the data gathered from their loyalty swipe, but should benefit from the right product being available at the right time, in the right place, at the right price and new innovations surprising the customers' anticipated needs. If this data is used effectively, product strategies will be strongly influenced, which could bring in new category ranges, new customer solutions or simply more of the old favorites.
None of these decisions are based on product performance or old-fashioned retailer gut reaction alone (as they probably are today), but on the combination of a scientific data approach and the soul of the merchant. Your pricing strategy should be heavily influenced by customer insights to determine which customers are price insensitive to which products and vice versa. Why discount price if you don't need to and how can you leverage price discounts to the max to the most responsive customer groups?
Your distribution strategy will benefit enormously from customer input: for example, product adjacency decisions may not be obvious (do you place lipstick next to shoes? She is the same customer after all).
There are endless examples of how customer insights can be leveraged to yield increased sales and profits for your organization.
Join these top class speakers such as Amanda Cromhout, Truth, Natalie McCrae, Keystone Consulting, Victoria Jones, Experian, Bradley Driver, IBM, Jason Steele, Acceleration and Lauren Bloch, Demographica to just name a few. Topics will discuss how the influence of technology and the effectiveness of practical application will bring about positive impact of analytics on marketing management.
“If the customer data is well mined and used to its maximum, the insights gathered can be used to drive the entire business strategy.”