Retailers’ big data can be used for improved operations
Every day, businesses deal with a variety of information, whether it pertains to their customers, their operations or other factors. To effectively manage all of this information, merchants look for various solutions. Some may rely on more traditional or manual methods, but for the best possible processes, retailers need to use technology solutions to handle their big data. This can come in the form of retail management software that stores and tracks all kinds of information – business intelligence, customer preferences and many other aspects.
Big data not a strong suit in retail industry
Although merchants are dealing with all of this information, they are not doing a good job of successfully managing it, according to retail industry professional Brian Lent, cofounder of Medio. Lent spoke with InformationWeek and discussed what he believes is a severe lack of "big data skills" within the retail sector. The importance of maintaining control over big data is growing, as consumers are now using smartphones and tablets for shopping purposes, Lent asserts.
"You can collect and store a lot of data efficiently," he said to InformationWeek. "But if you don't know how to take that data, do analytics on it, and put it into operational use, you don't get the real value out of it."
If companies take the steps now to implement solutions that allow them to collect, store and analyze data, they will be sure to see results almost immediately. This information can also be used to improve operations, such as enhanced customer service, better product lines, more accurate inventory processes and many other elements.
What data is being collected?
Although retailers are not particularly adept when it comes to collecting and using big data, many businesses are currently managing various types of information in the hopes of finding their strengths and learning where their weaknesses lie. A study by Bronto revealed that customer purchase data is one factor that merchants are collecting and analyzing to develop better marketing messages.
The research found that 84 percent of retailers are taking advantage of this information to create email content that recommends related products based on past items that shoppers bought. This approach is an effective way to boost sales as well as loyalty, as customers feel valued and appreciated by brands.
There are many ways that merchants can successfully leverage the data they have in their possession, and it all starts with the right mindset and technology solution.
