Retailers now focus on multiple channels and steadily communicate with consumers, which includes virtual mediums for advertising, email, social media targeting, and influencers; the quantity of comprehensive statistics is growing exponentially. Many retailers are thinking about a way to manipulate and leverage unstructured “big” statistics from social media, third-celebration sources, and more.
As per Straits Research, the advanced analytics in retail market size was valued at USD 6.25 billion in 2021. Until 2030, it is forecasted to reach USD 40.88 billion with a CAGR growth rate of 23.2%.
According to IBEF, India is the 3rd highest in e-retail shoppers, just behind China and the United States.
Role of Advanced Analytics in the Retail Industry
Today many retailers are performing some analytics as they collect and analyze data regarding business sales and revenue numbers to figure out future predictions using tools like Excel. However, to analyze large volumes of data, organizations need modern analytics tools that generate valuable insights in no time and enable more enhanced business decisions. Advanced analytics help companies stay abreast with the market competition, find the latest trends, and understand the consumer buying patterns that drive leads into conversions.
To understand your business performance more in depth, effective reporting is an essential factor that provides actionable insights on sales, revenue, inventory, customer acquisition & retention, and more to help the top management to make smart business decisions. With the implementation of a modern and end-to-end analytics platform, enterprises can leverage the capabilities and benefits of the technology to do tasks in no time with much-improved productivity and efficiency. The automated analytic workflows save enormous time, money, and effort for the team, eliminating spending additional hours on repetitive and burdensome manual processes
Retail Industry Challenges
Apart from the advanced analytics and its proportionate contribution to improving a retail enterprise’s business performance, finding solutions to some of the addressable challenges is also a need of the hour to sustain in the highly competitive market and thrive towards achieving the common business goals.
Customer engagement is one of the predominant factors of a business and its performance; it is the only way to sustain long-term. Customer analytics and actionable insights improve customer engagement and help retailers make better decisions under intense market pressure. It also helps to understand market factors like rapidly changing demographics and unstable economic recovery—analytics help to track the consumer’s preferred products and services and shopping behaviour.
Pricing & Profitability Management
Pricing is one of the impactful factors that acts as a potent instrument in improving overall financial performance. Advanced analytics help retailers steadily set the right price for the right products at the right time. The timely pricing solutions can expect a 2% – 4% immediate margin performance improvement with a sales growth prediction of 1% – 2%.
Supply Chain Efficiency
The supply Chain industry is also growing in complexity, with a stream of data and a call for greater-responsive client relations. The use of analytics within the delivery chain likewise increases the collaborative structures that combine advertising and merchandising and more intently join outlets to their providers and distribution partners.
Risk & Fraud Detection
Collaborative implementation and usage of analytics with financial institutions and retail enterprises help identify fraudulent activities before worsening situations. Point-of-service data mining process-related errors can be analyzed with more advanced data streams, eliminating losses. Analytics also help determine unusual product movement, system markdown issues, price optimization systems, BI reporting, and more to help control cash losses.
Workforce development and management
Analytics plays an essential role in workforce development and management. Workforce analytics helps retailers to increase their workforce productivity by identifying the associates’ working capabilities and performance. The analytics provide predictive insights about the employees likely to leave months before the occurrence. Workforce safety and its underlying factors can also be detected through analytics that help avoid workplace accidents.
How GTL bring advanced analytics to the retail industry
Finding the perfect and industry-demanding analytics solution has always been a big challenge for retailers due to the highly competitive market. The steady verge of retailers searching for the best competitive edge improved ways to connect the customers and meet their expectations need a proactive solution. GTL’s full-stack BI and Data Analytics is the right solution that most enterprises are looking to implement and willing to experience more advanced ways of working with analytics.
The retailers can automate the complex data pipelines, create and access the dashboard reports that provide insights on customer shopping interests, marketing campaigning performance, inventory allocation and develop effective customer engagement strategies. It also helps to sustain the business and stay abreast with market trends.
Today, data is the new lifeblood of many industries and businesses across the globe. In this regard, advanced analytics is the next big thing that companies will look forward to investing in huge to understand and utilize the power of data.
You are one step away from starting the analytics journey with GTL and joining the elite customer list who leveraged the industry expertise and reinvented their business with boosted productivity and efficiency, saving time, money, and resources.