Advanced retail Business Intelligence (BI) solutions leverage RFM models effectively to help retailers with their direct marketing efforts and better target their promotions and loyalty programs.
Retailers have to learn the tightrope walk of product rationalization to effectively manage smarter assortments that ensure they have no excess stocks and avoid the risk of stock outs.
Retail BI applies the principles of product affinity and Market Basket Analysis to business data to reveal the hidden connections between products and discover patterns in customer behaviour.
Winning retailers are learning to interact with customers on various social media platforms and to use the analytics insights gained from these towards building better customer engagement models.
A top-down approach to decision-making is not always feasible and retail staff at all levels must have access to automated systems that provide them timely, relevant and ready-to-use information.
Retailers have to factor in varying stages of organizational complexity and consider key growth drivers around which to focus their analytics capabilities so as to maximise ROI.
Five Business Intelligence myths stand corrected to help retailers redefine their expectations from retail BI and identify analytics closely tailored to their business.