Retail Analytics

Why your data analysis and optimisation needs to be a continuous cycle

retail data analysis

Written by Tony Loxton
May 22

If the American retail space is anything to go by, retailers are going through tough times despite the regularly growing GDP. Retailers who are aiming to do more than just survive will need to take extra steps to achieve success. One way they can ensure this is by making sure that their campaigns are continuously measured. This can be accomplished with data analysis, which provides you with the information you need to identify if your campaign is working and sales are growing, or realign it if it’s not.

In order for your marketing analytics to be effective, you need to follow leading practices. This includes the continuous analysis of customer interaction data during your campaign, which involves tracking this data in real time. Modern marketing analytics tools allow you to process interaction data across multiple channels including point-of-sale systems, websites and apps. Large volumes of this data can also be processed and analysed in real time, so that you can gain a better understanding of the customer experience.

Here are three areas that will benefit from continuous data analysis.

Efficiency of spending

One of the key questions that always arises is "Are we spending our money efficiently?". Once KPIs are established, continuous assessment ensures that you, or any other manager on your team, has an answer to this question at any time during a campaign. You can then make adjustments to spending accordingly, depending on ROI.

For example, advertising can be more expensive than online marketing. You might, therefore, devote more of your initial budget to it. However, as you monitor the impact of your campaign, you’ll need to identify how much each element of your campaign is influencing transactions and sales, and modify your spending accordingly.

Transaction value and quantity

In the retail space, the aim of your campaign is not just to increase the number of customers, but also to increase the number of purchases completed by each customer. Real-time data analysis allows you to track the quantity of items purchased and the average value that each customer spends. This allows you to identify whether your campaign is having the impact you expected or not.

Paid touch points

In order for your campaign to be as efficient as possible, you need to to ensure that you have as few paid touch points as possible, and that they perform as expected. The fewer paid touch points your customers have to interact with, the less money you have to spend on each customer in order for your campaign to be effective.

These are just some of the reasons why you need to ensure you are continuously monitoring and optimising your marketing campaigns in order to keep up in today’s fast-paced markets.

If you are a retailer looking to better understand the retail space, one of the tools you can take advantage of is a traffic  counter. Find out more about how Blix’s modern traffic  counters can help you get the edge on your competition by contacting Blix today.

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