Big Data and Retail

22-04-2017 14:40:56

Shoppi also allows brand managers to access this data on mobile platforms, including oversight of orders and staff tasks.

As more and more retail activity takes place online, it is becoming easier to learn more about the habits of shoppers through the data they create. From what shoppers buy to where they buy and how, data generated by the shoppers as they interact with websites and apps can give astonishing degrees of insight into how retail brands should best operate to meet the needs of their customers and to maximize profit. Companies like Amazon have long used data to tailor searches and product recommendations, but this information can be taken many steps further to improve sales and efficiency.

One example of a retailer making use of its data is Otto, a German e-commerce company. Otto uses artificial intelligence, or AI, to analyze and understand their customers’ preferences. Through “machine learning,” a function of artificial intelligence, Otto, which sells products from a variety of retail bands, refines their customers’ experiences and tailors their interactions to each customer’s previous behavior. This is effective in presenting brand options and customizing websites on a personal level, but also in improving operations on the back end, such as reducing costly returns. Data generated from customers showed that customers were more likely to return products if the products took longer than two days to arrive, and also that customers preferred receiving everything in an order at once, as opposed to separate packages arriving at different times. The AI developed by Otto has become so proficient at predicting what will be sold over the course of thirty days that Otto can pre-order the items that the AI indicates and have them ready to be shipped when customers order them.

Shoppi offers solutions for retail brands in a similar vein, offering software that analyzes usage and behaviors of customers over time, allowing brands fine-tuned control over the user experiences their brands create. The software offers the ability to test the market response to a brand’s products, condensing information in easy-to-read formats. Shoppi also allows brand managers to access this data on mobile platforms, including oversight of orders and staff tasks. Brands can also manage their multimedia and social media pages through Shoppi’s platform, allowing careful and personalized tailoring of a brand’s image and how the brand interacts with its customers.

The wealth of data and the ability to analyze it via advanced software presents retailers with opportunities they lacked mere years ago. Now it is possible to learn about shoppers and add a personal touch to their experiences, while also improving sales and reducing costs for brands. By managing user experiences through artificial intelligence, which is widely accessible to brands through software options such as Shoppi, retailers can make the best use of their efforts from marketing to distribution, and do so while helping their customers feel welcome and understood while making purchases.

Tags: artificial intelligence,data insight