If loyalty is lost, can data lead the way?
How do you translate data insight into customer insight?
Is tomorrow’s loyalty found in today’s data?
Creating value from customer insight
The old ways to create customer value aren’t working like they did in the past. Sixty-six percent of retailers told us that traditional value-creation tactics are losing their potency. Challenges around innovating at speed, and changes in technology are causing disruption and placing pressure on the industry to remain competitive.
To stay relevant is to understand your customers beyond the traditional demographic segments; it’s about knowing their behaviors so intimately that you know what their next action is. Analyzing your customer information will unpack these insights to allow you to make data-driven decisions.
However, at the moment, only 11% of retailers are confident they can drive actionable insights from data. That means, the ability to deliver value based on fact is limited, and maintaining customer loyalty is even trickier.
Retailers have access to the data but the challenge lies in transforming it into value. Retail DnA aims to reduce these challenges, and help shape the industry by closing the customer insights gap.
Source: EY Retailer research, 2016 (ey.com/balance)
Retail DnA: harnessing data to drive
Retail DnA is transforming the retail industry. Closing the customer insights gap starts by analyzing your customer data, buying behavior and purchase patterns.
Find out how data can deliver you insights that drive a competitive advantage.
Close the customer insights gap and
realize the value
Using real customer behavioral data to form natural clusters, Retail DnA goes beyond traditional demographics to create an unbiased way to understand customers based on what they do, not who they are. By combining a machine’s ability to scale, speed and learn with human-power, Retail DnA can help brands to close the customer insights gap by:
■ Understanding shopper behavior and preferences
■ Valuing customer individuality
■ Accurately predicting next likely customer action
■ Enabling the marketing team to develop and deliver the right personalized offers at the right time through the right channel
Turning insight into action
The power of the single view of customer
Retail DnA combines information from various data sources to understand the digital footprint, transactional data, physical interaction and verbal dialog of a customer. This allows Retail DnA to generate insights and develop natural clusters based on actual customer activity, not their profile.
An enterprise-wide view of buyers’ purchasing patterns and shopping behavior allows brands to plan for the right offer, communicate it at the right time, and sent through the right channel.
Increase engagement with tailored communication
With a single view of their customers, brands can understand their buyers on an intimate level and build Retail DnA into their plans to engage, and re-engage with customers.
With the ability to accurately predict next customer action, Retail DnA gives brands the competitive advantage to model and design tailored campaigns that can help deliver accurate personalized offer recommendations.
Improve loyalty by understanding brand affinity
To get close to your customers and stay relevant (a challenge many retailers are struggling with), you need to understand their motivations. Your shoppers’ needs and behaviors will change over time, and you need to keep abreast of those changes to ensure you don’t become a forgotten brand.
Retail DnA continuously works to improve prediction so brands can maintain relevance and deliver value to their customers.
Source: EY Retailer loyalty research, 2017 (ey.com/loyalty)
The value of Retail DnA realized
Value in a single customer view
James Bradshaw explores how data-rich retailers can drive value from their data - by taking multiple data sources and creating a single customer view.
No stock? What next?
Rob Krizman and Mat Wright explain that having a recommendation engine generating alternative offers for customers is key, because as switching provider is all too easy in an online world.
EY Consumer Products & Retail – Data and Analytics Leader
Partner, Asia-Pacific Data and Analytics
+61 412 673 147
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EY Consumer Loyalty – Data and Analytics Lead
Director, Asia-Pacific Data and Analytics
+61 416 113 061
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EY Retail DnA Technical Lead
Manager, Asia-Pacific Data and Analytics
+61 411 719 338
Connect on Linkedin