February 26th, 2021

How to use Retail Analytics to Optimize Your Marketing Strategy

How many customers pass through your doors every hour, day, week, or month? How many of those customers make a purchase? Who is your target demographic, and how are you appealing to them? How long do customers spend in queues in your store, and how many are abandoning the store because of long wait times? How well are your marketing campaigns performing, and how can you improve them? If you cannot answer these questions adequately, you are missing out on essential information to optimize your marketing strategies and increase revenues.

Retail Analytics provides in-depth insights on consumer behavior, patterns, and preferences to help you create compelling customer journeys and successful marketing campaigns.

Here’s how.

Retail Analytics correlates footfall counts with sales transactions

A retail analytics solution consists of 3D sensor technology and data analytics software that turns data into insights, accessible from an easy-to-use, customizable dashboard. Strategically placed footfall sensors capture the number of people entering your store, how they behave once they are inside and whether they make a purchase or not.

By integrating your PoS (Point of Sales) data from any cash register provider with your retail analytics solution, you can understand how sales transactions correlate with footfall traffic data and get insights about conversion rate and other KPIs. 

Suppose your footfall count is high, but your conversion rate is low. You can analyze the data to see where and why customers are not purchasing anything. It could be that you do not have adequate staff on the floor to guide shoppers, or your store layout and product placement are not accessible enough.

The more information you have about your customers and business processes, the more equipped you are to optimize the customer journey and your marketing strategies.

Retail Analytics helps you identify your target market

Advanced 3D sensor technology can identify the gender and age of your customers so you can segment your customer base according to demographics for targeted marketing campaigns. Set up KPIs to determine your customers’ predominant gender and age and run test campaigns to discern what type of marketing messages resonate with your target market.

Retail Analytics measures the effectiveness of marketing campaigns

You can accurately measure the success or failure of every marketing campaign you run and set benchmarks to show what works and what doesn’t. With this insight, you can replicate messaging, product placement, customer engagement, and timing for each customer segment and achieve the best possible outcomes every time.

Besides this, you can analyze traffic patterns and dwell zones to identify the most popular areas in your store for optimum product or promotion placements and map out the most accessible routes for customers to traverse your store and locate essential services or products with ease.

You can identify the best times to run marketing campaigns by analyzing traffic per hour, day, week, and month, and select high traffic periods for optimum campaign reach for even more impact.

Retail Analytics improves customer experience

Critical to the success of any marketing strategy is excellent customer service. If your customers are left stranded without service or end up waiting forever in long queues, they will probably leave empty-handed and never return. Retail analytics sends real-time alerts when additional staff is needed to attend to customers who have been waiting longer than a predetermined period or when occupancy reaches a predetermined level. The warnings are automatically triggered according to the sensor counts, so no manual intervention is required, other than staff responding to the alerts promptly, of course!

By analyzing in-store data, you can anticipate and satisfy your customers’ wants and needs, respond to their behavior by taking action in the right place at the right time and increase the general customer experience and satisfaction.

Additionally, the data collected can contribute to optimizing your store layout, identifying the most cost-efficient way to allocate your staff, and measuring and maximizing the effectiveness of your marketing campaigns and promotions.

Finding the right hardware and software for the job

Vemcount is a revolutionary retail analytics solution with the following features:

▶︎ Occupancy Management: Keep track of the number of your visitors at any time. Find out how many customers are at your place at any given moment. Receive alerts if you reach the limit of your guests.

▶︎ Campaign tracking: Discover the gender distribution of passengers and adjust your campaigns and displays accordingly, measure the commercial potential of an area or the impact of store openings/closings.

▶︎ Heat Map: Get an overview of visitors’ walking paths. Identify hot and cold zones and rate the popularity of areas based on their behavior. Understand your visitors’ movement patterns to optimize product placements, store layout, and marketing activities.

▶︎ Captive rate: Count the passersby and identify the captive rate to determine how window displays are converting into sales.

▶︎ Find peak times: Measure visitor traffic and explore peak times per year, month, week and hour to deploy staff more effectively and to forecast queue demand.

▶︎ Manage staff: Understand and respond to the need for real-time services, such as serving the bar, having staff at the wardrobe, and cleaning the toilets.

▶︎ Follow safety recommendations: Monitor performance and generate real-time alerts to ensure visitors' number does not exceed the safety recommendations.

▶︎ Customer service: Measure queue length, the average wait time before being served, and customer interaction to increase customer service.

▶︎ Customer segmentation: Exclude or get separate counts for children and adults, and discover the gender distribution to profile customers even better.

▶︎ Gain insight with sales data: Integrate with POS data to calculate the conversion rate, understand how sales correspond to traffic and weather changes.

▶︎ Staff exclusion: Identify and exclude staff and irrelevant objects from counts, e.g., shopping carts for more valid data.

▶︎ Spend-per customer: Measure store's conversion rate when integrating with POS data and determine the spend per visitor.

Are you ready to optimize your marketing strategies? Send us a message, and we’ll call you back with all the information you need.