Imagine this: you’re at a stadium, and everything you need—refreshments, merchandise, or tickets—is easily accessible without any hassle or delay. This streamlined experience is no accident; it’s the result of retail analytics working behind the scenes, optimizing inventory, staffing, and customer interactions to ensure efficiency and satisfaction at every level.

In the fast-paced world of retail, data has emerged as an indispensable guide to help stores understand and predict customer needs. From small, local boutiques to large-sized retail giants, all businesses move forward through such insights. It helps a business, regardless of its size and reach, to stay ahead of the competition, improve shopping experiences, and ensure that whatever is on sale is available whenever it is needed. 

What is Retail Analytics?

Retail analytics is about turning data into insights that help businesses make smarter decisions. Years ago, store owners might have based their own inventory decisions on what “felt right” or based on how things were changing seasonally. Today, every action – whether it is a customer purchasing in-store or making a social media comment about a new product – leaves behind valuable insights.

For example, consider a retail shop keeping a record of a particular item’s sales frequency during the holiday season. Understanding this pattern helps the store to be ready for the next season for the product and have enough of them in stock. In the same way, web browsing can be used for recommending what products the customer may be interested in, and make shopping easier for their clients. This can be also integrated with sports stadiums to enhance the fan experience by providing all things available to them. 

Why is Retail Analytics So Important?

Today’s retail world is fiercely competitive with an utterly staggering number of choices for the customers. All this has made the retailers want to differentiate themselves from their peers and lead the game. Analytics plays an inevitable role in retail management so that stores can gain a sense of what’s important to their customer and then make shifts based on those new-found understandings.

Think about a specific product that sells out every holiday season. This trend the store would find through analytics, and then the shop would order more in advance, keeping the customers happy, thereby averting lost sales. In short, retail analytics helps business organizations get one step ahead by making them proactive rather than reactive. 

Benefits of Retail Analytics

Here are just a few examples of how retail analytics makes a real difference for businesses:

• Customer Insights: Businesses will understand who their customers are, what they are seeking, and when they like to shop with the help of data analytics. For instance, analytics may clarify whether or not a store has an identified core customer group that would like to shop on weekends so that the store can have adequate staffing and promotional opportunities at the right time.
• Inventory Optimization: There is nothing more frustrating to a shopper than to find that a product is out of stock.Integrating retail analytics with RFID inventory tracking, businesses can track buying trends and adjust inventory, keeping popular items in stock and avoiding excess inventory of less popular items.
• Increased Profits: Knowledge of what products are in demand enables a retail outlet to strategize regarding its pricing as well as promotion.For instance, an outlet that sells groceries realizes that sales of snack foods increase when there are major sporting events. It will boost promotional activities on such food items when such an event occurs because it can then anticipate increasing profits from them.
• Operational Efficiency: Analytics helps retailers determine where the operations can be improved-from better scheduling to more effective logistics. For example, knowing that certain days have higher foot traffic, stores will ensure extra employees, which creates a better experience for customers.The data insights provide for customized shopping experiences from the stores. So, a customer, who regularly buys a workout kit, may be approached with customized discounts or offers on similar products, which may increase the loyalty of customers towards the store.

Types of Retail Data Analytics

Retail data analytics can be classified into different categories, each delivering unique insights. Descriptive analytics is the summary of past data, which may represent what was the best seller last month or some insight into recent foot traffic.

• Predictive analytics: These analytic tools study past trends and predict what could take place in the future. For instance, this is how a retailer will know how many winter clothes to order by first analyzing the sales trend of last year and comparing it. 
• Prescriptive analytics: This is the category of analytics that offers recommendations on precise actions. For example, prescriptive analytics might recommend that if certain store layout designs resulted in more sales for a particular store then other stores should make similar layouts.
• Diagnostic Analytics: Some firms need to establish the cause of certain trends. Thus, diagnostic analytics digs deeper into the data to determine for example why certain product sales declined abruptly.
• Cognitive Analytics: The application of artificial intelligence and machine learning to gain insights about the patterns of data, cognitive analytics learns and can modify suggestions in real-time, for example, online retailers often depend on cognitive analytics to display recommendations across a user’s browsing history.

How Is Retail Analytics Applied?

Retail analytics answers questions and gives insights that allow improvement in practically all parts of the retail business, including:

• Inventory and Stock: Analytics can help retailers maintain the right products available to meet demand patterns, eliminating overstock and missed sales.
• Pricing and Promotions: Through data analytics, retailers can better understand the optimal times to change prices or when to run promotions to maximize response.
• Customer Loyalty Programs: With data, the store can see who is coming back and tailor their loyalty program around those kinds of repeat customers.
• Store Location and Performance: Geographical data can identify where it needs to open new stores or point out underperforming stores that need more attention.
• Targeted Marketing Campaigns: Data and analytics allow for very targeted campaigns by identifying specific segments of consumers; hence, retailers can easily pass a more relevant message.

5 Best Practices for Retail Analytics

To extract maximum value from retail analytics, retailers need to keep in mind the following:

1. Maximize Customer Data: To understand what customers want, retailers must collect data from multifunctional touchpoints, including loyalty schemes and online buying behaviors, thereby providing a holistic view.

2. Use Visual Tools for Data: Complex data is not easy to get insights from. In a nutshell, insights become accessible not just for the data team with visualizations like charts and dashboards.

3. Data from other channels: Instead of viewing data as it relates to the online or in-store channel only, a complete view of the activity of a customer across all channels is achieved by combining data sources.

4. Define Key Metrics: Every retail business has its specific goals; thus, concentration on the right metrics, such as conversion rates or average purchase value, should be done to track progress.

5. Monitor KPIs: The tracking of the Key Performance Indicators helps retailers measure success and identify trends over time to adjust according to requirements.

Retail POS Products from retailcloud

nGauge is a real-time inventory tracking system and business analytics system of retailcloud to enable retailers to know what is happening in their businesses anytime, anywhere. From the aspects of sales or margin, tax computing or stock variation, or customer activity analysis, it provides businesses with the necessary information.

Retailers can track what products are selling, customer satisfaction, and hourly sales using their mobile devices with mobile inventory management software, mInventory. The centralized cloud POS reporting solutions, console from retailcloud also provides real-time alerts for performance indicators to ensure that businesses manage their stocks, and enhance customer experiences, and operation efficiency.

Retailcloud also offers Inventory360, a cutting-edge RFID inventory tracking system for real-time, precise stock management. Manual errors are eradicated, and the process is made smooth and seamless using features like catalogue organisation, custom printing of labels, cycle counts and more. Advanced tools, including RFID receiving, transfer and adjustment, provide for reliable stock levels, as well as the Geiger Counter and comprehensive reporting utilities to give management total inventory control.

Let’s consider an instance where, a retailer at a stadium can use Inventory360 to track high-demand items during sports games, ensuring that fan-favorite merchandise is always in stock.

Conclusion

Retail analytics is not just a buzzword—it’s the need of the hour for any organization seeking to survive in this data-centric world. Whether it’s discovering customer preferences, managing inventory, or creating marketing campaigns targeted to customers’ preferences, analytics converts raw data into invaluable insights.

Being the leading game changer of Retail POS Software System and Services, retailcloud has a myriad of POS solutions that help make retailers quick and strategic decisions. Businesses embracing retail analytics seek not just to improve the bottom line but to gain long-term success in the ever-changing market by having closer relationships with their customers.

SMS marketing is a powerful tool that can be used to reach a wide audience, increase sales, and boost customer engagement.. In the digital landscape of today, businesses strive to stay ahead of the competition by embracing innovative marketing strategies. While email campaigns and social media advertising have long dominated the digital marketing platforms, SMS marketing has been overlooked as a marketing campaign.

SMS marketing presents a unique opportunity for businesses to connect with their target audience directly through text messages. These text messages can be used to drive traffic to a business’s website. Businesses can include a link to their website in their text  messages. This will allow customers to easily visit the website, learn more about the business, and play a pivotal role in driving organic traffic, improving website visibility, and ultimately boosting your online presence.

 

Why Text Marketing?

According to the following statistics, for every 100 text messages sent:

• The average open rate for SMS marketing is 98%. customers are more likely to see your text messages than they are to see emails or other forms of marketing.
• The average click-through rate for SMS marketing is 19%. Customers are more likely to click on the links in text messages as it’s easy and convenient.
• The average conversion rate for SMS marketing is 12%. conversion rates are higher as the promotional offers are sent directly to the mobile device and are personal.
• 96% of consumers say they are satisfied with SMS marketing for businesses, and can do it at their own convenience.

These  statistics are much higher than any other marketing campaigns as SMS marketing is personal, timely ,quick and optional.

Best Practices to Follow for an Effective SMS Marketing Campaign

Collect and analyze customer history: To send targeted text messages, retailers  need to know what the customer has purchased in the past or which store they have visited. This history tells you about the customer preferences to leverage and increase conversion rate.

Opt-in and opt-out options: Give customers the option to opt-in or opt out of receiving SMS messages from your retail business. This empowers them to control their communication preferences and ensures that you’re targeting individuals who genuinely want to hear from you. Make the opt-in process seamless and straightforward, and respect customers’ choices to foster trust and loyalty.

Keep your messages precise and include a CTA(call to action): Text messages with CTA should be short and precise to encourage customer engagement an example of CTA will be “ Limited time offer- shop today and get 10% off on your purchase”

Use a variety of messages: SMS marketing is not just about promotional offers but these messages can be reminders to use up loyalty points, birthday wishes or just a hello message to remind customers about your business.

Track your results: It is important to track the results of your SMS marketing campaigns so that you can see what is working and what is not. This will help you improve your campaigns over time to increase engagement and conversion rates.

Why Using Customer History to Do Targeted Messaging is More Effective

Customer history can be used to create more targeted and personalized SMS marketing campaigns. By understanding what the customers’ preferences are. Retailers can send them more relevant suggestions and timely messages that are more likely to be opened, clicked on, and converted. 

For example, if a customer has previously purchased a dress from your store, you could send them a text message with a special offer on a new dress or matching shoes that you just received in stock. Or, if a customer has recently viewed a product on your website, you could send them a text message with a reminder to complete their purchase. Here are some statistics on why you should use customer history for your text  marketing:

• 80% of consumers say they are more likely to shop with a business that remembers their purchase history.
• 70% of consumers say they are more likely to open a text from a business that remembers their purchase history.
• 65% of consumers say they are more likely to click on a link in a text from a business that remembers their purchase history
• 55% of consumers say they are more likely to make a purchase from a business that remembers their purchase history.

The most effective and sustainable way to collect customer history is by using a cutting-edge Point of Sales solution, retailcloud POS solution offers an SMS marketing platform that can help you create and send effective SMS marketing campaigns. retailcloud’s SMS marketing platform includes features such as:

• Segmentation: You can segment your customer base so that you can send targeted messages to specific groups of customers.
• Personalization: You can personalize your messages with customer data, such as name, purchase history, and preferences.
• Reporting: You can track the performance of your SMS marketing campaigns so that you can see what is working and what is not.

With retailcloud solutions you can even personalize text messages further by offering customer loyalty points for their birthday and also have the ability to see customer responses and respond to them to strengthen customer relationships. With Retailcloud, you can create and send effective SMS  marketing campaigns that will help you reach your target audience, increase sales, and boost customer engagement.

Conclusion

SMS marketing is a powerful tool that can be used to reach a wide audience, increase sales, and boost customer engagement. By leveraging customer preferences and integrating them into your SMS campaigns, you can create highly targeted and personalized messages that are more likely to be successful.

Additionally, SMS marketing campaigns can generate user engagement and social signals. When customers receive a compelling SMS offer, they may share it with friends or on social media platforms, thereby increasing brand visibility and potentially attracting new customers. These social signals can positively influence your SEO rankings, as search engines consider them as indicators of brand authority and popularity.

“70% of the customer’s journey is based on how the customer feels they are being treated” (McKinsey). But how do you figure out how a customer feels after they’ve shopped with you? How do you gauge their satisfaction? You get feedback. 

Customer feedback is a vital tool for small businesses. It helps them connect with their customers, gain insight into what’s working and what isn’t, and identify areas where they can improve.

Customer feedback allows small businesses to learn about their audience and tailor their products and services to meet their needs.

This leads to higher levels of engagement, satisfaction, loyalty, and repeat purchases — all of which contribute to growth.

“According to Survey Monkey research, 85% of customers will like to give their feedback when their experience went good with the brand or company, and 81% will give feedback when their experience went bad”.

The Benefits of Great Customer Service

Higher NPS & CSAT Scores: 

Customer satisfaction surveys typically ask questions related to how likely a customer is to recommend a business based on their experience

Increased Sales: 

Happy customers are looking for ways to tell others about their experience with a company. They’re more likely to buy from you again and recommend your business to others — which can lead to increased sales over time. According to Forbes, “companies that are customer-centric are 60% more profitable than companies that are not”.

Retained Customers: 

“89% of consumers are more likely to make another purchase after a positive customer service experience” (Salesforce Research). It’s important to keep your existing customers happy so they continue doing business with you instead of leaving for other options. Furthermore, “68% of consumers say they are willing to pay more for products and services from a brand known to offer good customer service experiences” (HubSpot).

The Drawbacks of a Bad Customer Experience 

For all businesses, especially those just starting out, the impact of bad customer experience can be devastating. The loss of a single customer is more than just the loss of one sale; it’s the loss of an entire lifetime of revenue. 

The biggest drawback of a bad customer experience is the damage it does to your brand. Customers who have had poor experiences with your business are unlikely to recommend you or buy from you again. This means that they will not promote your brand through word-of-mouth marketing or online reviews and ratings. In a survey conducted by Khoros, “65% of customers said they have changed to a different brand because of a poor experience”. 

In addition to hurting your ability to attract new customers, negative reviews can also make existing customers leave for another company that offers better service. According to Zendesk, “after more than one bad experience, around 80% of consumers say they would rather do business with a competitor”.

Personal Touch is Very Powerful

“72% of companies believe they can use analytics reports to improve the customer experience” (Deloitte). Feedback analytics are an effective way to measure and improve customer experience. Every business can use data from customer feedback and surveys to drive profits and grow. 

Here’s How:

1. Improve your customer experience with NPS surveys

2. Measure satisfaction with CSAT (Customer Satisfaction) surveys

3. Use NPS data to make strategic business decisions

retailcloud’s platform, combined with its cloud-based pos systems, allows business owners to directly engage with their customers by sending them surveys via email and text receipts. They can personalize their messages and prompt customers to give specific feedback.

Data on customers can be very beneficial to businesses and can help them in giving the customer exactly what they want with their products and services. “According to Genesys, 9 out of 10 customers give values to a company having knowledge of their previous purchase and preference”.

The Customer is the Most Important Part of Your Business

Customer feedback is a powerful tool that businesses should embrace to foster growth and success. By actively listening to customers, analyzing their feedback, and acting upon it, companies can drive positive change, improve customer satisfaction, and differentiate themselves from competitors. Remember, customer feedback is a continuous process, and businesses that prioritize it will not only survive but thrive in an increasingly customer-centric marketplace. So, listen, learn, and evolve to create remarkable experiences that leave a lasting impression on your customers.

With retailcloud, business owners can access customer data and feedback from anywhere, utilizing their retail cloud POS system. It has never been easier to view CSAT, NPS as well as customer preferences, and make informed business decisions.

At retailcloud we love lists; our support team keeps a list of all features that are requested by users, our partner team keeps a list of what is important to our partners and our product team keeps yet another one on what are key industry drivers.  

Recently our AI and analytics team was playing with some models to mash up all the data and see what features should be developed based on these three lists as well as what could have the greatest impact on our customer’s bottom line.

If you have been following our blogs you will see that we, and our industry, have been talking a lot about the impact of customer retention and building brand loyalty and experiences,  and so while a feedback and  rating system was not on our product roadmap we were not altogether surprised that our AI modeling told us that an application where customers could provide instant feedback to merchants, AND where merchants had tools and insights to make customers into fans made sense.

And so feedbk (pronounced feedback) was born; feedbk is a real time rating application that allows merchants to easily obtain feedback from their customers at the Point of Sale. It keeps track of 3 metrics for a retailer;

• • NPS (Net Promoter Score) that can be used to gauge the loyalty of a firm’s customer relationships and is claimed to be correlated with revenue growth. This is done at the POS and a single question is posed to a customer who gives it a rating.

• • CXS (Customer Experience Score) that is used to gauge customer satisfaction using email receipts and other online interactions to allow customer to provide feedback on a set of questions based on their initial ratings. These are customized questions and are used to give an average customer satisfaction score.

• CEP (Customer Engagement Priority) that can be used to provide an operator with strategies on how to interact with various customer segments – this can be done instantly using ngauge or at a later date using social media, text  or email.

This feedback is automatically combined with segmentation which is critical in allowing operators to immediately identify problem areas and rectify them; it  is also able to provide retailers with the ability to gauge opportunity costs that are related to such issues. feedbk operates entirely on the retailcloud platform so it can provide operators with actionable analytics on how to increase units per transaction, identify ideal product mixes, and in general, identify their most valuable customers.

It’s just version 1.0, but we are excited about feedbk and the machine learning opportunities that come from it. We believe that it is the first of many pragmatic analytic solutions from our AI team that will allow small and mid size retailers to quickly access where their staff can best focus their efforts.

To understand your customers, customer feedback is important. Companies that listen to their customers have the tools to succeed – You’ve heard this many times and you have probably even given it consideration for your business. But what’s missing is a solid explanation. You’ve heard that customer feedback is crucial to your business grow, but the how’s and why’s are what I’ll try to help clarify for you.

Here are seven reasons why a customer feedback rating is important to the success of your business

1) Allows you to identify products that need improvement

You know your product, every variation, size, color, style, feature and you have educated your team hundreds of times. Unfortunately, your passion may not allow you to see the imperfections. It is important to know what appeals to your customers, as well as what was subpar and why. Listen to your customers and provide the products that they desire.

2) Engage with your Customers

Listening to your customer feedback makes your customers feel involved and valued. When customers feel listened to, they positively connect with your brand and direct their good experience back to you, which makes them a part of your business family and ensures return visits.

3) Positive Feedback generates Recommendations

Word of mouth advertising is very successful, and referrals are the most effective, free way of advertising. These most often come from friends and family and are often the most convincing recommendations.  Always remember to strive for positive feedback, if you want to gain customers through recommendations.

4) Convincing Customers to come back for more

You can always sell something once, but the true test is getting the customer to return over and over. Feedback is helpful in providing some of the finer details that encourage the recurring business. Is maybe free shipping, same day alterations, polite/educated support team, user friendly website which is the key to solidifying the customer relationship.

5) Embrace the Negative Feedback

Especially nowadays, with competition down the street and on line, its essential to tackle a problem or misunderstanding immediately. With the bandwidth of social media, a bad comment can do far reaching harm to your business.

Seek out a rating system can has the capability to alert you to negative feedback immediately – before your customer has left the store. Allowing the customer to share the unhappy experience and providing you with the opportunity to rectify the issue immediately.

6) Feedback helps you acquire new customers

As a consumer, one of the first things you do when looking up a business or product is to read online reviews. Make sure that you have reviews available to draw in the new business, and further more, make sure that the reviews are positive. Asking your customers for their feedback in store will allow you to react before it appears online.

7) Listening to customer feedback helps build loyalty for the brand

Actively soliciting feedback from your customers and reacting to their opinions creates a relationship that makes the buying process more personal. The customer perceives the business as being run by friendly people that care about their experience, instead of just a company that sells product.

As you see, eliciting feedback from your customers is important and can be very beneficial to your business, as it helps you get to know your customers better, increases their engagement and loyalty and brings in new customers. As it turns out, customer feedback is quite important!