{"id":192165,"date":"2019-06-25T05:36:51","date_gmt":"2019-06-25T00:06:51","guid":{"rendered":"https:\/\/staging-imarticus.kinsta.cloud\/?p=192165"},"modified":"2019-06-25T05:36:51","modified_gmt":"2019-06-25T00:06:51","slug":"knowledge-center-analytics-retail-analytics-how-does-it-help-boost-the-sales","status":"publish","type":"post","link":"https:\/\/imarticus.org\/blog\/knowledge-center-analytics-retail-analytics-how-does-it-help-boost-the-sales\/","title":{"rendered":"Retail Analytics – How Does It Help Boost The Sales?"},"content":{"rendered":"

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SMB retailers benefit in three main ways from retail data analytics.\u00a0<\/strong><\/p>\n

1. Knowing\u00a0Customers:<\/strong><\/p>\n

Singapore\u2019s Dish-the-Fish fish-stall uses inventory and sales analytics on Vend\u2019s retail management platform and cloud-based POS. Owner Jeffrey Tan prior to switching to the platform, bought what he thought to be the fastest selling fish the ikan kuning. On tracking data by the hour on different fish sales frequencies on Vend\u2019s POS system, he found the leatherjacket fish was fast-selling though pricier. Monitoring in real-time also gave Tan the data-analytics ability to track and cater to the preferences and tastes of his clients. According to data from Accenture<\/a>, 65% of clients buy from brands that know their brand preferences and buying history.<\/p>\n

2. Analyzing Trends:<\/strong><\/p>\n

To use data analytics effectively one must know when and what the customers want even before they produce it. Just look at Dash a fashion store! The store\u2019s Retail Director, Dakota DiSanto, admitted that before switching to LightSpeed\u2019s POS system<\/a>, her staff spent as many as 8 man-hours per week on studying and tracking manually the sales, inventory, re-order items and so on. According to her the real-time inventory view, sales trends and stock levels across their operational stores in Miami and Los Angeles provided them crucial information on the best sellers, re-ordered units, inventory scheduling, etc well ahead of the demand.<\/p>\n

3. The True Costs:<\/strong><\/p>\n

Marquis Gardens\u2019 Ostap Bosak, the General manager,\u00a0used ACCEO\u2019s POS system<\/a>. Being Toronto based pond-supply retailers he made use of the transport insights from data analysis on their retail operations. Here\u2019s his story.<\/p>\n

On evaluating his data he dropped several suppliers as he found they were earning too little and working too much on them. Though they formed a major portion of the revenue generations the sidelined products were more profitable. He then focused on the main two generators of revenue namely the small pond kit and the pond-less waterfall kit. Bosak stated that he was able to better monitor the ROI from his data analysis as it enabled him to watch over the metric of profit with respect to time spent and efforts spent on it. Bosak reasserts that most businesses do not account for the actual man-hours taken while calculating profitability. In his opinion retail data-analytics helps drill into data in greater minute details to help sustain your operations in a fiercely competitive market. \u00a0<\/p>\n

Which metrics should one analyze?<\/strong><\/p>\n

Analysis of KPIs like foot-fall traffic, margins, sales growth, and walk-in rates speak the numbers-story of any enterprise with accuracy and transparency to enable your making profitable decisions with those data analytics insights.\u00a0Here are the metrics in retail business analytics every store must and should monitor.<\/p>\n

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  1. The square foot rate of sales\u00a0<\/li>\n
  2. Rate of Retail Conversion\u00a0<\/li>\n
  3. Net Margins on profit<\/li>\n<\/ol>\n

    1. Sales\/SqFt:<\/strong><\/p>\n

    This index helps. Because, when you know exactly how many sales you earn per sqft of space you can assess and gauge the store\u2019s performance<\/a>\u00a0to<\/p>\n