What does the future of retail look like?
We're living in a time of rapid change and with each passing month comes a new trend (or concern) for retailers to stay on top of. Here at Tranxactor, we're closely connected to retailers who want to understand the 'bigger picture' when it comes to data and we hear their concerns. Unlike any generation, we're moving at pace when it comes to tech adoption. From omnichannel to automation, wearables to beacons, connected devices through to the simple tech that we're all adapting to such as our smart heating systems, the upcoming 5G and of course the ubiquitous Alexa device in every home, retailers are at the sharp edge of the step change that comes from receiving and needing to analyse and respond to vast amounts of data.
Typically, consumers are less loyal than ever. An EY survey of 130 C-suite level retail executives across Europe, Asia and North America found that only 5% of businesses consider their customers to be loyal, and despite the fact that 87% of retail leaders see a loyalty strategy as key to how successful their business was, just 19% currently feel able to leverage their data and systems to understand individual customer needs.
So, retailers are meeting a conundrum - tech is moving at a pace and consumers are interested in signing up for fingerprint-enabled payments, voice-enabled ordering, facial recognition and even smart mirrors - but the data they hand over comes at a cost, as today's consumers demand real-time offers deals, promotions and recognition that feels bespoke to them.
The future of retail, if we follow this current trend is that data insight will become more important than ever. As stats by McKinsey Global Institute (MGI) show, retailers exploiting data analytics at scale across their organizations could increase their operating margins by more than 60 percent. That's enough to get any business excited!
Whilst comprehensive sales and product data is readily available from most POS systems, Tranxactor are helping retailers in getting the final piece of the jigsaw involved - tying in the parts that are typically missing from a retailer's arsenal, such as the customer's purchase history, demographics and responses to marketing communications and promotions. If you want to quickly turnaround insights into life stage analysis, see who is utilising a loyalty card, what store, group or brand is trending, as well as how reward programmes stack up over time, Tranxactor was built for you.
Set up campaigns to issue bonus rewards based on a variety of filters such the 'type' of consumer persona, a purchase value, SKU level product, store location even down to the time of day or day of the week. Link the campaign to omnichannel communication with using triggered and broadcast campaigns delivered through POS, email, SMS, mobile phone, push notifications, the web and social media - creating real marketing ROI. We're also seeing retailers succeed by harnessing that $5bn B2B gift card market that remains untapped by many, by allowing them to issue targeted eVouchers delivered through POS or any other communication channels, triggered by a reminder, action or qualification.
The very best retailers are working at pace to adapt to the changing demands of the consumer marketplace. And we've seen the real, tangible, bottom line results of using analytics in a serious way across the organization to deliver a service that consumers love.
If you want to talk loyalty with the experts, get in touch today. Through our offices in three countries, we service clients across UK, Europe, SE Asia, Australia and New Zealand and we would love to discuss how the right changes to your loyalty programme could offer vast returns for your business. Reach out today. https://www.tranxactor.com/get-in-touch/