The German interactive systems firm Eyefactive has pushed out a free white paper that digs into the hows and whys of using in-store analytics to drive retail performance.
The paper – Revolutionizing Retail: How In-Store Analytics are Closing the Gap with E-Commerce – suggests there are five key benefits:
- Improved Customer Satisfaction – Research shows that 69% of businesses that invested in analytics saw increased customer engagement and satisfaction;
- Actionable Insights on Customer Behavior – Retailers get concrete data about what works and doesn’t, from product reactions to interaction patterns with digital displays;
- Inventory Optimization – Analytics help maintain a delicate balance of keeping popular items in stock without building up unsold merchandise;
- Increased Return on Investment – Marketing managers can track campaign effectiveness and optimize future promotions based on customer response data;
- Higher Sales and Profit Margins – By removing uncertainty around pricing strategies and shopper preferences, retailers can maximize revenues and margins.
The paper also notes that about 70% of consumers are willing to spend more with companies that deliver positive experiences, but suggests a lot of traditional stores have struggled to collect the same level of detailed customer data that e-commerce platforms gather automatically.
The technologies applied are most familiar, though it has been a bunch of years since I have seen Bluetooth beacons touted. The report IDs four key options:
- Beacons – Small wireless devices using Bluetooth technology to track customer movements throughout the store, identifying high and low traffic areas;
- Camera Tracking – Computer vision/AI systems that can collect demographic information such as age, gender, and even mood. This technology supports footfall analysis, occupancy checks, and heatmap analysis to identify store hotspots;
- Virtual Shelves – Professional touchscreen systems at the point of sale provide “click-data” similar to online platforms;
- Digital Surveys – Interactive touchscreen systems thatcan also function as feedback platforms, providing insights into customer profiles and satisfaction levels across various channels.
This is the summary page, which has a link to the PDF download.