How Big Data Analytics Helping the Retailers

Big data analytics plays a vital role in today's business world. Now a days many retail shops are using many techniques of big data analytics to increase there profitability. While implementation of such analyzing techniques are difficult for many retailers but the insights one can gain from it are worth the work. Analytics are used from the buying process itself that by using this techniques retailers can prepare there purchase budget in most accurate way or in a way they can trigger the purchase process of only those products where customer has a demand for that. This type of analysis will not only help them in buying process but it will also help in many other factors like product pricing, product display etc.

Knowing the Customer / Understanding the Customer

With the introduction of big data in analysis in retailers retailers are able to understand there customer's behavior in a better way and they are in a position to predict what will work for them. With this they are able to understand what the customer is buying from them and what all the customer will buy in future. Each customer has a customer id in the system and this can be linked to the credit card number so retailers are able to view the buying habits of a customer in a better way. From buying habits of a customer you can understand lot of things about the customer like their interest, life style etc.

In the case of online shopping this will have a greater impact like the business can able to view everything that the customer clicks and adds on to carts. By using e-commerce platform business can able to identify the trending products and this will help them to design a marketing strategy about how they need to position there goods. The business can also go through social media and can understand about what products the people are talking about and how the trends are forming.

When you shop in store, there are still a few tools retailers can use to find trending products. Retailers use video object tracking through surveillance videos, and sometimes even the camera on your phone, to determine what areas of the store most customers visit and what kinds of displays get you to buy the most. This helps them to predict buying patterns a little more than just looking at what you’ve actually purchased

Using all this insights gain they can able to understand what is the actual demand for the customer. In a way which product has more demand and which one to get rid off. The concept of big data will help them to fill there shelves with what product customer actually wants and this will also help them to stop wasting money on dead end products. This comes in handy at peak seasons. If there is a product everyone wants around Christmas time, you’ll know that you should order more of it at that time of year. Or if one product does really well in the summer but not as well in the fall, you won’t want to waste your efforts selling it when school starts instead of when summer break is starting

Product Pricing Strategy

Before big data what the retailers are doing is that they would raise or drops price at the end of the season based on the demand. But now with the help of big data analytics retailers can able to view the real time demand of a product and also what the competitors are doing and based on that they can design a pricing strategy for there products or service. Big data has proven to be valuable in so many different areas that it comes as little surprise that the retail industry would find use of it. Through different tactics, many retailers are able to make the most of the information and bring in some huge profits. If retailers are smart they can use the big data analytics technique that will have a major impact in the bottom line as well as top line of the business