BizViz is a unique BI platform that was
built to give users better knowledge and insight into their
business. It enables users to assemble data from multiple
structured, semi-structured, and unstructured data sources. This
helps analysts provide Descriptive, Diagnostic, Predictive, and
Prescriptive analytics.
As the retail sector undergoes rapid
change, retailers face challenges in identifying their most loyal
customers and their buying behavior.
Retailers will benefit by understanding
that analytics can be a very powerful tool that can help them
extract meaningful insight from volumes of data. The data is
attained from purchase transactions
Retailers' Key Challenges:
- Identifying valuable customers in order to
increase customer retention
- Analyzing customer buying behavior to
improve customer experience and thereby expand the customer base
Customers
As a company's customer base grows, it
needs to identify it's most valuable customers in order to
efficiently manage marketing and increase customer retention. They
can then have a more proactive relationship management plan.
How can BizViz help?
- Using the BizViz Predictive Analysis tool,
we have performed RFM (Recency, Frequency, Monetary value)
analysis to quantitatively identify which customers are most
valuable.
RFM analysis is based on the marketing
axiom that "80% of your business comes from 20% of your
customers."
- We have analyzed the customer's data and
then developed a custom RFM algorithm to identify customer
segments
- BizViz has defined the customer segments
as follows:
- Best Customers - Customers who have placed
many orders and made their last purchase recently. They have
greater value and are more likely to buy again.
- New Customers - Customers who placed a few
orders (1-3) recently. Although they have a lower value, they
have the potential to move into the 'Best Customer' segment.
- Former Best Customers - Customers who were
'Best Customers' but have not made any purchase recently.
- One-time Buyers -Customers who have
purchased from the store only one time.
How does this benefit retailers?
- BizViz identifies a business's most
valuable customers
- Retailers can target offers and promotions
to their loyal customers by analyzing their past buying behavior
- Helps business offer better loyalty
programs for each customer segments to decrease customer churn
- Helps sales team in identifying the most
effective marketing approach (ex. online or traditional
advertising, event sponsorships, and other marketing avenues)
- Converting 'One-time Buyers', New
Customer's into 'Best Customers' by offering special promotions
Analyzing customer buying behavior
The advent of online shopping has
enabled retailers to offer a wide range of products. However, it
has become a daunting task for customers to go through the vast
selection of products. Retailers are challenged with offering
better product recommendation by analyzing customer buying
behavior.
How can BizViz help?
- The BizViz Predictive Analysis tool can
use 'Market Basket Analysis' to optimize product recommendations
- On performing multiple iterations of the
algorithm, BizViz provides the best product recommendations
based on current purchase, past purchases, and other customer
telemetry.
How does this benefit retailers?
- BizViz provides better insight into
customer buying behavior
- BizViz can help businesses optimize floor
layout to improve the shopping experience Improve cross-selling
- Improve cross-selling