Predictive analytics give retailers an edge that’s hard to replicate using other technology and solutions: In the right context, the insights generated by predictive analytics can influence customer behavior in real time. For retailers interacting with online shoppers, that means not having to wait for a potential second visit to more accurately target them – the benefits can be realized during that same session. Utilizing business intelligence software helps companies tap into these real-time advantages. With the right strategy, organizations can provide recommendations of relevant products and otherwise guide customers toward the merchandise they’re most interested in. This advantage helps retailers stand out and succeed against the competition.
“The insights generated by predictive analytics can influence customer behavior in real time.”
Making a difference in the moment
The IBM Big Data & Analytics Hub gave the example of a clothing retailer that uses data gathered during a customer’s first visit to begin suggesting products before the shopper completes the checkout process or leaves. Drawing on the real-time information provided by customers during a visit is essential to maximizing the value of each transaction and developing positive relationships. Providing relevant options not only creates more attractive conditions for a sale, it also demonstrates a business’s relevance and understanding of wants and needs on an individual level.
Of course, the recommendations provided have to be in line with a customer’s preferences to be effective – providing irrelevant suggestions can be more harmful than not attempting any level of personalization. Retailers need to be sure they choose the right options when it comes to business intelligence software and predictive analytics. Additionally, it’s critical to understand all the areas where analytics can be applied to retail operations. Tying recommendations to the choices made by a website visitor is one important benefit of analytics, but it’s far from the only one. Understanding the true scope of analytics and making sure to utilize all the relevant options for a business’s specific situation is essential for broader success.
Aviana knows how to work with retailers to maximize the returns they realize from implementing predictive analytics throughout their operations. We offer plenty of industry experience and high level of knowledge regarding how the needs of the retail industry and the power of predictive analytics intersect. To learn more about our work in the retail industry, visit our dedicated industry page.