Online vs Offline: the future of retail
Analyzing data relating to customer interaction with your store is now almost mandatory: it is no longer possible to make strategic decisions without a report that shows the trend of the store and the KPIs to be kept under control to improve performance.
A huge amount of information is gathered from a variety of sources: these data must be analyzed and transformed into a quantity of useful data for the company. There is little to discuss: big data analysis is the key to success.
The trick is to find out what data needs to be analyzed and what to improve. Retail companies, in particular, have had to refer, up to now, to the metrics of the online world, to those KPIs used to analyze the results of e-commerce. Many of these KPIs can easily be applied to the physical retail world, and provide retailers with useful tips to increase sales and satisfaction of their consumers.
The way things were
Five years ago, an easily navigable e-commerce platform, with a good inventory and a strong number of followers on Instagram, was enough to guarantee a relatively large business. Then, there was a boom in sales and a multiplication of online stores (especially in niche sectors): if you had the tools to buy a domain, the physical retail space was irrelevant, if not counterproductive, for your tax success.
Fast forward to the end of 2018, and all those special niches are suddenly overcrowded by virtually identical companies. All of them have an extraordinary brand strategy, a strong presence on social media and a killer product.
Then, the reality came to the surface: these societies are all the same, they do not distinguished in nothing, and therefore, while a couple of them naturally emerges as leader by the others, the rest remains in mediocrity.
As a result, even large digital native retailers who started with an online business, have returned to physical retail space. Even Rent the Runway, a brand whose objective is based on the convenience of online shopping, has been a great success by strategically opening physical showrooms.
What to keep in mind when opening a physical store?
Retail is not dead, indeed. But, what do you have to keep in mind before launching and opening a physical store?
First of all, that the future of retail is integration: owning a physical store does not mean being able to leave the online world, on the contrary! It is necessary to apply the principles of omnichannel and offer the consumer a fluid experience through all sales channels to take advantage of the benefits of both worlds.
Customers comes first
Every company that generates profits depends on the number of customers and their loyalty also plays an important role. To retain them, it is important to know what their habits are and what their needs are. Also in this case, the analysis of the data relating to their interactions with the store is fundamental.
TC Group Solutions provides retailers with all the tools they need to collect and analyze consumer data in your physical store. TC Analytics is the perfect ally of retailers: with its intuitive interface and its customizable functions, it represents the predictive tool that can no longer be dispensed with.