Leveraging shopper insights for identifying retail trends

If you own a business and you hope to remain relevant, you need to do a lot more than just follow the same basic marketing strategy you’ve been employing for years. This is especially true if you are in the retail business. Retail is a field in which you need to be consistently competitive so as to increase your market. A smart retailer understands that to remain relevant and to be viewed as competition, he must leverage data which provides insights into a consumer’s behaviour. Gaining insights is much more effective than relying on hearsay or casual predictions. It also helps identify retail trends and devise plans meant to attract shoppers. Here’s how you can leverage shopper insights to identify retail trends.

Reviewing previous years’ sales campaigns and analysing consumer demographics linked to them

This can be done with the help of three steps

Collecting sales data – Thoroughly examine the data from your POS (point of sale system). Review your sales campaigns to determine the most purchased items, their prices and quantities.

Reviewing consumer data – You can obtain valuable shopper retail insight by matching your sales data with your customers’ gender, education, occupation, family income as well as the PIN codes of the areas of purchase. Doing this can help you learn about different demographics that encompass your customer base.

Reviewing previous consumer behaviour to identify future behaviour patterns: Now take a look at various campaigns in correspondence with its respondents and check which campaign derived the highest respondents, based on their age bracket, gender and city. Also analyse when consumers are more likely to purchase products – during sale seasons, weekends, and a particular day in the week or hour in the day and so on.

Gaining these shopper insights can help you understand trends that may impact how campaigns should be devised in the following business year.

Segmenting and grouping customers

Based on data from previous years, you can check which customers are more likely to make a purchase based on age groups and genders. You can also identify what these customers purchased. For instance, if you own a western clothes stores; you can assess if most of your customers purchased crop-tops or dresses; denim jeans or jackets and so on. You can also assess if these purchases were made online or in-stores and check which medium is utilised more for making purchases. Additionally, you can use shopper research to check which marketing vehicle proved most effective with your customers – emails, SMSs, push notifications, for instance.

Identifying upcoming trends: Predictive analysis helps you understand the types of campaigns that will prove effective in the upcoming year. Identify both, successful as well as unsuccessful campaigns to determine which ones are evoking the highest responses and check which campaigns proved profitable and which did not. All this data can help you plan your campaigns and target the right products via the right channels at appropriate times.

The above mentioned shopper insights can help you identify retail trends that allow you to provide customers with what they want.

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