As retail stores become increasingly digitized, the industry is turning more to big data. Big data is used by retailers to better understand customer behaviour, increase sales, manage stores, optimize inventory and make intelligent operational decisions. Big data is used to identify patterns and insights that can be used to improve customer service, product offering and the overall shopping experience. Here are four big retailers that are tapping into the power of big data.
Walmart Walmart is at the forefront when it comes to big data. The retail giant collects customer data from its loyalty card program and also tracks customer purchases across stores and online to continually improve their customer experience. The retailer is also using big data to improve inventory management and make pricing decisions.
Amazon Amazon’s business is based on collecting data (from customer purchase histories, product reviews, and more) to create an experience that offers personalization and convenience.Amazon’s algorithm-driven platform accurately projects customer demand and enables the company to anticipate customer needs and make the necessary resources available.
Target Target is leveraging big data to personalize promotions and offers specific to customer segments. Target's data-driven approach to retail has enabled the company to quickly adjust to changing customer needs, introduce new products more rapidly, and efficiently manage inventory.
Best Buy Best Buy is using big data to understand customer preferences and optimize their product selection. The retailer has created algorithms that can accurately assess customer behavior and suggest items that may match their tastes. Best Buy also collects data from its loyalty program to engage customers through targeted promotions.
As retailers continue to embrace big data, new insights will emerge to help companies explore optimal pricing strategies, customize options and create a personalized shopping experience. Big data is revolutionizing retail and these four major retailers are proving that it can have a significant impact on the way businesses operate.