From virtual dressing rooms to detailed analytics -- it’s clear that big data will only increasingly become more of a part of our shopping experiences.
Whether you run a brick and mortar business or a boutique online shop with just a couple of employees, your need to understand analytics will only rise, so it’s best you learn now. There are a number of news items you’ll want to key in on, in addition to a few tips for incorporating this technology into your business.
For a quick glimpse into how the shopping experience is being revolutionized, in addition to guidance on what you can do about it, read on.
The industry is about to skyrocket
Before the close of this calendar year, big data is set to officially become a $42 billion industry.
For an example of why this is the case, you can look no further than current and future retail practices. Google EU’s newest comparison shopping algorithms have incited a gold rush, to the point that the amount of text-based ad space has already surpassed the US'. Companies see it as an opportunity to jump on the market share since this is where consumer attention lies.
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In China, certain malls have begun incorporating virtual dressing rooms, which allow shoppers to try on clothes using digital avatars, as opposed to getting dressed and undressed.
Domestically, retail giant H&M is also betting big on data analytics both to cater to customers and cut expenditures. For instance, they’re using AI related to regional purchases, loyalty card data and more to inform their decision to stock specific stores. This way, they can stock each individual store with items that are selling, while not wasting money on inventory that will sit on shelves until it’s phased out, thus costing them money.
They are also beginning to implement automated warehouses. When operating using fine-tuned AI, these warehouses will be run far more efficiently and save an incredible amount in overhead costs.
Expect other retailers to keep an eye on such developments and follow suit.
Get familiar now to cater big data to your business
If there’s anything you need to know about the big data revolution, it’s that there is no one size fits all approach. You’ll need to gain a familiarity with it so that you can customize data to your business.
The beauty of embracing big data is that it helps to forecast trends that can predict demand, cut costs and foresee obstacles. This is worth its weight in gold regardless of what sort of business you run.
Further, you’ll be better able to price your inventory to sell and identify customers that you otherwise didn’t have access to.
Invest in big data now so that your business can thrive during the retail evolution that we’re experiencing.