We are currently living in the future. Of course, this isn’t meant to be a literal statement. But it feels more true today than ever before. Why? Because technology is evolving at such an astonishing rate.
Terms like artificial intelligence are now commonplace – and not just among geeks. AI, big data, and other forms of business intelligence are completely changing the way organizations work to improve internal processes. Here are some ways business intelligence and AI are going to shape the future retail marketing.
Better Targeted Ads
You’ve probably already noticed that the ads you see when browsing the Internet seem to be much more relevant to you now than in the past. This is because your search information is building a profile of what you’re most likely to buy at any given time. As these algorithms continue to improve, companies will be able to capitalize on people’s needs more efficiently. Would you rather be marketing to the general public, or just to people who have exhibited specific behaviors that greatly increase their likelihood for a conversion? The answer should be obvious.
Just about anyone who has spent any time online has interacted with a chatbot. Primitive versions of these systems were embarrassingly bad; and it was often a game to see what inputs would produce the craziest responses. Needless to say, chatbot technology has improved along with the rest of our digital revolution. These now have lucrative commercial appeal for online retailers. It makes much more sense to use a chatbot for customer service than to hire full teams of support staff.
Understand Your Audience
Arguably the most important element to selling something is understanding the audience. You can’t market something to a group of people without knowing their values. For example, retailers need to consider the social, moral, and behavioral preferences of the people most likely to purchase a good.
Luckily, retail analytics can help with all of these things. That’s because data analytics for retail provide a 360-degree, comprehensive view of a customer rather than a fragmented view of what a prospective buyer might look like. In the right hands, this information can assist with curated marketing campaigns, well-time product releases and more targeted promotions.
Easier to Gain Insights
Ease is another reason why BI and AI are making retail better. Previously, retailers spent a lot of time and resources on collecting troves of customer data. But much of this information sat dormant since there was no way to shift through all of it. Now, AI allows retailers to pull actionable insights and answers from their data in a timely manner.
Timing Is Key
You need to think about timing if you want to effectively market a product or service. Retail analytics will show you when people are most likely to engage with content and make purchases. This knowledge allows brands to strategically time campaigns in order to get the most bang from every buck. It might not seem significant, but every avenue of increased efficiency will pay off down the line.
Spot Overarching Trends
The retail apocalypse has been one of the most talked about trends over the past year. This is, of course, referring to the general shift to online shopping from brick-and-mortar retail. There’s no shortage of companies that have failed because they were unable to pivot their business model to adapt to the changing times. Don’t let your company fall victim to the next retail apocalypse. Stay ahead of industry trends by keeping tabs on the big picture.
It doesn’t make sense for retailers to attempt to stay afloat without employing data analytics. In the future, retail marketing will only continue to play a larger role in how brands connect with consumers.