The Physical Store in Not Dead
Moreover, physical retail is thriving. During weekends, you cannot find a parking spot at your local shopping mall. Your supermarket is becoming your kids’ favorite food joint. And did you see the Pop Up on High Street - where you can customize your personal shoes?
And retailers want data – lots and lots of data about stores and products and customers – in seamless online/offline information
Isn’t this the best time to design, build, and sell location-based solutions?
Sounds like a Win-Win
Vendors are from Mars and Retailers are from Venus
You build an elegant sensor that detects 97% of objects and costs less than a cup of coffee a month. Yeah!
And the retailers buy 3 units
You designed a responsive mobile application that shows visits to the store, in real time. Yeah!
And the retailers have not moved beyond the first pilot store
You sold a 10 stores solution. Yeah!
And that was a year ago and nothing seems to move forward
If this is happening to your company, you are not alone
You finally convinced upper management to install a People Counter in 3 stores. You can now calculate Sales Conversion. Yeah!
But the store managers challenged the data. Tech Support complained about hardships of monitoring sensors. Marketing dept rebelled when footfall traffic became a metric to be reckoned with. Finance raised the alarm when the data showed the need to add staff. And your CEO cannot comprehend why the data included the store associates.
No one understood the shifts in Sales Conversion if we use Arrivals or Devices as the demand factor. And frankly, neither did you.
You are in trouble!
You finally convinced your CEO that Marketing “owns the customer”. You got your mobile app with all the latest bells and whistles. Yeah!
But the Visual Merchandising team is running around sour faced. Despite their innovative collection, the sales showed no signs of improvement. Turns out no one in the store cared about updating the Planogram. The staff followed the Task Management Solution. And the new trainee felt the brown-stone shirts look better than orange. He changed the display and didn’t tell anyone.
No one understood the differences between Location Marketing and Location Analytics. And frankly, neither did you.
You are in trouble!
You finally got that promotion to Head of Customer Success. The first thing you did was to deploy Traffic Counters at the door and WiFi Tracking at a couple of pilot stores. You love the data. Yeah!
But 3 months later everyone moved on to the next shiny project. The store managers argued over the “correct” sales conversion in their compensation plan. No one cared about training the ever-changing associates. WiFi was great. But when customers compared prices, the enthusiasm transformed to worry.
No one understood what to do with the data, and the endless reports. And frankly, neither did you.
You are in trouble!
If this is happening in your retail organization, you are not alone
Here’s the reason -
Providers want to sell technology. But retailers need help in understanding metrics, creating processes, and designing accountability
This is what I learned in the last 10 years (This is Important!)
No one cares about Technology
Companies care about Outcomes
People care about their Jobs
You Cannot Roll Out a People Tracking Solution without a Proven Business Value
That’s it. That’s the Secret!
Metrics are frameworks of behaviors. It means discovering a solution to the problem are you trying to solve.
But first you need data
The technologies of people tracking are evolving - fast!
The solutions include Vision Analytics, 2D/3D Video, Thermal, Time of Flight, Structured Light, WiFi, Beacons, RFID, GPS, and 3D Spatial
Our raw data is activities captured by technologies to track people
Behavior Analytics grew from:
Behavior Analytics drives awareness and profits in the physical store.
Ronny Max is the Principal of Silicon Waves and Founder of Behavior Analytics Academy. Ronny worked with over 150 retailers, solution providers, and other organizations on Growth & Optimization projects in Physical Stores. Silicon Waves provides advisory, workshops, and consulting expertise on People Tracking Technologies. In 2015, Ronny served as the retail expert in Stanford University Vision Project. In 2017, Behavior Analytics Academy initiated online courses and live sessions on InStore Optimization.
Ronny was very helpful in guiding us through the learnings of how to
leverage traffic counting metrics into our retail business. She is very
knowledgable with both the technologies and business analytics used to
leverage customer traffic counting systems to assist in labor
scheduling, product placement and customer behavior. these customer
insights resulted in business changes that delivered significant ROI and
improved oveall customer service.
Butch Jagoda, V.P. Information Technology at Helzberg Diamonds
I have worked with Ronny for many years. She is deeply knowledgeable
about the Retail Analytics industry. Her insights have been invaluable.
She is easy to work with – highly responsive and highly pro-active. I
strongly recommend Ronny.
Christopher Ainsley, CEO ShopperTrak
I have worked with Ronny in the past both as a contractor to my company
and also as a collaborative and trusted advisor. Her insights into the
market of customer behavior and associated analytics for physical
retailers are as deep and thoughtful as can be found in the market.
Steve Hornyak, CEO, Americas at Trax Image Recognition
The dichotomy between retailers and providers lies in three realms. The first is the market moves very quickly.
It means what worked in the past probably does not work today. And what works today will probably not work tomorrow.
Second, providers must know their unique positioning. And finally, data is the source for store operations, on steroids.
This Is What You Are Going To Learn:
If you binge the course, the videos are about 2 hours long. And you can see immediate results just by changing the conversation!
Communication > Change > Conversion