Analyzing customer segmentation for retail client

The nature of Retail Industry has changed dramatically over the past few years, and with it, so have the expectations of the consumer. Modern customers look at more than just products when they shop with retailers, they also value companies that identify their individual needs and meet their increasing expectations. To achieve this, retailers must first do away with the one-size-fits-all approach when interacting with customers and adopt a more personalized strategy. This dashboard aims to enable retail marketers to make better marketing strategies based on segmented customer groups and customer lifetime value.

Challenges

• Understanding the scope of customer segmentation while formulating the strategy
• Ensuring data quality to avoid poor grouping
• No platform or dashboard that can help retail marketers to understand the customer base and make stronger marketing strategies

Solution

Following Insights were generated using the solution :

• Quintile analysis provided across customer sales group like New, Decliner, Incliner, and Stable with important metrics like Customer Count, Sales, Customer Lifetime Value and margin
• Current year vs last year comparison was presented across all the sales group showing trends with respect to all KPIs
• Understanding species and segment within the customer sales group and providing the sales performance across species which enabled precise sales targeting
• This solution empowered the user to plan better customer targets along with analyzing product performance enabling Revenue Growth, Improved Customer Profitability, Improved Customer loyalty