Consumer data produced by SKUs and barcodes has been used by CPG organizations for years; however, a new breed of data created by the actual end consumer is currently baring tremendous value. This type of consumer data is being generated through mobile apps, online forums and social media. Retailers and CPG companies alike are finally getting the opportunity to understand how their consumers interact with – and truly feel about – their brands, and are turning to today’s technologies to capitalize on this vital information.
Data created by the end consumer is a marketer’s dream as it reveals likes and dislikes of specific products, price, place, and promotion (4P’s of marketing); imagine if an organization could combine true consumer insights with POS and other available data streams to virtually eliminate the unknown?
This vision is becoming reality as organizations work to improve their go-to-market strategies. A recent article in Progressive Grocer (Retailers, CPGs Using Big Data…) highlights the success top tier companies have achieved by implementing big data analytics into their sales force. In a recent poll, 74 percent of leading organizations use data analytics to improve decision making in sales, and have seen their sales increase as a direct result. And with consumer data driving success, CPG stakeholders are not just capturing and utilizing big data to their advantage, but are beginning to recognize that collaboration is critical to their success.
Retailers and suppliers are reaching out to technology partners to find new empowering ways to forge these crucial relationships. With vast amounts of data available, CPG organizations and retailers need to begin with the basics. For many, this first step is to set up a Demand Signal Repository (DSR) which creates a solid foundation going forward. A DSR collects disparate and unstructured information (Big Data), integrates and segments it, and delivers it as actionable intelligence through detailed reports and dashboards. This enables data-driven decision making that in turn, drives in-store success. A DSR is the keystone in an information-saturated industry and will ultimately allow organizations to better understand their consumers’ needs and wants, enable meaningful collaboration and ensure a reliable flow of insights at the point where action impacts results.
The diversity, volume and speed of available consumer data across the supply chain can be overwhelming; however, by incorporating today’s technology and a solid foundation, organizations are setting themselves up for success.
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