Quantitative and qualitative data analysis for omnichannel success
Written by Chantal Salom ·
Have you ever had a large amount of data stored away on an excel but haven’t been able to generate meaningful conclusions from the numbers? Are you thinking about how to restructure your retail network to maximise the potential of each point of sale? Would you like to launch highly targeted marketing campaigns but aren’t sure where to find your target customers? This is where quantitative and qualitative data analysis comes into play, to manage point of sale networks on a store-by-store basis.
The results of our Future of Retail Intelligence 2019 report reveal that 68% of retailers plan to open more stores this year than last year. However, the performance of these newly opened establishments will depend on a number of quantitative and qualitative factors to achieve success. Moreover, the connection of these potential and existing physical stores to the digital realm cannot be forgotten to create a seamless omnichannel experience.
Omnichannel in the retail ecosystem
The balance within the retail ecosystem has shifted dramatically. The ones with the competitive advantage are not the ones who have data—they are the ones who know how to glean value from that data and apply it to their strategies. If we are capable of understanding and describing what the psychological motivations of our customers are (qualitative analysis) and enriching that with quantitative information (such as the number of online vs. offline purchases, average ticket size, footfall traffic outside the store, etc.), omnichannel retail network management becomes a tangible reality.
But…what kinds of quantitative and qualitative data analysis is needed to better understand and describe target populations surrounding different sites? Take a look at the following three scenarios and discover how forward-thinking retailers are using data to define their point of sale network strategies, both online and off.
What quantitative and qualitative analysis means for the industry
The retail sector is at a crossroads, where the connection between in-store, out-of-store and the digital realm is essential to navigate through the turbulence. Creating a seamless balance between each of these three components is of paramount importance to thrive in this new retail paradigm.
The consumer is increasingly more digitally adept: reading product reviews and perusing online shops while at home, on public transport or out with their friends. Shoppers do not always immediately buy what they see online. Many times, this online experience is what drives them into the store to buy something they saw in a social advertisement, pick up a click and collect item or interact with the product before making the final purchase. The same can be said the other way around—physical drives the digital. A store visit can plant the “product seed” in the consumer’s mind and result in an online sale. This newfound fluidity between offline and online has positioned stores on the high street as more than just points of sale. Consumers expect the physical establishment to provide them with the right experience that suits their needs—be it fast and convenience-oriented, or slow, for a meaningful interaction with the brand.
Breaking down the data through quantitative and qualitative analysis is the only way to truly understand what drives consumer behaviour in specific areas. It’s what allows us to know not only how much consumers buy, but also why they buy those items around different points of sale. Retailers need to start “connecting the dots” by “connecting the data”, as we like to say, between what’s happening in-store, out-of-the-store and in ecommerce environments. Only then will brands be able to take full control over the stores in their retail networks, ensuring each site is living up to its full potential within the omnichannel commerce spectrum.
Are you developing data-driven retail network management strategies using the most valuable data on the market? If not, what are you waiting for? Don’t fall behind, the future of retail is now closer than ever.