.png?width=2000&name=SDG%20-%20Logo%20White%20(1).png)
Avoid inventory shortages, execute more efficient promotions, and understand the best channels to reach your customers are key factors to increasing sales
We're amid Black Friday promotions and holiday sales. But, how do retailers know which inventory they can afford to sell at lower prices?
Through the power of Advanced Analytics.
Since the rise of online sales and big data, data scientists have been tracking historical data to do predictive analysis to stay ahead of trends.
Advanced algorithms help build, test, and predict which customers are most likely to purchase specific products and generate the most revenue based on patterns, behavior, popularity, and profit margins.
Retailers track consumers' actions as they view items, add and remove them from their carts, and make purchases. This data collects interests and makes it possible for retailers to predict what will be purchased during holiday promotions. Machine Learning is then used to decide the discounts and how much should be sold to yield ROI. The data is also useful for the rest of the year. If a product was a hot item during the holidays, retailers might raise the price after the holidays to make up for the discount.
Retailers also monitor social media to determine inventory and predict sales. They collect consumers' posts about products, reviews, and information about competitors' promotions to forecast inventory and sales for the holidays.
Take your insights to the next level. Download the Business Insights e-Book to learn more.
