Observing the growth of business intelligence in the retail industry, customer relationship management (CRM) as a primary driver in the astute business people to redesign their business intelligence focus on the customer. Retail companies generally have a large customer and the customer generally has different desires.
With the implementation of CRM is the management can automate interactions with customers and sales teams and can analyze customer data obtained f
rom the POS transaction, customer service, and others so that management can gain insight to customer needs and develop a relationship of one-to-one with customers, design and promotion campaigns, optimization of product layout. Analytical CRM using business intelligence tools such as data warehousing, data mining, and OLAP.
Some use of analytical CRM is customer segmentation, analysis of the effectiveness of promotions, customer lifetime value, customer loyalty analysis, cross-selling, the price of the product, and target marketing (Hair, 2007). Some retailers started to invite the buyer who has not become a member by issuing a card, in collaboration with the bank by providing rebates, etc.
The management business intelligence in the retail industry started to realize the importance of getting a comprehensive customer data, where the data can provide information such as customer characteristics (age, sex, marital status, education, occupation, income per month).
Customer behavior (input from customer-related products and services, customer recommendation of related products and services, substitute products are used by the customer, customer loyalty to the service of a brand of a product), and customer spending (purchase price, quantity, frequency of repeat purchases, customer wishes to buy other products and services from a particular manufacturer, etc.)
Based on customer segmentation performed by Shuwen Zhou and Guanghong Lei (2011) concluded that:
1.Category 1 are customers who work in offices as professionals and managers and have a fairly high education, have a house and a car. Based on the information obtained, customers in this category do not have a baby, the annual income is not too high, but they love to shop especially "fashion". Focus on the consumption of this category is high-quality cosmetics, original CDs, magazines and household products in general. In general, they are not interested in buying food and drinks because income is high enough. Marketing strategies suitable for this category is to provide quality products and services higher to attract customers because customers who are not too keen about this category at discounted prices.
2.Category 2 are customers who work in the factory as workers and mechanics, and has a fairly low income, some have a home, shopping for food, household, toddler products. most of the women who love to the supermarket to buy more stuff. In general they are interested in a promotional discount, so the advantage is not too high.
3.Category 3 are customers who have low education, low income which is almost the same as a factory worker. In general, they buy more commodities at the time of substantial discounts. Marketing strategy for this category is to provide promotional discount of commodities thus more attractive customers.
With the implementation of CRM is the management can automate interactions with customers and sales teams and can analyze customer data obtained f
rom the POS transaction, customer service, and others so that management can gain insight to customer needs and develop a relationship of one-to-one with customers, design and promotion campaigns, optimization of product layout. Analytical CRM using business intelligence tools such as data warehousing, data mining, and OLAP.
Some use of analytical CRM is customer segmentation, analysis of the effectiveness of promotions, customer lifetime value, customer loyalty analysis, cross-selling, the price of the product, and target marketing (Hair, 2007). Some retailers started to invite the buyer who has not become a member by issuing a card, in collaboration with the bank by providing rebates, etc.
The management business intelligence in the retail industry started to realize the importance of getting a comprehensive customer data, where the data can provide information such as customer characteristics (age, sex, marital status, education, occupation, income per month).
Customer behavior (input from customer-related products and services, customer recommendation of related products and services, substitute products are used by the customer, customer loyalty to the service of a brand of a product), and customer spending (purchase price, quantity, frequency of repeat purchases, customer wishes to buy other products and services from a particular manufacturer, etc.)
Based on customer segmentation performed by Shuwen Zhou and Guanghong Lei (2011) concluded that:
1.Category 1 are customers who work in offices as professionals and managers and have a fairly high education, have a house and a car. Based on the information obtained, customers in this category do not have a baby, the annual income is not too high, but they love to shop especially "fashion". Focus on the consumption of this category is high-quality cosmetics, original CDs, magazines and household products in general. In general, they are not interested in buying food and drinks because income is high enough. Marketing strategies suitable for this category is to provide quality products and services higher to attract customers because customers who are not too keen about this category at discounted prices.
2.Category 2 are customers who work in the factory as workers and mechanics, and has a fairly low income, some have a home, shopping for food, household, toddler products. most of the women who love to the supermarket to buy more stuff. In general they are interested in a promotional discount, so the advantage is not too high.
3.Category 3 are customers who have low education, low income which is almost the same as a factory worker. In general, they buy more commodities at the time of substantial discounts. Marketing strategy for this category is to provide promotional discount of commodities thus more attractive customers.
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