Relying on retail data analytics rather than guesswork enables you to make smarter and better business decisions. While majority of ecommerce businesses has yet to take advantage of data analytics, it has slowly gain grounds in recent years.
Many players in the ecommerce retail industry have already recognized the benefits of data analytics. According to the study, only 16% consider themselves experts when it comes to data harnessing, while 24% and 60%, respectively, describe themselves as “newbies” and “getting there.”
Let's take a look at 5 benefits data analytics provides for you ecommerce business:
Allows you to track customers buying journey
Today's consumers own more devices than ever before, and they’re spending more of their time engaged with these devices. This makes it difficult for brands and advertisers to keep up with how, what, where, why, and when consumers are 1) conducting research and 2) making purchase decisions.
But the good news is that with data analytics, you can track your shoppers buying journey in a lot of ways, giving you an opportunity to gain an even deeper understanding of your consumer's behavior.
You determine what data to track
With data analytics, you can set what data to track from your back office dashboard. Things like:
What are consumers doing online across multiple connected devices?
Which advertisements are reaching consumers on multiple connected devices?
How are those ads influencing consumers as they conduct research and make purchases?
Why are consumers choosing to purchase a particular product?
What preferences and biases are consumers exhibiting, and why?
These key metrics are just some of the many things you can track with data analytics, available for you with our own ecommerce system.
If you believe you need to have data analytics in your webshop, call or email us here! Get ahead of your competition with data analytics!
Learn more about Shoptech Media Analytics here.
Drives personalized experience
As a webshop owner/manager, one of your main priorities is getting to know your customers and building relationships with them. Data analytics makes this task like a piece of cake. However, making sense of the data isn’t always the easiest thing in the world.
Accenture predicts that there will be a $2.95 trillion windfall for companies that can successfully personalize customers’ experiences. On top of that, forty percent of U.S. consumers say they have purchased something more expensive than they planned to because of personalized service. The long and short of it: personalization is worth it.
Understanding your customers is critical to your ecommerce business
Majority of marketers, across all types of organizations, agree that understanding user journeys across channels and devices is critical to their success. That is why big companies uses data and technology to understand their audience and make those timely connections.
You do not have to be a big company to be able to use data to your advantage. Data analytics is available at your fingertips when you develop your ecommerce store with Shoptech Media. Our ecommerce system comes ready with a world class data analytics that provides you real data right in your back office dashboard.
Our data analytics gives you the power to personalize your customer experience in the most simplest way. You don't need to shed hundreds of thousands of dollars to avail of one. Call or email us here!
Improves buyer sentiment analysis
Buyer sentiment analysis is a very interesting concept.
The goal of sentiment analysis is to increase customer acquisition, retention, and satisfaction. But the greatest purpose it serves is to help put the right kind of message in front of the most interested customers.
The biggest gray area of concern in sentiment analysis, however is that, positive sentiments from visitors and potential clients does not equates to sales. Just because there are a lot of positive words around your product doesn’t necessarily mean people are about to buy.
What is sentiment analysis by the way?
In a lot of ways, sentiment analysis is like a game of reading between the lines then pin-pointing positive patterns. Simply put, the more genuine and meaningful feedback you get on your product, the better insights you will gain into your customers.
Data analytics provides you the ability and the capability to read how and what the sentiments of your customers are at a certain segment of their buying journey. It allows you to analyze your audience’s sentiments and formulate predictive analysis to be able to come up with the highest chance of success for your ecommerce business.
Leads to better customer service and customer retention
increasing your customer retention by just 5% can result in a 25% increase in profits
With data analytics, you can easily track negative remarks and respond to customer problems. It gives you insights into your customer concerns and enable your company to identify and fix customer service issues quickly. Bolstering your customer retention notches higher than your competition.
Data Analytics can also show which channels are frequently used by your customers. This information can then be used to select where to best focus your marketing and advertising efforts.
High customer retention lead to growth
Experience growth in revenue simply by improving the alignment between customer behaviors and your messaging. This requires the ability to provide personalization on a grand scale, which is only possible through harnessing the power of data analytics. Allowing you to sift through customers’ transactional data and purchase history fast and efficiently.
Promotes accuracy in demand sensing and forecasting
Meeting customer demands every time means reading their demands in advance – Demand sensing and forecasting is now a requisite business trait to facilitate effective business goal planning and strategy execution. And in a competitive ecommerce market, shop woners are homing in on demand signals to ensure right stocks are available at the right time to fulfill customer needs.
Demand sensing from an ecommerce perspective is also about the ability to read changing customer behaviors, understand how demand goes high or low during seasons and know the demand pattern for competition.
How data analytics help in demand sensing and forecasting?
Data Analytics help guide emerchants in promoting accuracy in the sensing and forecasting of customer demands and buying behavior.
Business owners can take advantage of data analytics to enable effective administration of order and shipment levels, estimate lost sales and predict product demands.
With demand forecasting, webshop owners will be able to connect the customer's past behavioral pattern to the future so as to make a reliable estimation of what is going to be the most logical buying pattern! Various factors influencing demand are also evaluated to determine how these factors impact the demand of a certain product in the future.
Data Analytics resource:
Shoptech Media Analytics?
Can SM Analytics manage multiple user accounts?
How Data Analytics Enhances Ecommerce Business Performance
Using the Store Analytics Data to Your Advantage
What's Next??
To put all these valuable insights into work, you need to know how you can use them to shape your current and future business strategies. Ask the following questions for a start:
What do you want to know and the expected outcome?
What actions will you take to improve overall sentiment when you get the answers? How will you automate these actions?
What are the success metrics for these actions?
If you need help with data analytics, give us a call or email us using our contact us form. Get the best out of the ecommerce world without breaking you bank!
