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Alchimia – Alkhimiya – Alchimie – Alchemy – Alquimia – Alchimia – Al Kymia – Alchimia – Alkhimiya – Alchemy
Confidential – proprietary of Alkimea - 2015©
Introduction to big data activation in Retail
January 2016
Alchimia – Alkhimiya – Alchimie – Alchemy – Alquimia – Alchimia – Al KymiaConfidential – proprietary of Alkimea - 2015©
AlkimeaTurning Insight Into Gold
2
Retailers and brands collect more and more data through loyalty programs anddigitalization
However, many company leaders are discovering that they have more data thanthey can effectively handle as significant technological and organizationalchallenges stand on their way to activate “Big Data”. The complexity of theinterfaces in the retail ecosystem often makes the organizational challengepredominant.
Alkimea helps retailers and brands to turn “Big Data” into “pragmaticsolutions for the business”
… to Turn Insight Into Gold
Alchimia – Alkhimiya – Alchimie – Alchemy – Alquimia – Alchimia – Al KymiaConfidential – proprietary of Alkimea - 2015©
AlkimeaTurning Insight Into Gold
3
Zyed Jamoussi Cédric Chéreau
• Master Degree in Engineering• 3 yrs. PWC• 6 yrs. Group Strategy & CRM at Yves Rocher• 7 yrs. at emnos (American Express group)
- Head of Insight Southern Europe- Tools & Analytics Development- Launched Insight Sharing (retailer FMCG)
• Master Degree in Business Administration• 2 yrs. Marketing and Supply Chain at LVMH• 2 yrs. Organization Consulting at Ellipsa• 9 yrs. at emnos (American Express group)
- Consulting Director- Launched Carrefour Group relationship- Launched US Office
The founders
Founders’ proven experiences with
Alchimia – Alkhimiya – Alchimie – Alchemy – Alquimia – Alchimia – Al KymiaConfidential – proprietary of Alkimea - 2015©
AlkimeaTurning Insight Into Gold
4
Retailers and brands collect more and more data through loyalty programs anddigitalization. Traces left by shoppers in their interactions with the retailersprovide information that is richer than traditional personal and declarative data
Shoppers are more and more pragmatic and price conscious. Online and mobiletechnologies makes comparison between retailers easier. Retailers who areirrelevant to them see their performance declining
Retailers are now fighting to build loyalty with their shoppers by personalizingtheir commercial relationship giving birth to “Customer Centric” promotionalcampaigns
Individualized Customer Centricity
Alchimia – Alkhimiya – Alchimie – Alchemy – Alquimia – Alchimia – Al KymiaConfidential – proprietary of Alkimea - 2015©
AlkimeaTurning Insight Into Gold
5
Customer centric campaigns are about switching the usual focus from Brand to Customer when dealing with supplier coupons
… to customer centric promotionsFrom brand centric CRM…
Offers and €€€
Campaign Campaign
BRANDS
BRANDS
Campaign
Campaign CampaignCampaign
Alchimia – Alkhimiya – Alchimie – Alchemy – Alquimia – Alchimia – Al KymiaConfidential – proprietary of Alkimea - 2015©
AlkimeaTurning Insight Into Gold
6
The concept is about pooling offers based on shopper affinity and allocating them on a “One to One” basis to drive the right behavior
Customers
You like thisYou may like
this
Offer pool
DIGITAL TRACES AND TRANSACTIONS
TILL LOG
Alchimia – Alkhimiya – Alchimie – Alchemy – Alquimia – Alchimia – Al KymiaConfidential – proprietary of Alkimea - 2015©
AlkimeaTurning Insight Into Gold
7
How would it look like at Retailer X ?One to one targeted customer centric campaigns
Reward
coupon
Store or category
coupon
Activation
coupon
Innovation
coupon
You save : up to 120€ !!
15€ OFF 200€
Store wide
-25%
-25%
-15€
-5€
-42€
X6
X6
-5€
-15€
DIGITAL ECOSYSTEM
NEWSLETTERS
Retailer X
Retailer X
Alchimia – Alkhimiya – Alchimie – Alchemy – Alquimia – Alchimia – Al KymiaConfidential – proprietary of Alkimea - 2015©
AlkimeaTurning Insight Into Gold
8
Such campaigns require a process that allows to scale offer sourcing and reduce campaign management complexity
Target selection
Target based offer
definition
Optimized offer
allocation
Customer and brand
performance measurement
• Which offers shouldbe sourced to develop Customers loyalty and share of wallet ?
• Who is a relevant target ?
• For which objectives ?
• How to allocate the best offers to each Customer to drive Reward and Activation ?
• Which channel is most suitable ?
• How does the performance compare to control ?
• How is the performance for each brand ?
Feedback EXEC
UTI
ON
Alchimia – Alkhimiya – Alchimie – Alchemy – Alquimia – Alchimia – Al KymiaConfidential – proprietary of Alkimea - 2015©
AlkimeaTurning Insight Into Gold
9
A smart allocation process is key for the relevance of the program and its financial balance
Recommendation engine
Off
er p
oo
lC
ust
om
er
+
…
Off
er p
oo
l
Target customers
2 way relationship optimization engine
BEST
BEST
BEST
BEST
Optimized offer
allocation
Most relevant reward and activation
offers for each individual
Right balance between customer
relevance and brand performance