Trending February 2024 # How Analytics Help Organizations Becoming Customer Centric? # Suggested March 2024 # Top 2 Popular

You are reading the article How Analytics Help Organizations Becoming Customer Centric? updated in February 2024 on the website Minhminhbmm.com. We hope that the information we have shared is helpful to you. If you find the content interesting and meaningful, please share it with your friends and continue to follow and support us for the latest updates. Suggested March 2024 How Analytics Help Organizations Becoming Customer Centric?

Whatever industry you work in, you will hear following line in almost all the top management presentation :

“Our target for this is year is to become more customer-centric.”

What is customer centricity? Why does everyone want to move to a more customer-centric platform? How is it better than product centric approach? How will analytics play a key role in this transition of industries from product centric to customer centric offerings? This article will provide you answers to all these complex question.

Let’s begin with a delightful futuristic scenario. You wake up in the morning. With your eye lashes opening, your curtain opens, opening a beautiful scenery. The glass window adjusts the brightness of the surrounding and your bed gradually inclines to help you get up. All these solution are so synchronized that it will be impossible for different companies to give different solutions to the same customer. It has to be a single company providing a complete solution to the customer.

Now imagine a second scenario, you get out of home for office and bunch of sales man encircle you trying to force-fit their solutions on to you. Some one is trying to sell you a  market linked  insurance even though the sales man himself is not convinced that the product is fit for anyone, someone trying to sell you a credit card even though you already have purse full of them etc. Which one do you want to be your future ? If you say first one, you already know what customer centricity means.

[stextbox id=”section”]  The contrast :  [/stextbox]

There are only two ways a company can operate. First, it launches a new product basket and finds the best fit customers for this product. It modifies the target customers time to time to suit the product basket. Second, the company launches a product and find the best fit customers for this product. Having identified the most profitable customers, it tailors the product, offering and services as per the customer need. The former is called the product centric approach and the later is called the customer centric approach. Following are the definition of the two which I find best suitable to explain the two approaches :

A product-centric competitor focuses on one product at a time and tries to sell that product to as many customers as possible.

A customer-centric competitor focuses on one customer at a time and tries to sell that customer as many products as possible.

Let’s consider a business case to understand the two approaches.

[stextbox id=”section”]  Business Case : [/stextbox]

There are two competitors of Laptop retail market in India with same revenue in the beginning of 2013. Retailer X has many stores in India and, hence, sells Laptop with a very aggressive marketing to capture the highest market share.  Retailer Y, on the other hand, is a new retailer with limited outlet. If Retailer Y does not do something exceptional retailer X can easily crush Y’s business given the high amount of its visibility. This is what Retailer Y does :

It analyzes the daily laptop accessories/services requirement of each existing customer. Finally it is able to establish the life-cycle of each customer. For example, any customer needs an additional speaker for the laptop in 3 rd month of purchase, an additional hard disk after 6-9 months of purchase etc. It further drills down to customer level identifying the exact need of each customer with time. Retailer Y thus decides to venture into some of these laptop accessory supply as well. The overall strategy helped retailer Y to get higher wallet share from their existing customers and new acquisitions.

By the end of 2013, both the retailers experienced the exactly same growth. Following is the mathematical workout with some illustrative figures to bring out this picture :

[stextbox id=”grey”]

New Revenue = Old Revenue * ( 1 + Growth in wallet share ) * ( 1 + Growth in market share ) 

Company X : Growth in wallet share = 10% , Growth in market share = 50%

Company Y : Growth in wallet share = 50% , Growth in market share = 10%

[/stextbox]

 As you see from the illustrative figure, both the retailer grow with the same growth rate of 65%. The difference is that Retailer X took a product centric approach to grow revenue and penetration of the same product and Retailer Y tailored the product offering as per the choice of the customer and increased the total wallet share.

Every company tries to find the right balance between the wallet share and the market share growth. Companies who is able to achieve both becomes the market leaders in the industry. Following graph shows the positioning of brands with difference in approaches.

[stextbox id=”section”]  Which approach is better in a longer run? [/stextbox]

Given a choice between product centricity and customer centricity approach, today companies prefer latter. There are multiple reasons for the same. Following are few of them :

1. Product-centric companies have the life span of their products. They are vulnerable to fluctuations in the market. In case the taste of the customer changes, the market of such companies completely dies off. Also, if the cost of the product increases and the customer is not ready to pay for this increase, the company has to cut down on their profit margins.

2. The main objective for a product-centric company is to maximize the value created by each product, while the financial objective for a customer-centric competitor is to maximize the value created by each customer. But unlike products, customers have memories. This means that the business a customer generates for you tomorrow, either as a repeat customer or as a reference for other customers, is based largely on their memory of how well they were treated today.Hence, making the approach more customer centric not only ensures higher wallet share but also incremental wallet share by referrals and good faith generated. Referral or word of mouth is the most effective and responsive way of marketing .

[stextbox id=”section”]  How does analytics help the organization drive the customer centric approach : [/stextbox]

As a marketing analyst we build marketing strategy day in day out. Here is a case which will demonstrate how customer centric approach gives an edge over competitors in this dynamic market. There is a garment shop which has monopoly in the market. It currently has 5 customers and the owner has built a predictive model to find the propensity of a customer to buy Men or Women garment for each customer. We will focus only on one customer i.e. A to make the discussion simpler.  Following are the probabilities for each customer to buy the two products.

The owner found that for the Men apparels A has the highest propensity to buy  whereas for Women  apparels E has the highest propensity to buy. Given the cost constraint he sends only a Men apparel discount voucher to customer A.

Shop 1

Customer A is happy to have got the voucher and increases his spend on Men apparel, leading to an increase in the overall spend of A in this shop.  This is a product centric approach which works perfectly fine till there is a monopoly. But such monopoly hardly exists in real world. One of the fundamental principle of economics says

Hence monopoly in a free market is impossible. Let’s analyze the same problem with a new competitor in market. Assume that the probability to buy apparels and the customer for shop 2 (the competitor) is same. But this time shop 2 takes a customer centric approach. It targets A with a product offering he has higher propensity to buy i.e. women apparel.

Shop 2

Let’s assume that the customer A  does not change his entire purchase pattern because of these offers, but changes his preference of shop for different product. This will happen very often in the real world except in the case of established loyalty. Following was his spend on the two shops before the offer was made :

Given that Shop 1 makes a better offer in Men section and shop 2 makes a better offer in Women section, the distribution changes as follows :

As you see in the table above, even though shop 1 increased the share for Men apparel product but because of competition in market decreased its overall wallet share of customer A by making the wrong offering.

Additionally, customer A becomes more loyal to shop 2 because majority of his purchases now happen at shop 2. This further will lean customer A’s behavior towards shop 2.

[stextbox id=”section”]  End Notes : [/stextbox]

The two approaches, namely product centric and customer centric, are mutually exclusive and can be implemented along with each other. However, customer centricity automatically helps company to grow its market share by the virtue of growing loyalty base who become promoters of the company. Apple is a great example of such behavior. Apple provides a wide variety of solution and has updated its offering keeping customer always in the center.  We will like to hear your thoughts of how companies are driving customer centricity in their strategies.

If you like what you just read & want to continue your analytics learning, subscribe to our emails, follow us on twitter or like our facebook page.

Related

You're reading How Analytics Help Organizations Becoming Customer Centric?

Is Apple Becoming A Service

For years, Apple has been known worldwide as one of the most successful tech companies, thanks to its iconic products such as iPhone, iPad, and Mac. However, in recent years, there’s been a shift in the company’s business model, indicating more focus on services than devices.

Since 2023, there have been many changes happening within the company. With the App Store, Apple Music, Apple TV+, and Apple Arcade, the tech giant seems to be going all out to mint money from sources other than hardware. As a result, many assume the brand is shifting its focus and becoming a service-driven company.

How is that gonna affect their existing business? Join me as I explore the path Apple is taking and dissect what’s ahead for the mega-brand.

Apple‘s business model thus far

Before looking at the future, we must look at the past. Back in 1976, when Apple was still a new brand, it had a lot of challenges in front of them. These include competition from other corporate giants, their struggle to find the best niche for the brand, and many others.

While Steve Jobs had a vision for the company, it still wanted to explore what other possibilities they could ace to make money. Unfortunately, this urge got stronger when Jobs left in 1985, and what followed was a long list of failed Apple products, including the Apple Newton, a digital camera, and even a clothing line!

Things began to change when Jobs returned to Apple. He narrowed the brand’s focus from trying various things and making a loss to do things the brand is already best at.

Not only that, but to stay on the market, Apple made sure to continue innovation, and when it was the right time, the brand introduced iPad and, later, the iPhone. We all know how that paid off! iPhone now accounts for more than 50% of Apple’s entire revenue stream from hardware!

If the hardware business has played a huge role in making Apple a trillion-dollar company, you can’t help but wonder why Apple is repositioning its focus.

If it ain’t broken, why fix it?

If you look at their recent product launches, you’d know Apple is a firm believer in this philosophy. So, why is Apple being forced to change its ways? Well, the reason possibly is the paradigm shift in the whole industry.

According to Counterpoint, global smartphone sales have fallen below 100 million units from last year. While some may argue that it’s because of the recent global pandemic and other incidents, I would like to draw your attention to the fact that this has been the case for a long time.

Smartphone sales hit an all-time high back in 2024. Since then, although there have been ups and downs, the ups have not been as big as the lows. Another report from NY Times corroborates the same. There was a time when gadgets used to sell like hotcakes, but now the cakes are still on the shelves.

As you might have guessed, all this news is not something a brand like Apple, whose profit is mostly from hardware, wants to hear. Of course, one may argue this is just a short-term dip, and product sales will be on the rise again once the world economy is restored to normalcy. But to be honest, was there ever a time when the world was normal?

There is no peaceful normal. This is the new normal, the moment we have right now.

Apple realized a couple of things long ago: there has been a shift in consumer behavior, and there’s increased competition in the hardware space. It was only going to reduce their share in the global market.

Besides what’s happening globally, Apple also has to face another challenge: the European Union. We all know Apple recently yielded in the Type-C vs. Lightning port war. If that wasn’t enough, there are rumors of the EU wanting the inclusion of removable batteries on smartphones!

Besides the EU, many nations are developing regulations to control how devices should enter consumer markets. You might have also heard of Apple’s plan to take their iPhone production out of China. That too, as you might have guessed, will cause regulation headaches.

So, by now, you must have understood why it is a good decision for Apple shifting its focus from selling hardware to providing software services.

Software: Apple‘s new source of income  

Apart from the fall in the hardware industry, Apple had noticed the growing importance of services in the tech industry and thus began improving its software offerings.

Apple is not a newbie to the service industry. It has been in business since 2003 with iTunes (kind of an old dog). Since then, the brand has introduced many other services, but most of them were limited to Apple’s ecosystem. It was only in 2023 that we all came to know that Apple started to take its service business seriously with the launch of iCloud+.

With iCloud+, Apple brought most software services provided by the brand under a single roof and made it available at a dirt-cheap price. That was only the beginning. Since then, Apple has been aggressive in providing more services. And that’s the reason for the increase in Apple’s income from services.

Unlike hardware, Apple doesn’t have to deal with regulations or shifting production since they can easily control the content for each region and design their service accordingly. Even if there is any issue with any software, they can quickly address it by rolling out updates.

A deal with the devil? 

While iCloud+ helped Apple get attention from iOS users and buy the service, I won’t call it challenging or successful. It’s easy for the brand to sell things within the ecosystem compared to competing with other brands outside the box.

As Apple continues to shift towards becoming a service-driven company, it has several challenges waiting ahead. One of the biggest challenges will be maintaining the high levels of profitability that it has enjoyed in the past. Services businesses tend to have lower margins than hardware businesses, so it will be important for Apple to find innovative ways to make money.

Apple is not a brand that will feel content with a small margin. Hence, you can expect them to sign partnership deals with fellow competitors in the hardware space to reap profit from the latter’s customers. It’s no surprise that you can already access popular Apple services such as Apple TV+, Apple Music, and Photos on Android and Windows.

Future plans

With an eye on the future, I don’t think Apple will step on the gas and dive deeply into the subscription businesses. However, in the time to come, we can expect more services for platforms outside Apple’s ecosystem.

I would love to see something similar to Apple One for users outside the ecosystem, which can help the brand get more users and keep up with the competition. Apart from services, if Apple can also bring their hardware under a subscription plan and include them with this all-in-one package, that can give tough competition to other players in the space.

What lies ahead for Apple as a hardware company? 

No. Apple won’t leave the hardware space, not in a million years! Although there is tough competition and pressure from the regulations, Apple is here to stay, as does its hardware business.

There will be inevitable changes in how Apple handles its hardware businesses, and this was foreseen with the introduction of self-repair service for iPhones and other devices.

Apple was also in the news for helping to develop Qi2 technology, which will directly help its competitors. This move was made likely to keep the menacing EU away from them. How will things unfold? Only time will tell.

Can Apple’s subscription models bear fruit?

Another challenge that Apple will face is the need to adapt to a rapidly changing market. Despite being in the industry for quite a long time, the brand will have to give itself a facelift and re-engineer its processes.

Apple will need to be agile and responsive, driven by a need to constantly innovate and find new ways to deliver value to its customers. As you know, this is completely different from Apple’s current strategy, which introduces new tech only when it is mature enough.

We might also see Apple acquiring new companies or technologies to stay ahead of the competition. Everything said and done, it is pretty evident that Apple is in search of new horizons and is powered by the zeal to become a service-driven company.

Read more:

Author Profile

Anoop

Anoop loves to find solutions for all your doubts on Tech. When he’s not on his quest, you can find him on Twitter talking about what’s in his mind.

How One Community Rallied To Save Turtles From Becoming Roadkill

The Long Point Causeway is a gentle two lane road running over a small spit of marshland in Lake Erie. It’s lovely, bordered by trees and wetlands, and until recently, it was an apocalyptic hellscape straight out of Mad Max for the turtle species living nearby.

Turtles wandered onto the road in an effort to…well…get to the other side, either to access their nesting grounds or their winter hibernating habitats depending on the season. Other reptiles like snakes may have been attracted to the warm surface of the asphalt, where they could bask in the sun and take the chill off their cold-blooded bodies.

In 2003 the causeway was one of the top four roadways in the world for turtle mortality. Today, thanks to efforts of the community, that ranking has fallen dramatically.

Disturbed by the number of turtles (some endangered) that were getting flattened on the road, local resident Rick Levick and neighbors decided to put together a project that would keep the turtles off the pavement while still allowing these reptiles access to their favored habitats.

In 2006, they started the process of erecting fences made of durable fabrics and built light-filled tunnels under the road, the perfect size for turtles.

A study published on Friday in the Wildlife Society Bulletin shows that their efforts were successful. By looking at the data from five years before the project was built and comparing it to data collected five years later, the researchers showed that turtle mortality decreased a whopping 89 percent, and snake mortality declined by 28 percent.

But it’s the turtle success that has researchers the most excited.

“Turtles, their life history traits make them very susceptible to mortality,” says lead author Chantel Markle. “Some species take a very long time [up to 20 years] to reach the age of sexual maturity.” That means that it’s hard for the turtle population to bounce back after many individuals are killed on the road.

Keeping the turtles off the road requires two main components: fencing and culverts. Markle found that the fencing was most effective at keeping animals off the road when it was in a long unbroken line, but driveways and marinas meant that this wasn’t always a viable solution. In areas where the fencing had to be broken up, it was effective enough to curve the fence back in a gentle u-turn, guiding the turtle back to the safety of the wetlands.

And speaking of wetlands, the researchers had to use two different types of durable cloth fencing for two different landscapes. One had to be sturdy enough to withstand the moist conditions of the wetland, and another—for more exposed areas—was made out of mesh to allow strong winds to sweep right through them.

Culverts built under the road rounded out the strategy. These culverts or tunnels were a surprising success, with turtles starting to use them immediately after they were installed in 2014.

The methods used here, Markle says, could potentially be applied to other areas where turtles are having some difficulty crossing the road. But Markle says her biggest takeaway was just how much change people can make to their community and environment by working together.

“You can get together and make a difference,” Markle says. “It just takes perseverance.”

76% Of Organizations Use A Strategic Content Management Approach

Chart of the Week: 76% of marketers say their companies follow a strategic approach to marketing but not all of these have a documented content strategy.

The majority of marketers say that their organization takes a strategic approach to managing their content. According to new research from the Content Marketing Institute, 76% of marketers state that their company follows a strategic approach when it comes to content marketing.

Of those who said that this is the case, 97% said that they were involved in the strategic content management used by their company. This covered a number of areas, with 89% being involved in the creation of content and 84% having a say in the organization’s content marketing strategy, including thought leadership, owned media management and distribution channels.

Other areas of involvement in business’ strategy included the content strategy itself (77%), which includes governance, content management, audits and taxonomies, general marketing (59%), communications (53%) and information technology (10%).

Why don’t organizations take a strategic approach?

Of those whose companies don’t take a strategic approach, the biggest reason for this was leadership. According to 56% or respondents, a strategic approach to content management has not been made a priority by those in charge.

Another reason given by just under half (49%) of respondents is that their organization doesn’t have enough processes in place, with 47% placing the blame in the culture of their company.

In addition to these reasons, a lack of financial investment in resources (41%) and leadership doesn’t view content as something that needs to be strategically managed (39%) were also cited.

All of these reasons could mean that 24% of organizations not using a strategic approach to content management might be failing to get the most out of content marketing. A strategic approach means that companies can better scale and deliver content, ultimately improving the overall customer experience, which can help improve conversion and keep customers engaged over time.

Documented content management strategies

While 76% or respondents say their organizations take a strategic approach to content marketing management, only 59% have a documented content marketing strategy. This means that 41% of companies could face issues when handing over their strategy to new members of staff, ensuring that the strategy is followed, documenting any changes or assessing what aspects of the strategy are no longer working.

Maintaining an up-to-date content marketing strategy document can ensure that everyone working on the organization’s content is essentially on the same page. This means that all content is being created in-line with the strategy and goals of the company and that all departments are working together.

Of those whose organizations do have a documented strategy, 94% say that it includes the business’ goals and objectives, while 79% state their strategy includes defined roles and responsibilities. Other elements included in strategy documents include measurements and KPs (76%), desired outcomes (72%), defined workflows (71%), timeframes (62%), content governance specifications (59%) and training guidelines (21%).

Ideally, all content marketing strategy documents should cover these points in order to ensure they are as informative as possible. After all, there is not much point in including an organization’s goals if your strategy does not state how success is to be measured.

Content audits

Content audits are an important part of a content marketing strategy as they enable a review of all content and ensure that a website is creating the best customer experience. Performing an audit means you are able to ascertain whether your content is effective and reaching your goals, if it offers the best experience, if it is engaging and whether it is aiding in conversion. You can also take a look at what content can be repurposed and updated, saving time as it reduces the need for brand new content to be created.

These benefits are likely why 66% of respondents say their organizations have undertaken a content audit to evaluate their existing content. A further 67% have also undertaken a content inventory to create a list of all current content assets.

Performing both of these tasks ensure you have a thorough understanding of the content on your website and help with the creation of an effect content marketing strategy.

A large number of respondents also said that their organizations have undertaken a content gap analysis (56%) to see where they need additional content, research to understand potential audiences to improve a content strategy (55%) and research to better understand user experience (52%).

Only 6% of respondents who are involved with the strategic management of content marketing in their organizations said they haven’t undertaken any of these activities. This suggests that they may still not be getting the most out of their content strategy due to the lack of research around their audience and understanding of current content.

Development of content marketing

Those respondents whose organizations do take a strategic approach to the management of their content marketing also tend to have a number of content development aids in place compared to those who don’t manage content strategically.

One of the biggest aids used is search engine optimization (SEO) and keyword research, which 77% of those who strategically manage content make use of. In comparison, just 52% of those who don’t have a content management strategy in place use SEO and keyword research to aid in the development of their content marketing.

Other content development aids used by both sets of respondents include editorial calendars (72% versus 45%), editorial guidelines (72% versus 45%), content performance analytics (64% versus 45%) and customer personas (61% versus 32%).

One of the biggest difference when it comes to content aids between those who do and those who don’t manage content strategically is formal workflow process. While 57% of strategic content managers have a formal workflow process in place, just 18% of those who don’t strategically manage content. This can mean that the workflow varies from team to team, if not person to person, resulting in work being delivered in different ways and at different times.

Content delivery

Despite such a large proportion of survey respondents managing content strategically, only 10% of those involved in the management believe that their organization delivers the right content to the right person at the right time. Some 39% somewhat agree that their organization is successful in this way, while 20% somewhat disagrees with the statement.

While only 2% strongly disagrees that their audience manages to content delivery right, it is still a fairly small number who thing they really succeed. This throws into question whether their content management strategy is up-to-date and whether they need updating in order to get a better result.

While content may not reach the right people at the right time, 26% of respondents strongly agree that their organization extracts meaningful insights from content marketing data and analytics. This makes sense as just under half (44%) of organizations view content as being a business asset, so they are likely to want to get the most ut of it.

However, these insights still are not being used to ensure the right people are seeing the content at a time in the customer journey that will be most beneficial to them and a company. So while the information is useful, it may not be utilized to fully optimize a strategy.

Final thoughts

Although many companies are strategically managing their content marketing efforts, it doesn’t look like this always pays off. While organizations that do so use more content development aids than those who don’t, they are not always successfully timing their content or targeting it at the right audience.

Only by constant measurement and regular auditing can you ensure that your content marketing brings the right results.

Top 5 Voice Of Customer Tools To Track Customer Experience

These Voice of Customer tools can help to improve the customer experience

With evolving technology, customer’s needs and demands grow and so giving a great customer experience becomes vital. And so businesses are turning towards the voice of the customer (VoC) analysis, which collects customer feedback and analyses it for valuable insights. VoC tools can let businesses know how customers are using their products and services to understand their satisfaction and improve the business.  Here are the top 5 voices of customer tools to track customer experience.  

1 MonkeyLearn

MonkeyLearn is a no-code text analysis platform from the voice of customer analysis to data visualization. This analyzes the qualitative data to understand the VoC using tools like Freashdesk, Zapier, Zendesk, and Google Sheets. MokeyLearn’s visual dashboard can deliver the instant voice of customer insights aiding the decision-making process.  

2 Medallia

Medallia aims to improve experience management, focusing on experiences between a company and its entities such as employees, vendors, stakeholders, and customers. This feedback management software helps in collecting feedback and translating it into valuable insights. This can help in understanding the customer experience better.  

3 SentiSum

SentiSum’s focus is to analyze the voice of customers with tools in supporting tickets. The platform uses AI to automatically tag tickets by topic and sentiment.  The VoC software is easy to use and can identify the report areas for improvement.  

4 Confirmit

Confirmit has a 5-stage process for analyzing the voice of customers with tools allowing them to hear the customer feedback and to generate powerful insights.  

5 InMoment

With evolving technology, customer’s needs and demands grow and so giving a great customer experience becomes vital. And so businesses are turning towards the voice of the customer (VoC) analysis, which collects customer feedback and analyses it for valuable insights. VoC tools can let businesses know how customers are using their products and services to understand their satisfaction and improve the business. Here are the top 5 voices of customer tools to track customer experience.MonkeyLearn is a no-code text analysis platform from the voice of customer analysis to data visualization. This analyzes the qualitative data to understand the VoC using tools like Freashdesk, Zapier, Zendesk, and Google Sheets. MokeyLearn’s visual dashboard can deliver the instant voice of customer insights aiding the decision-making process.Medallia aims to improve experience management, focusing on experiences between a company and its entities such as employees, vendors, stakeholders, and customers. This feedback management software helps in collecting feedback and translating it into valuable insights. This can help in understanding the customer experience better.SentiSum’s focus is to analyze the voice of customers with tools in supporting tickets. The platform uses AI to automatically tag tickets by topic and sentiment. The VoC software is easy to use and can identify the report areas for improvement.Confirmit has a 5-stage process for analyzing the voice of customers with tools allowing them to hear the customer feedback and to generate powerful chúng tôi is a Cloud-based platform that presupposes the companies who have issues with regard to the customer experience. It combines techniques like social reviews, Voice of the customer, and employee engagement to offer a holistic approach.

How Analytics Is Helping Cpg Companies Drive Growth

Consumer packaged companies (CPG) are grappling with a lot of challenges owing to economic uncertainty, price consciousness, changing demographics, rise of discounters coupled with fast-changing retail needs. The growth of leading CPG players is stagnant and there is a fierce competition as a large number of small firms are venturing into the CPG and retail arena. As a result, CPG companies are realizing that deep analytical capabilities could be a key differentiator in this highly competitive space. The use of analytical tools, data, and system integration is helping CPG companies to maximize the value of their investment and delve deeply into consumer minds. Retailers and CPG firms deal with a vast amount of data on a daily basis. The data offers a source of consumer information that can be used wisely to make strategic business decisions. A lot of CPG companies are using analytics to foster growth. Let us now see what sets these companies apart and what are the imperative for growth? Identifying and gathering data Data is everywhere. Identifying and managing the data is the first step towards insight generation. Data resides in almost all the divisions in consumer and retail companies. Data can be sourced from social media, customers and others channels which support business decision-making. By combining data from various sources, organizations would be able to unlock a plethora of opportunities that will help them to stay ahead in the competitive race. However, organizations need to develop a strong process that would extract, clean and store the data before it is served for analysis. Establishing and maintaining IT infrastructure The next step after identifying the data sources is to develop a strong IT infrastructure and operating model that would help in storing a large volume of data emanating from various sources. This requires close collaborations within different teams in organizations to ensure the business requirements are successfully met. It requires time and significant investment but the insights that will be generated would be worth waiting for. One thing that needs to be included as an add on to this process is to chart out an effective data governance policy that would safeguard the valuable data from evil intentions. Using right analytical tools and techniques While analytics is the method mostly used to predict customer behavior in CPG and retail companies, it can also be applied to different processes to get: # Sales/ distributor channel insight # Micro-economic predictive analytics # Brand Positioning # Retail execution insights # Price and promotion analytics # Inventory optimization # Sales forecasting All these require different techniques such as market-basket analysis, clustering, sentiment analytics, business optimization, time-series forecasting, conjoint analysis, among others. This would necessitate CPG firms to leverage mature data models, KPIs, metrics, and visualization to deliver powerful insights. The execution plan The insights generated from all the models using different techniques will create a significant impact once the processes are streamlined and put into effective action. Data and analytics would help CPG companies understand how their customers are using their products and services, how their supply-chain operations are performing, how to manage inventory and workforce, and how to mitigate risk. Organizations must infuse analytics into decision-making in order to yield substantial results. A structured analytics-driven organization can help CPG and retail companies successfully undertake the journey from translating data into insights.

Consumer packaged companies (CPG) are grappling with a lot of challenges owing to economic uncertainty, price consciousness, changing demographics, rise of discounters coupled with fast-changing retail needs. The growth of leading CPG players is stagnant and there is a fierce competition as a large number of small firms are venturing into the CPG and retail arena. As a result, CPG companies are realizing that deep analytical capabilities could be a key differentiator in this highly competitive space. The use of analytical tools, data, and system integration is helping CPG companies to maximize the value of their investment and delve deeply into consumer minds. Retailers and CPG firms deal with a vast amount of data on a daily basis. The data offers a source of consumer information that can be used wisely to make strategic business decisions. A lot of CPG companies are using analytics to foster growth. Let us now see what sets these companies apart and what are the imperative for growth?Data is everywhere. Identifying and managing the data is the first step towards insight generation. Data resides in almost all the divisions in consumer and retail companies. Data can be sourced from social media, customers and others channels which support business decision-making. By combining data from various sources, organizations would be able to unlock a plethora of opportunities that will help them to stay ahead in the competitive race. However, organizations need to develop a strong process that would extract, clean and store the data before it is served for chúng tôi next step after identifying the data sources is to develop a strong IT infrastructure and operating model that would help in storing a large volume of data emanating from various sources. This requires close collaborations within different teams in organizations to ensure the business requirements are successfully met. It requires time and significant investment but the insights that will be generated would be worth waiting for. One thing that needs to be included as an add on to this process is to chart out an effective data governance policy that would safeguard the valuable data from evil intentions.While analytics is the method mostly used to predict customer behavior in CPG and retail companies, it can also be applied to different processes to get: # Sales/ distributor channel insight # Micro-economic predictive analytics # Brand Positioning # Retail execution insights # Price and promotion analytics # Inventory optimization # Sales forecasting All these require different techniques such as market-basket analysis, clustering, sentiment analytics, business optimization, time-series forecasting, conjoint analysis, among others. This would necessitate CPG firms to leverage mature data models, KPIs, metrics, and visualization to deliver powerful chúng tôi insights generated from all the models using different techniques will create a significant impact once the processes are streamlined and put into effective action. Data and analytics would help CPG companies understand how their customers are using their products and services, how their supply-chain operations are performing, how to manage inventory and workforce, and how to mitigate risk. Organizations must infuse analytics into decision-making in order to yield substantial results. A structured analytics-driven organization can help CPG and retail companies successfully undertake the journey from translating data into insights.

Update the detailed information about How Analytics Help Organizations Becoming Customer Centric? on the Minhminhbmm.com website. We hope the article's content will meet your needs, and we will regularly update the information to provide you with the fastest and most accurate information. Have a great day!