Sales Strategy
Avoiding Data Strategy Pitfalls in Retail: 3 Key Mistakes to Overcome April 23, 2023 (0 comments)
Philadelphia, PA--Change, and disruption are prevalent in retail, and maintaining a competitive edge requires providing timely, relevant customer experiences at every touchpoint. Although 70% of consumers spend more with companies offering fluid, personalized, and seamless experiences, data strategy mistakes often leave retailers insight-poor.
[Image via Total Retail]
According to an article from Total Retail, here are the three common mistakes and suggestions for improvement:
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Relying on Legacy Processes and Technologies
Outdated tech stacks pose a significant challenge for retailers. Complex customer journeys create data silos across multiple systems, delaying data accessibility for marketers, e-commerce, and customer experience teams.
Retailers must modernize tech stacks by adopting purpose-built solutions that collect first-party data, unify it for a single customer view, and make it easily accessible for enhancing customer interactions and experiences.
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Adopting a 'Wait-and-See' Approach to Third-Party Data
Despite Google's delay of its third-party cookie ban until 2024, waiting for a clear direction is not a viable strategy. Retailers must focus on building their first-party data assets through value exchanges with customers, such as loyalty rewards, promotions, and tailored product recommendations, on encouraging opt-in.
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Overlooking Opportunities to Strengthen Customer Loyalty
Retailers must find innovative ways to engage digitally-savvy customers through valuable digital products and experiences.
Examples include augmented reality (AR) for virtual furniture shopping, new digital channels targeting specific consumer segments, and incorporating digital screens and mobile associates in brick-and-mortar stores. These digital experiences allow retailers to collect first-party data, enhance engagement, and deepen customer loyalty.
By addressing these data strategy mistakes, retailers can forge stronger relationships with consumers and establish a more robust growth trajectory for their businesses.
Click here to read the full Total Retail article.