How Retail Marketing Analytics Helped a Retailer Plan Marketing Strategies and Increase ROAS?

Sep 29, 2022

Highlights of the Case Study: 

Particulars Description 
Client A major footwear brand retailer headquartered in UK partnered with Quantzig to increase efficiency of their marketing strategies and realize better returns on advertising spends.  
Business Challenge Our client wanted Quantzig to drive its revenue growth to finance its future expansion strategies to make its brand visible worldwide  
Impact Quantzig’s experts help the client in reducing advertising costs and increased store traffic and ROAS 

Game-Changing Solutions for the Retail Industry  

First, let’s take a deeper dive into the role of retail marketing analytics in the retail industry. Customer retention and acquisition are a deciding factor that controls the success and failure of any business in today’s highly fragmented and competitive retail landscape. Consumer behavior is changing significantly in the post pandemic world and so is there brand preferences. It is challenging as well as expensive to keep a customer stick to the brand following the traditional paper-based approaches. 

Quantzig’s comprehensive portfolio of marketing analytics solutions offers an advanced and deep understanding of the customer needs and wants based on the lifestyle changes, their income-spend ratio, age, time spent on each purchase, etc. By integrating data from multiple marketing channels, Quantzig enabled business to increase efficiency of their marketing strategies and realize better returns on advertising spends. Quantzig’s solutions also assists in optimizing promotional campaign planning, drive brand loyalty, and scale up conversions  

The Challenges of the Client 

A major retailer with its headquarters in the UK collaborated with Quantzig to develop marketing strategies through retail marketing analytics to make its brand accessible across all the regions. Therefore, the client wanted to drive its revenue growth to finance its future expansion strategies to make its brand visible worldwide. So far, the client heavily relied on traditional marketing strategies to reach the customers; as a result, the client’s business leveled off, and earnings got saturated.  

The client approached Quantzig to leverage its data-driven marketing approach based on customer data to optimize its brand communication without increasing marketing and advertising spend. Our client does not compete on price; instead, it strategizes on providing the high-quality product with high-class service and already has a large and loyal customer base. The client wanted to use Quantzig’s customer analytics solutions to target new customer segments in a cost-effective way.

Through Quantzig’s retail marketing analytics, the client wanted to implement superior marketing strategies and achieve ROAS.

Quantzig’s Marketing Strategies Solution for Retail Industry   

Quantzig’s marketing analytics team studied the client on-paper data and using this data determined the strategy to communicate the end goal to the customers which was “providing best not cheap”. Then Quantzig’s analysts build a data model that connected data across all departments including sales, digital insights, customer service, and finance across all the stores. Quantzig’s analysts put the analytics techniques in place by writing algorithms to run the analysis on the customer data.  

Finally, Quantzig’s marketing analytics team visualized the outcomes reflected on the dashboard and run a thorough analysis. This dashboard could perform competition analysis and sentiment analysis. On the one hand, competition analysis developed a competitive matrix that compared the client’s marketing strategy with the competitor’s strategy and identified the lags, whereas sentiment analysis, on the other hand, identified how customers perceive client’s offerings and their sentiments regarding the product attributes. This gave client an insight on the areas where improvement can be implemented. 

Impact Analysis of Quantzig’s Marketing Strategies for Retail Industry 

During the first three months of implementing Quantzig’s marketing analytics solutions, our client managed to reduce advertising costs by focusing on the most profitable customer segments, increased store traffic, and increased ROAS. The client could get a unified view of all its marketing strategies in quantifiable terms. In addition, the client could get an accurate impact of its marketing strategies using closed-loop data. 

retail marketing analytics

Key Outcomes 

Quantzig’s marketing strategies aided the client with the real-time customer data in hand, which enabled the client to better segment the customer needs on various parameters and frame a marketing strategy that appeals to them in the most effective way without any additional spend on advertising and increases ROAS. Quantzig’s marketing strategies also increased store traffic by 21% generating more revenue and profit for the client. 

Broad Perspective on Marketing Strategies in Retail  

Customer-centric approach in marketing is an overarching tactic that focuses on the requirements of the customer and considers their experiences of using the product and the brand. Data-driven advertising and marketing is becoming a reality for the retailers. With properly retrieved data sets and big data analytics solutions retail players are getting a better understanding of their customers resulting in improved customer retention. With data-driven digital marketing tools, business can now afford to independently operate advertising campaigns to optimize their spending and lead to higher return on the advertising spend. 

Key Takeaways 

  • Reduced advertising costs by -36% - focusing on the most profitable customer segment 
  • Increased store traffic by +21%  
  • Increased ROAS by +45%  
  • Enabled unified view of all its marketing strategies in quantifiable terms. 
  • Enabled accurate impact of its marketing strategies using closed loop data. 

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