Category: Retail and CPG case studies

visibility in supply chain

COVID-19 Impact on Ecommerce Retail: Increasing Average Order Value (AOV) by 53% Using a Holistic Demand Forecasting Framework

Ecommerce Retail: Engagement Summary

In the wake of the coronavirus outbreak, an ecommerce retail industry client based out of Germany needed to rapidly redefine its demand planning and demand forecasting framework. We built a data repository and a robust demand forecasting framework for examining data and forecasting demand for different product categories. We also deployed a reporting process for capturing demand data and providing updates on future demand patterns. As a result, the e-commerce company was able to provide an effective response to the health crisis and cater to the dynamic demands of its customers.

ecommerce retail

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About the Client

The client is a leading German ecommerce retail company specialized in the online sale of home improvement items, personal care products, accessories, sports goods, and daily essentials. Founded in 2003, the ecommerce retail company has expanded its operations to five new countries with spin-offs and subsidiary business units spread across Europe.

Business Challenge

Driven by the rise in internet penetration, smartphone usage, shift to digital wallets & online payments, and language diversity on ecommerce platforms, the ecommerce retail industry in Germany has grown substantially and is poised to witness an accelerating growth margin in 2020. Fuelled by the ongoing COVID-19 crisis the ecommerce retail industry is also expected to witness an all-time high demand rate globally. While the rising demand brings in new opportunities for ecommerce companies to improve margins, it also sheds light on a few inherent challenges that the ecommerce industry is trying to address for quite some time. Some of the issues that confront the sector include high-cost pressures, high returns, inadequate workflows, and incompetent demand forecasting frameworks.

Tackling these challenges and generating accurate sales and demand forecasts was crucial for an ecommerce retail industry client based out of Germany. The pandemic outbreak had resulted in a huge surge in demand for certain product categories due to which the client faced several challenges in fulfillment and demand management. This is when the ecommerce company approached us looking to leverage our demand forecasting capabilities to devise a robust demand forecasting framework that could help them accurately forecast sales and demand for different product categories.

Modern demand forecasting modules and advanced analytics can help you generate accurate forecasts. Wonder how? Get in touch with our experts for detailed insights.

Solution Offered

A detailed analysis of the client’s challenges revealed that the existing state-of-the-art techniques deployed by the client were typical univariate methods that generated demand forecasts considering only the historical sales data of different product categories.

However, in the current scenario, the client had access to large quantities of related time-series datasets, and analyzing demand based on current and historic information proved to be useful in generating accurate forecasts in the current setting. The sales and demand forecasting experts at Quantzig adopted a comprehensive three-phased approached that focused on conditioning the forecast of individual time series on past behavior of similar, related time series data sets.

Phase 1: Data Standardization and Incorporation

The initial phase of this demand forecasting engagement revolved around standardizing current and historical product demand datasets in order to incorporate them into a unified data model. This was achieved through the collection and integration of demand and sales data obtained from various internal and external sources as well as the online e-commerce platforms.

Phase 2: Product-Level Demand Forecasting Framework

The second phase of this engagement focused solely on the interpretation of data sets obtained from various sources. To do so, we had to first devise and implement a product-level operational framework that could help solve the challenges faced by the client.

Phase 3: Unified Data Model Implementation

The final phase revolved around incorporating the cross-series data sets into a unified data model that was designed to correlate demand and sales patterns. This was achieved by training a Long Short-Term Memory network (LSTM) that exploits the non-linear demand relationships between various e-commerce product assortment hierarchies.

Insights obtained through demand analysis and forecasting enable businesses to optimize service efficiency, streamline operations, and enhance supply chain transparency. Request a FREE demo for comprehensive platform insights.

Value Delivered

The proposed demand forecasting framework provided granular demand and sales insights that enabled the client to plan their inventories and manage the demand surge without affecting customer relationships. The demand forecasting framework was designed to leverage 40+ statistical techniques for enabling an automated forecast of product orders with machine learning based selection of appropriate techniques based on the changes in data patterns. This enabled the ecommerce retail industry client to better plan their inventories to cater to the demand surge in times of such outlier events like the COVID-19 pandemic.

The demand forecasting solutions also empowered the e-commerce retailer to:

  • Forecast and communicate expected orders for relevant products including essentials, disposables, and personal hygiene products in advance
  • Accurately forecast the demand for each SKU based on the regions and zip codes
  • Deploy holistic demand forecasting modules to analyze and model scenarios and set sales goals by infusing market data and e-commerce trends
  • The devised demand forecasting framework helped the ecommerce retail industry client to increase average order value (AOV) by 52%

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In the competitive ecommerce retail industry, if you want to improve sales, it’s crucial to forecast the demand for products even before you chalk out a plan for improving sales outcomes. Since the accuracy of the demand planning strategy defines survival, every player in the ecommerce retail industry needs a strategic plan that can help them enhance their operations.

At Quantzig, we have been supporting many clients across a range of industries in their COVID-19 response and planning efforts. Based on our experience and interactions with clients from the e-commerce retail sector, we’ve witnessed that businesses are focusing on performing better in the consumer-driven markets due to the sudden surge in demand for essentials and other indispensable products. Hence, predicting demand before they arise can give them both an edge over their contenders and access to crucial resources for tapping into new opportunities. Quantzig’s comprehensive three-pronged approach to demand forecasting framework development can help the ecommerce retail industry tackle outlier events and its repercussions like the demand surge that is currently being witnessed in the German ecommerce retail industry.

planning and optimization

Capacity Planning and Optimization: Improving Profit Margins Amid the COVID-19 Crisis

Engagement Summary

In a recent engagement, Quantzig collaborated with a US-based consumer packaged goods manufacturer to help them address the challenges arising due to the surge in demand for products amidst the crisis. A detailed analysis revealed that the client lacked a systematic capacity planning and optimization framework due to which they were facing several supply chain challenges. In this success story, our supply chain analytics and experts share industry insights on how COVID-19 is weighing down the supply chains across the US and how CPG companies can improve their capacity planning and optimization strategies by leveraging supply chain analytics.

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About the Client

The client is a well-known US-based CPG industry player with business operations across North America. This CPG industry giant is well-known for catering to a huge customer base and was recognized as one of the best CPG companies for the variety of goods they offer and their ability to address customer issues.

Business Challenge

With the outbreak of COVID-19, the world witnessed a major shift in customer buying patterns and a sudden surge in demand for daily utilities and healthcare products. This outbreak has already caused a plethora of changes in customer shopping behavior and market needs. Due to their inefficient capacity planning and optimization strategies, the client failed to fulfill the increasing demands for particular product segments. Meanwhile, the company was also looking to gauge the duration of these latest buying trends.

With the surge in demand for product segments like packaged goods items, edible items with a longer shelf life, the US CPG giant was looking forward to improving its demand forecasting ability while enhancing its capacity planning and optimization strategy. Considering the complexities involved in achieving their desired results, the client approached Quantzig to leverage its supply chain analytics and demand capacity planning solutions.

To know more about how our supply chain analytics solution helped the consumer packaged goods manufacturer understand the buying trends.

The challenges faced by the US-based CPG industry player included:

  • Demand forecasting
  • Capacity planning
  • Demand fulfillment

Key Deliverables

  • Reduce inventory stockouts
  • Improve inventory forecast accuracy
  • Predict consumer buying patterns and meet production requirements
planning and optimization

Solution Offered

By collaborating with Quantzig, this US-based CPG industry giant embarked on a planning and optimization transformation journey that mainly focused on catering to the needs of its customers to improve profit rates by leveraging supply chain analytics and demand forecasting solutions powered by data. To help the client address the challenges they supply chain analytics team at Quantzig adopted a comprehensive approach that led to complete transformation in their capacity planning and optimization structure while lowering the production costs.

The primary stage of this supply chain analytics and demand forecasting engagement revolved around statistical analysis that leveraged predictive modeling to forecast demand at a large scale. The use of planning and optimization models further enabled the client to deploy a robust strategy for addressing the challenges of production and shifting customer buying patterns. This resulted in a reduced production cost while meeting demands and lowering supply chain shocks.

Business Outcome

Our supply chain analytics and demand forecasting solutions helped the CPG industry player to increase demand forecast accuracy and enhance capacity planning. The benefits also include:

  • Reduced supply chain shock levels
  • Reduced production costs
  • Robust inventory replenishment plan
  • Enhanced supply chain performance

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supply chain operations analytics

Tackling Coronavirus’s Impact on The Canadian Grocery Retail Supply Chain with the Help of Supply Chain Operations Analytics – A Case Study

Engagement Summary

In a recent engagement, Quantzig collaborated with a Canadian supermarket to help them address the issues around supply chain disruptions due to the COVID-19 outbreak. In this success story, our supply chain analytics experts share insights on how COVID-19 is weighing on the global economy and how Canadian grocery stores can become more resilient by leveraging supply chain analytics to improve supply chain operations and diversify supply chains.

About the Client

The client is a well-known Canadian grocery retailer with a business scale of 10,000+ product categories, 900+ brands, and more than 1 lakh products on offer. Catering to a huge customer base, the client was recognized as one of the best grocery stores in Canada known for its prompt services and customer support initiatives.

Business Challenge

With COVID-19 being declared a global pandemic, the Canadian grocery retailer witnessed a sudden surge in demand for daily utilities and groceries due to which they faced several challenges such as inventory shortages, warehouse discrepancies, and out of stock scenarios.

With the rise in demand, the client was looking at improving its supply chain operations by ensuring the on-shelf availability of essential products. Considering the multiple complexities involved, achieving their ambitious targets seemed to be an uphill task that required a deeper understanding of customer buying patterns and advanced supply chain operations analytics capabilities to undertake correction and realign supply chain operations in the shortest possible time. This is when the Canadian grocery retailer approached Quantzig looking to leverage its supply chain analytics capabilities to drive improvements in supply chain operations.

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The challenges faced by the Canadian grocery retailer included:

  • Disparate, siloed systems for BI, data visualization, and analysis
  • Lack of synchronization between supply chain planning and execution
  • Limitations in supporting supply chain initiatives and platform capabilities
  • Irregular reviews of inventory stock levels, causing frequent stock-outs
  • Lack of flexibility in the supply chain network and distribution footprint, that made it difficult for decision-makers to prioritize between cost-to-serve and customer satisfaction
  • The high lead time associated with the analysis of unstructured supply chain data sets

Supply Chain Operations Analytics Engagement: Key Deliverables

  • Reduce inventory stock-outs and deliver growth
  • Improve inventory forecast accuracy and eliminate wastage
  • Conduct root cause analysis for stock-outs across the nodes
  • Support reconfiguration of the supply network by identifying all feasible network scenarios
  • Reduce cost-to-serve and improve service levels

Supply chain operations analytics helps you act on data-driven insights to reduce cost-to-serve and improve service levels. Contact our analytics experts to learn more about its benefits.

Solution Offered

By collaborating with Quantzig the Canadian supermarket giant embarked on a supply chain operations transformation journey that revolved around catering to the needs of its customers to improve turnover rates using a scalable analytics-driven solution. To help the client address their challenges the supply chain operations analytics experts at Quantzig adopted a comprehensive approach that led to a complete overhaul of the existing supply chain management system and betterment of supply chain operations.

The initial stage of this supply chain operations analytics engagement revolved around statistical analysis that leveraged exploratory techniques and predictive modeling to forecast product demand at a large scale. The use of inventory optimization models further enabled the client to devise a robust strategy for addressing complex supply chain issues with multiple constraints. By performing a detailed analysis of factors impacting inventory stock-outs, our supply chain analytics experts also highlighted slow-moving and low-margin SKUs that were negatively impacting inventory costs. This, in turn, helped the client to rationalize 30% of the SKUs and achieve a 55% reduction in inventory costs.

supply chain operations analytics

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Business Outcome

Our supply chain operations analytics solutions enabled the Canadian grocery retailer to identify an additional opportunity to redeploy 15% of the assets held at the point of sale and achieve savings by reducing CapEx and cost to serve.

The benefits also included:

  • Streamlined supply chains & improved business agility
  • Reduced supply chain shock levels
  • Re-defined stock replenishment plans
  • Improved supply chain operations management & customer service levels

Why choose Quantzig’s supply chain operations analytics solutions?

With deep-rooted expertise in carrying out advanced supply chain analytics engagements and helping leading businesses from across industries, Quantzig today stands out as a premier supply chain analytics solutions provider. By collaborating with its clients, Quantzig develops and delivers innovative business models and analytics-driven insights to address the unique supply chain requirements of businesses.

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Retail Healthcare

Quantzig’s Customer Segmentation Assists a Prominent Pharmaceutical Products Supplier bridge the Price Gaps in the Products Offered

The client: Pharmaceutical products supplier, Size: >34 billion in revenue, Area of engagement: Customer segmentation

The rising skepticism over the ever-escalating prices on pharmaceutical products is compelling organizations to improve their innovation capabilities and increase investment in R&D. As people are gaining more access to healthcare, prominent businesses are planning to manage healthcare funding and tender effective measures to narrow the price gaps between local and international brands. Along with urbanization, the rise of aging population, changing lifestyles, and increasing incidences of chronic diseases will drive the growth of the pharmaceutical products space.

Although the pharmaceutical products space is witnessing a promising growth, several factors may influence the growth of the sector over the next couple of years. These include.

  • Poor scientific productivity: The incidences of chronic diseases is witnessing a manifold where it becomes essential for the pharmaceutical products manufacturer to invest highly in innovations to meet the constant customer demands. With the relatively slow growth of the healthcare space, businesses need to ensure better production capabilities while meeting the quality requirements.
  • Drug approval stagnation: The regulations set forth by the FDA becomes an obstacle for many leading pharmaceutical products manufacturers. So, organizations need to maintain a balance between safety and innovation in the products while entering the market.
  • Rising customer expectations: As the pharmaceutical products space is shifting to a patient-centric environment, the consumers buying preferences are altering and are looking for a fast-relief in curing their illnesses. The relentless demands of the consumers are forcing businesses to produce products in an agile and seamless manner.
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To counter these challenges and effectively meet the growing demands of the customers, organizations are leveraging the need for a customer segmentation solution. Customer segmentation helps businesses divide the customer base into sub-segments to tailor their marketing efforts adequately. Customer segmentation also helps businesses gain a deeper understanding of their customers’ preferences and needs to maximize cross-selling opportunities.

The Business Challenge

The client, a prominent pharmaceutical products supplier, wanted to stay ahead of the competitors and identify new products to meet customer expectations. The client wanted to segment their customers based on the needs, behaviors, and demographics. Moreover, through an effective customer segmentation engagement, the pharmaceutical products supplier wanted to develop value-based segmentation to understand the revenue they generate. The primary concern of the client was to create and communicate targeted marketing messages to resonate with the specific group of customers.

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The Solution Benefits and the Business Impact

Strategies that we recommended based on our analysis to help clients promote sales and business development

The customer segmentation solution offered by Quantzig helped the pharmaceutical products supplier identify ways to improve product and service opportunities and establish a better relationship with the customers. The solution also sought ways for the client to differentiate customers based on their economic value. Moreover, prominent products supplier was able to predict and anticipate the most profitable customers and allocate their capital resources efficiently. The client was able to differentiate their products with that of the competitors’ offerings and improve their performance in the market.

Customer Segmentation Solution Predictive Insights

Beyond the product offerings, gaining adequate insights into the customer preferences allow organizations to offer better customer support and professional services by developing more focused marketing messages to best fit each customer segments. Moreover, the pharmaceutical products supplier can identify the most lucrative opportunities and ultimately increase revenues on investment.

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Related posts:

product cannibalization

Detection and Analysis of Factors Impacting Product Cannibalization Using a Time Series Cannibalization Modeling Approach – Quantzig’s New Success Story

Engagement Summary

Working with a major FMCG retailer based out of the United States, Quantzig was able to rapidly deliver a product cannibalization measurement framework for analyzing the promotions and discounting strategies that impact the sales of existing products.

The cannibalization measurement framework not just empowered them to gauge the promotions and the ROI generated from various product categories but offered a unified view of its impact, thereby offering deeper insights into customer buying patterns and cross product cannibalization. The new framework also improved data capture and offered significant benefits by driving sales and aiding product launch benchmarking.

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The FMCG industry is a competitive one and in the modern retail environment the effective exploitation of data is turning out to be crucial for the success of a product launch. Although FMCG retailers have pioneered the concept of capturing and analyzing data, information from several key areas within the FMCG industry remain unanalyzed as it extends beyond the control and capabilities of FMCG retailers. Another factor that determines success within the FMCG space revolves around analyzing promotions and discounts. As factors such as social media and digitization alter the way consumers spend, FMCG retailers are now looking for ways to drive outcomes by analyzing the impact of their marketing efforts using advanced statistical techniques.

However, the practices known to FMCG retailers lag behind when it comes to identifying information sources that can bring in a huge impact. Also, it has been observed that the next generation of FMCG retailers will be those who can leverage FMCG analytics to bring about a huge impact on their overall business operations.

The Business Challenge

The client – a leading FMCG retailer based out of the United States was facing a sharp decline in sales due to product cannibalization. A detailed analysis of their challenges revealed that they were not categorizing their products accurately neither did they have a robust product cannibalization framework in place. By leveraging FMCG analytics to gauge demand transference within product categories, the FMCG retailer was able to factor in sales cannibalization to reduce out of stock issues and drive ROI from different product portfolios.

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Solution Offered

Quantzig adopted a comprehensive three-pronged approach that revolved around devising a robust product cannibalization measurement framework. In the initial stage of this engagement, our FMCG analytics experts focused on breaking down their challenges into three different units each connected with a very thin coordination layer. This framework empowered the client to gauge demand transference and its impact on the overall ROI. The product cannibalization framework also focused on tweaking the sales execution levers such as pricing, promotion planning, and distribution to maximize the ROI generated across the portfolio.

The use of an advanced time series cannibalization modeling approach enabled the FMCG retailer to dive deep into their historic sales data sets to identify recurring patterns and analyze customer buying behavior across categories. Quantzig’s proprietary time-series product cannibalization modeling solutions also helped them gauge bounce-back rates to more accurately model the implications of product launches on the overall marketing efforts.

Value Delivered

The devised product cannibalization framework empowered the FMCG retailer to:

  • Devise a roadmap to gauge demand transference within product portfolios
  • Estimate sales impact results with bounce-back rates
  • Design data-driven pricing and promotional strategies to drive sales
  • Leverage time-series cannibalization modeling to gauge the real dollar impact of new product launches on the existing products
  • Accurately model the short- and long-term implications of new product launches on the generated ROI

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market basket analysis

Specialty Foods Retailer Achieves 3.5x Increase in ROAS with The Help of Market Basket Analysis

Market Basket Analysis Engagement Summary

We worked with a leading European specialty foods retailer, to build a market basket analysis solution using their existing BI platform. With the help of market basket analysis, the specialty foods retailer was able to increase the effectiveness of their marketing campaigns and optimize the layout of their stores to increase sales & profitability across its retail outlets.


How Can Retailers Benefit from Market Basket Analysis?


logistics management

Logistics Management Solutions Helped a German Toy Retailer to Reduce Logistics Costs by 23% | Success Story

“Quantzig’s analytical rigor and data science expertise helped us devise a robust logistics management framework to optimize spend and improve key supply chain processes.”

About the Client

The client is a leading German multinational toy, games, and sporting goods manufacturer and retailer who is in business for over two decades. While the client’s central manufacturing unit is in Germany, it’s sales and marketing operations were spread across the globe, making it challenging to track and monitor the logistics flow.

The Business Challenge

With the retail sector booming globally, automation has become an important aspect of efficient warehouse and logistics management. The fast-growing retail scenario, growing requirement for newer technologies, and the lack of advanced logistics management capabilities prevented valuable synergy effects. Consequently, the client’s logistics operations and logistics management spend increased significantly. This proved to be a major challenge that hindered the client’s logistics and warehouse operations and they were looking at leveraging advanced analytics to decrease costs and improve their approach to logistics management.

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The client wanted to leverage Quantzig’s cutting-edge logistics analytics solutions and proven methodologies to design and implement the most cost-efficient logistics management system while meeting all the SLA’s. The company’s goal was to implement an advanced logistics management framework that would help them develop a more variable business model while also providing increased visibility across cargo flows and warehouse operations.

The devised framework helped address most of the client’s challenges which spanned three core areas including:

  • A decentralized logistics management system
  • Inconsistent processes and operational standards
  • High logistics operating spend (LOS) and logistics management spend (LMS)

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Solution Offered and Value Delivered

To help the client tackle their logistics challenges we integrated an advanced analytics-driven framework to centrally manage all their logistics and warehouse operations using interactive dashboards. Our experts also proposed a set of correlated, analytics-driven services from our comprehensive portfolio of supply chain analytics solutions. Backed with a robust logistics management framework the client was empowered to tackle their primary challenge – logistics management.

Quantzig used its three-pronged data-driven supply chain analytics approach, which is a combination of logistics management, warehouse optimization, and supply chain spend optimization to help the client tackle their challenges.

Logistics Management

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Phase 1

In the first phase of the engagement, our analytics experts conducted a rigorous internal analysis of the client’s supply chain processes. The analysis helped uncover vulnerabilities in visibility across the inbound supply chain costs as well as logistics performances and service quality.

Phase 2

The second phase focused on creating a lean, agile and demand-driven supply chain. Our logistics management services were tailored to meet the client’s logistics management challenges.

Phase 3

The final phase of this engagement led to the automation of the client’s logistics and warehouse processes, enabling them to optimize logistics spend and drive efficiency across the value chain.

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Business Outcome

Quantzig’s analytics solutions enabled the client to tackle challenges around logistics management by implementing corrective actions and offering a holistic view of their supply chain operations. The logistics management framework enabled the client to drive positive business outcomes by skillfully tackling challenges in the current logistics management processes. Moreover, our services exceeded the client’s expectations and resulted in a 23% reduction in logistics and supply chain costs.

The solutions offered also enabled the client to:

  • Optimize inbound and outbound logistics flows
  • Centralize data management and reporting
Clickstream Analytics

How an E-Commerce Business Increased Their Clickthrough Rate By 120% – A Clickstream Analytics Case Study by Quantzig

“By leveraging Quantzig’s clickstream analytics solutions, we incorporated the intent of our visitors into our website experience to achieve a 5x increase in conversion rates.”

About the Client

The client- is a leading online retail firm based out of the Netherlands that strives to provide the highest quality goods and services to its customers through its online channels. With a wide array of offerings that include electronics, clothing, and fashion accessories, they have been successful in maintaining a diverse customer base.

Business Challenge

With the e-commerce sector growing rapidly it is often the small details that define business success while providing a winning edge over your peers. Leveraging advanced data-extraction and web crawling techniques can help you track and analyze important metrics related to your website’s performance. Quantzig’s web analytics solutions can help you scrap through the product lines and key offerings of your customers to analyze their features, benefits, and key offerings.

Request a free brochure of our analytics solutions to gain comprehensive insights into the role of data mining and cognitive technologies in improving online shopping experiences.

At the start of their personalization journey, the company primarily focused on capturing the details of its website visitors to offer incentives based on the referral source. Such campaigns were mainly driven by rule-based segments and simple, yet effective pop-up messages. After testing the power of personalization and achieving several quick wins, they approached Quantzig as they were looking at leveraging it’s clickstream analytics capabilities for offering more individualized and intent-driven shopping experiences for visitors across its website. 

Solution Offered and Value Delivered

Quantzig’s dedicated ‘Analytics Centre of Excellence’ with a team of 20+ data scientists and clickstream analytics experts designed an innovative three-pronged approach to tackle the challenges faced by the retailer. The clickstream analytics solutions leveraged sophisticated mathematical models and AI-driven algorithmic decision making to analyze customer journeys and segment the end-users based on their usage patterns.

Harnessing the power of clickstream analytics can help you turn insights into actions to improve customer satisfaction and engagement rates. Contact our analytics experts for detailed insights.

The solutions and recommendations offered by our clickstream analytics experts empowered the e-commerce client to identify key web analytics metrics and improve their online presence. Clickstream analytics coupled with advanced data mining techniques helped the client to gain valuable insights into their customer’s visiting behavior and optimize the use of available data. This, in turn, brought major changes in their business structure through a 120% surge in their clickthrough rates.

Phase 1

The first phase of this clickstream analytics engagement revolved around the use of advanced data mining algorithms and machine learning techniques to enrich raw data and refine it for further analysis.

Phase 2

The second phase of the clickstream analytics engagement focused on clustering clickstream data to draw valuable insights and make significant adjustments to their online marketing strategies. 

Phase 3

The final phase of this clickstream analytics engagement revolved around analyzing customer journeys to extract data-driven personas for the most frequent digital journeys of their customers.

Clickstream Analytics Engagement Outcome


retail analytics services

Luxury Retail Brand Improves Sales by 15% Through Personalized Campaigns – Quantzig’s Retail Analytics Services Engagement

“By leveraging Quantzig’s retail analytics services, we have been able to build targeted campaigns and achieve a double-digit lift in sales and foot traffic.”

About the Client

The client is a leading American luxury fashion brand, manufacturing clothing, fragrance, and fashion accessories. Apart from selling through concessions in third-party stores, the company has several business units and franchisees spread all over the globe.

The Business Challenge

Retail companies today face several long-term challenges that must be addressed skillfully to avoid adverse outcomes. As IT technologies have matured, tremendous investments have been made by retailers to solve both the tactical and strategic problems surrounding business operations. But it’s crucial to note that without the basic skills and analytics tools one cannot get to the root of the challenge and analyze factors impacting growth.

Request a free brochure of our analytics solutions to gain comprehensive insights into our portfolio of retail analytics services and learn how customized analytics solutions can help you gain a front-liner advantage.

The client- a leading luxury retailer was looking at analyzing the needs of their customers to design more personalized and relevant promotions and marketing campaigns by incorporating real-world, behavioral insights. Additionally, the retailer identified that its localized store assortments were key drivers of incremental foot traffic and sales. But, the huge volumes of unstructured customer, product, and transaction data sets that were generated from various channels proved to be a major challenge due to which each business unit was pushed to work in silos to address their priorities. Also, its crucial to note that owing to the siloed business structure, the campaigns often resulted in low redemption rates and failed to drive adequated foot traffic to their retail outlets.

The client needed to deploy a full suite of retail analytics services to skillfully address the challenges and drive positive business outcomes. Considering the fragmented nature of the retail landscape, the client found it difficult to determine where to start and which retail analytics services to leverage to drive better outcomes. This is when they chose to collaborate with Quantzig and leverage its retail analytics services to analyze the impact of their promotional campaigns and gain insights into customer preferences at a more granular level.

The challenges faced by the luxury retail brand included:

  • Complex and unstructured customer data sets 
  • Uneven and inconsistent data in multiple formats
  • No standard approach to data normalization
  • Lack of effective territory alignment


Out of the millions of players in the American retail industry, a small fraction of them have been successful in turning data to insights. Are you included? If not, get in touch with our analytics experts and learn how we can help you get there through our customized retail analytics services.

Solutions Offered and Value Delivered

Quantzig’s dedicated ‘Analytics Centre of Excellence’ with a team of 20+ data scientists, domain experts, and attribution modelling experts designed an innovative three-pronged approach to tackle the challenges faced by the retailer. The retail analytics services leverage sophisticated mathematical models and AI-driven algorithmic decision making to analyze customer data and build personalized campaigns.

To help the client gain a 360-degree customer view, we adopted a comprehensive three-pronged approach.

Phase 1

The first phase of this engagement revolved around leveraging our retail analytics services that use dynamic machine-learning algorithms to understand purchase patterns by different stores and customer types to drive localized product assortment.

 Phase 2

The retail analytics services offered in the second phase of this engagement focused on analyzing the redemption patterns to refine the targeting criteria and drive campaign effectiveness.

Phase 3

The retail analytics services offered in the final phase of the engagement revolved around the use of statistical techniques and data visualization to help the client identify and prioritize the drivers of incremental sales.

The retail analytics services offered also empowered the client to simulate various scenarios and gauge incremental sales by performing a deep dive analysis of customer data sets. The use of regression techniques also empowered them to extract key information and insights from existing datasets.

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