Success in Canada's grocery retail sector will be defined by the ability of grocers to analyze data and master the rapidly changing marketplace, according to a new report by Quantzig, an analytics and data management provider.
According to Quantzig’s retail analytics experts, “Canadian grocery stores are challenged by the growing data volumes and are forced to make tough choices that can make or break their success.”
Based upon the current Canadian grocery retail scenario and the combined views of its retail data analytics experts, Quantzig says that in 2020 the Canadian grocery retail sector is expected to "manifest itself in a variety of ways based on the following trends that shed light on the role of analytics in retail industry."
The report outlines five imperatives that grocery retailers in Canada should consider as they navigate through the ongoing changes that are likely to remain post-pandemic.
- Focus on assortment optimization and shelf space allocation – The growing use cases of analytics in retail industry have shed light on assortment and shelf space optimization which impacts several business processes. Owing to its widespread impact on other business processes inventory and shelf space allocation play a huge role in helping businesses succeed in the long run.
- Improve your ability to detect and prevent fraud – As fraud prevention and detection gain prominence in the Canadian grocery retail sector, it becomes imperative for Canadian grocery stores to explore the true potential of analytics in retail industry to preserve customer trust and prevent losses.
- Localization and clustering gain prominence – Demand in the grocery retail sector varies by geography, demographics, and the behavioral attributes of customers. As such, it is crucial to customize the offerings and store formats for a wide variety of value proposition elements including assortments, store layout, and pricing.
- Analyze the importance of supply chain analytics in driving outcomes – Since the business benefits of supply chain analytics are widespread, it’s essential for retailers to analyze their use cases and adopt a comprehensive approach to drive maximum value from their investments in analytics.
- Offer personalized product recommendations - With the proliferation of the Canadian grocery retail sector and its wide array of offerings, there is a growing need for leveraging analytics in retail industry to drive product recommendations and personalized experiences.