Understanding how customers shop is key to a successful point of purchase program. Since the customer-retail relationship is always changing, it’s essential to pay attention to the tides. What’s working or not working, and why?
But what elements should be measured, and how is this information obtained? There are a variety of options when it comes to measuring customer engagement and capturing data, and the best ways to do so will depend on the type of information needed.
From there, brands and retailers can use this information to increase their display effectiveness and, ultimately, drive sales.
Brands and retailers that aim to increase customer engagement must first gain an understanding about the current habits of their target audience, the ways in which they interact with products, and even elements unique to each individual consumer.
There are certain elements of the shopping journey to consider when looking to understand customer behavior patterns. This can include tracking pathways taken throughout retail locations as well as measuring dwell times. Dwell time focuses on how long shoppers remain or linger in certain areas of the store.
In addition to tracking popular pathways, data collection can be taken a step further by examining consumers’ sequences of interactions in-store. What variables push them to take an action, followed by another, and how are they related?
In what ways do customers interact with their surroundings in-store? This information not only includes insights into customer preferences but reveals how shoppers interact with displays, products, and interactive elements.
Measuring customer interaction can also shed light on the effects of product placement. This information focuses on which products are receiving the most attention and engagement versus the least.
Leverage customer data to identify opportunities to personalize the retail experience to each shopper individually, whether that be through rewards points, coupons, or product recommendations.
Once brands identify what information they’d like to capture, they can determine the best collection method. Thanks to advanced technology, it’s easier than ever to capture these data. The use of tracking abilities, such as beacons, sensors, cameras, and radio frequency, has become increasingly popular in recent years.
On the other hand, employing more simple technology still has advantages when it comes to monitoring the usage of elements on interactive displays. In addition, so does seeking candid feedback from consumers. Whether old or new, data collection can take many forms. It’s simply a matter of choosing the best fit for the job.
Beacons installed throughout the retail location communicate with customers' smartphones and track their movements within the store.
Beacon Technology is an excellent choice for mapping out the customer journey. This can be implemented using consumer apps, usually through an application tied directly to the retail location.
Foot traffic counting can be easily achieved using in-store displays. These displays are equipped with cameras or sensors that record when shoppers come close.
This allows for the ability to count and keep track of the number of people passing by or nearing the display and provides insights into the overall foot traffic.
While the information collected by this technology can be used similarly to beacon technology to map out the customer journey throughout a shopping location, this technology can provide more data and direct insight when it comes to retail displays.
By collecting actionable data, it can provide retailers, brands, and display companies with insights on how people shop and what they find attractive in a display.
Apart from counting foot traffic, display technology can also involve tracking the eye movement of shoppers. These devices can be used to understand where customers are looking within the store or on specific displays.
Because these devices are often expensive, placement makes the most sense in locations that have a large sample size, such as grocery stores and large retailers.
Radio-Frequency Identification (RFID) technology is particularly helpful when looking to gain information on consumer-product interaction.
Embedding RFID tags in products or utilizing RFID-enabled shelf displays can track which products customers interact with and what that interaction involves.
For instance, is a product picked up from the shelves and returned? Is it frequently being purchased? Are there products that are not moving from the shelf at all? This helps in understanding product popularity as well as successful (and unsuccessful) product placement.
RFID can also be used to enhance personalization. When customers use rewards cards or apps at check-out, the purchase of the product equipped with RFID can be linked to their account. This, in turn, prompts future coupon codes or additional items to be recommended to that customer in the future.
Stats are clear that consumer engagement helps to increase sales, and by monitoring interactions between shoppers and displays, it becomes easier to understand, and thus cater to, customer preferences. Typically, brands and retailers are using this info for future updates on displays.
While it may seem obvious, the value of direct feedback from customers is always beneficial. Using surveys, QR codes, or interactive kiosks to gather opinions from customers about their experiences and preferences is a basic but useful tool when attempting to gain insight into the customer experience as well as to capture data.
What can companies learn from customers with collected data, and how does it help when designing displays or promoting products?
When looking to gauge and comprehend different relationships between shoppers, products, brands, and retailers, research is essential. Whether hoping to gain insight into the customer journey, consumer interactions, or personalized facts and figures, selecting the right collection method is going to allow for the most advantageous start possible.
Once identified and captured, consumer data can act as a path for brands and retailers to follow to increase customer interaction with products, creating stronger connections with shoppers and generating sales in the process.