Category Archives: Retail
Q: What was the driver for this project?
A: The initiative fell out of a procure-to-pay (P2P) initiative. We engaged a consulting firm to help centralize Accounts Payable operations. One required deliverable was an executive P2P dashboard. This dashboard would provide enterprise insights by relying on the enterprise data warehousing and business intelligence platform.
Q: What did the dashboard illustrate?
The dashboard integrated data from many sources to provide a single view of information about all of our suppliers. By visualizing this information in one place, we were able to rapidly gain operational insights. There are approximately 30,000 suppliers in the supplier master who either manufacture, or distribute, or both over 150,000 unique products.
Q: From which sources is Informatica consuming data to power the P2P dashboard?
A: There are 8 sources of data:
3 ERP Systems:
- HBOC STAR
4 Enrichment Sources:
- Dun & Bradstreet – for associating suppliers together from disparate sources.
- GDSN – Global Data Pool for helping to cleanse healthcare products.
- McKesson Pharmacy Spend – spend file from third party pharmaceutical distributor Helps capture detailed pharmacy spend which we procure from this third party.
- Office Depot Spend – spend file from third party office supply distributor. Helps capture detailed pharmacy spend.
- MedAssets – third party group purchasing organization (GPO) who provides detailed contract pricing.
Q: Did you tackle clinical scenarios first?
A: No, well we certainly have many clinical scenarios we want to explore like cost per procedure per patient we knew that we should establish a few quick, operational wins to gain traction and credibility.
Q: Great idea – capturing quick wins is certainly the way we are seeing customers have the most success in these transformative projects. Where did you start?
A: We started with supply chain cost containment; increasing pressures on healthcare organizations to reduce cost made this low hanging fruit the right place to start. There may be as much as 20% waste to be eliminated through strategic and actionable analytics.
Q: What did you discover?
A: Through the P2P dashboard, insights were gained into days to pay on invoices as well as early payment discounts and late payment penalties. With the visualization we quickly saw that we were paying a large amount of late fees. With this awareness, we dug into why the late fees were so high. What was discovered is that, with one large supplier, the original payment terms were net 30 but that in later negotiations terms were changed to 20 days. Late fees were accruing after 20 days. Through this complete view we were able to rapidly hone in on the issue and change operations — avoiding costly late fees.
Q: That’s a great example of straight forward analytics powered by an integrated view of data, thank you. What’s a more complex use case you plan to tackle?
A: Now that we have the systems in place along with data stewardship, we will start to focus on clinical supply chain scenarios like cost per procedure per patient. We have all of the data in one data warehouse to answer questions like – which procedures are costing the most, do procedure costs vary by clinician? By location? By supply? – and what is the outcome of each of these procedures? We always want to take the right and best action for the patient.
We were also able to identify where negotiated payment discounts were not being taken advantage of or where there were opportunities to negotiate discounts.
These insights were revealed through the dashboard and immediate value was realized the first day.
Fueling knowledge with data is helping procurement negotiate the right discounts, i.e. they can seek discounts on the most used supplies vs discounts on supplies rarely used. Think of it this way… you don’t want to get a discount on OJ and if you are buying milk.
Q: Excellent example and metaphor. Let’s talk more about stewardship, you have a data governance organization within IT that is governing supply chain?
A: No, we have a data governance team within supply chain… Supply chain staff that used to be called “content managers” now “data stewards”. They were doing the stewardship work of defining data, its use, its source, its quality before but it wasn’t a formally recognized part of their jobs… now it is. Armed with Informatica Data Director they are managing the quality of supply chain data across four domains including suppliers/vendors, locations, contracts and items. Data from each of these domains resides in our EMR, our ERP applications and in our ambulatory EMR/Practice Management application creating redundancy and manual reconciliation effort.
By adding Master Data Management (MDM) to the architecture, we were able to centralize management of master data about suppliers/vendors, items, contracts and locations, augment this data with enrichment data like that from D&B, reduce redundancy and reduce manual effort.
MDM shares this complete and accurate information with the enterprise data warehouse and we can use it to run analytics against. Having a confident, complete view of master data allows us to trust analytical insights revealed through the P2P dashboard.
Q: What lessons learned would you offer?
A: Having recognized operational value, I’d encourage health systems to focus on data driven supply chain because there are savings opportunities through easier identification of unmanaged spend.
I really enjoyed learning more about this project with valuable, tangible and nearly immediate results. I will keep you posted as the customer moves onto the next phase. If you have comments or questions, leave them here.
As retailers move from looking in the rear view mirror (what happened) to the road ahead (what will happen) they have turned to Big Data and Analytics for answers. While, Big Data holds great promise for retailers, many are skeptical. Retailers are already drinking from the data fire hose, whether its transaction data, recording every product sold to every customer across all channels or research data, covering detailed consumer profiles or web log and social data. The questions retailers are asking; will the investment drive more revenues, increase customer loyalty and create a more rewarding customer experience? Will I gain a deeper insight into customer transactions and interactions across the organization? Can we use existing resources and infrastructure?
The answer is Yes, Big Data presents the opportunity to better analyse everything from customer shopping behaviors at each stage of purchase journey, to inventory planning to delivering relevant and personalized offers. By analyzing how shoppers found your products, how long they spend browsing product pages and which products they added to their basket provides greater insight into what decision process they went through before purchase and helps retailers quickly identify cross sell and up-sell opportunities in real-time. In addition, combining transaction data and what your customers are saying on social channels (ratings, likes, dislikes, what’s trending etc.) can feed into the decisions you make on placing the right product, in the right store at the right price and ultimately deliver very personalize and contextual offers to the customers.
Data Driven Decisions Getting value from Big Data
Turning Big Data into actionable insight is not just about dumping data in to a “Data Lake” and pointing an analytics tool at it and saying job done! Retailers need to take a number of steps to profit from Big Data and Analytics.
- Firstly, you need to gather data from all available sources in batch or real-time, from internal and external, and from an ever increasing number of devices (beacons, mobile devices). Once you have gathered the data, it needs to be connected, validated, cleansed and a governance process put in place before integrating with analytic tools and systems.
- Secondly, put clean and trusted data in the hands of data scientists who can distill the relevant from irrelevant and formulate commercial insights that the business can action and profit from it.
- Lastly, plan and organize for success. IT and business need to align behind the same agenda, regularly reviewing business priorities and adjusting as needed. Maximize existing scare IT resources by leveraging existing technologies, Cloud platforms and forming alliances with 3rd party vendors to fill skills gap. Secure quick wins for your Big Data initiatives; maybe start with integrating historical transaction data with real-time purchase data to make personalized offers at point of sale. Look outside your organization and to other industries like retail banking or telecommunications and learn from their successes and failures.
With the right approach, Big Data will deliver the return on investment for retailers.
In 1991, when the World Wide Web was created, email then had the opportunity to evolve into the mainstream form of communication it is today.
The statistics for modern day email are staggering. Worldwide, there are 2.2 billion email users as of 2012, according to MarketingProfs.
With all these messages flying about, you know there’s going to be some email overload. Google’s Gmail alone has 425 million users worldwide. ESPs know people have too much email to deal with, and there’s a lot of noise out there. More than 75% of the world’s email is spam.
Gmail is one of the applications that recently responded to this problem, and all email marketers need to be aware.
On October 22, Google announced Inbox.
Google’s Inbox takes several steps to bring structure to the abundant world of email with these features:
- Categorizes and bundles emails.
- Highlights important content within the body of the email.
- Allows users to customize messages by adding their own reminders.
This latest update to Gmail is just one small way that the landscape of email marketing and audience preferences is changing all the time.
As we integrate more technology into our daily lives, it only makes sense that we use digital messages as a means of communication more often. What will this mean for email in the future? How will marketers adjust to the new challenges email marketing will present at larger volumes, with audiences wanting more segmentation and personalization?One easy way to stay on top of these and other changes to the e-mail landscape is talking to your peers and experts in the industry. Luckily, an opportunity is coming up — and it’s free.
Make sure you check out the All About eMail Virtual Conference & Expo on November 13. It’s a virtual event, which means you can attend without leaving your desk!
It’s a one-day event with the busy email marketer in mind. Register for free and be sure to join us for our presentation, “Maximizing Email Campaign Performance Through Data Quality.”
Other strategic sessions include email marketing innovations presented by Forrester Research, mobile email, ROI, content tips, email sending frequency, and much more. (See the agenda here.)
This conference is just one indication that email marketing is still relevant, but only if email marketers adjust to changing audience preferences. With humble beginnings in 1971 email has come a long way. Email marketing has the best ROI in the business, and will continue to have value long into the future.
The digital industry is increasingly discussing the topic of Commerce Relevancy. Commerce Relevancy makes information relevant to consumers at the right time and place. Specifically, it ensures sales and marketing offers and materials are personalized at the highest level and consistent across all customer touch points. This post will talk about how much Commerce Relevancy matters and will explain the six building blocks that comprise it.
Commerce Relevancy in Fashion
I am a runner. For motivation, I track the majority of my runs on my iPhone. I use an arm band from a leading sports apparel company to carry my iPhone. I’m a great supporter of this apparel brand in general. I love their style so I shop from them frequently. Sometimes, when I travel the US, I shop in their outlet stores. Primarily, however, I shop on their official web-store using my iPad or mobile phone. Since I am a “fashion victim”, it is not easy for me to remember all the channels, shops and websites I have used to buy this brand’s products.
Why am I telling you all this?
For the past few weeks, I’ve repeatedly received email newsletters from this brand, promoting sporting outfits that don’t match my style or size. (Most of the promotion has been products for women, rather than for men, etc.) As a repeat customer, this lack of promotional accuracy has frustrated me. I have purchased many items from this brand. I’ve even shared their logo on twitter and Facebook. Despite my commitment to the brand, the brand still does not know which products I need or which styles I prefer.
Commerce Relevancy in Automotive
I have had a similar experience with my favorite car manufacturer. My wife and I have purchased three of this brand’s cars in the past. We currently lease one of their cars. When I need maintenance, I only visit this brand’s authorized repair garages. I only use official spare parts. Despite my loyalty to the brand, every time I call their stores, I am asked for my phone number. No one from the brand has ever approached me to test a new car, even though my current lease will soon end.
Once, when my current car was being repaired for several days, I requested permission to test drive a particular model, until my current car was ready. I was interested in this new model as a potential next purchase. I was told “it is not possible to test drive the car you’re interested in during the repair process. You may only use the official car rental service.”
Can Relevant Information Make the Difference?
The chapter of “Commerce Relevancy” started in 2013. The eBook on the “Informed Purchase Journey” mentions that consumers use average of 10.4 sources of information before taking a purchasing decision.
What this means for all companies and business people who sell products and services:
They have to earn every new sale to customer who is demanding more information than ever before.
The Meaning of Commerce Relevancy
In order to enable Commerce Relevancy, companies are now asking themselves how to connect the dots between supplier, location, customer and product information. In this business use cases customer profiles or target group personas get match with product information in sales and marketing. The key challenge his to connect the data but also to provide them to customer facing apps and touch points.
6 Building Blocks of Commerce Relevancy
- Product powered: Inside and outside your organization customer and employees have a consistent view of the products you sell, regardless of the touch point.
- Customer centric: No matter, where or how a client interacts with your company, you are able to generate a single view of the customer with address, interaction, and relation data.
- Relationship driven: The biggest value today and tomorrow lays in “connecting the dots” between different information like the availability of a product, from a supplier or warehouse, to the client who demands it.
- Bi-directional: Serving clients with really tailored marketing is only one way – the other way is the feedback on products and services and how this can be re-used.
- Predictive power: With Commerce Relevancy, companies take simple eCommerce recommendations to the next level. This means predicting the next logical action, based in information. This can empower business users to do the right things, data-driven. This makes the customer spend more, data-driven. Happy to give you examples if you reach out to me @benrund
- Real-time data: Customer always want it now. Changes on product offerings, transactions customer make, service centers they call – a service agent always needs to have the complete view with real time data.
Stay tuned for the next chapter of this blog series: “How companies can achieve commerce relevancy step by step.” It impacts, people, processes and technology.
In his recent article: “The catalog is dead – long live the catalog,” Informatica’s Ben Rund spoke about how printed catalogs are positioned as a piece of the omnichannel puzzle and are a valuable touch point on the connected customer’s informed purchase journey. The overall response was far greater than what we could have hoped for; we would like to thank all those that participated. Seeing how much interest this topic generated, we decided to investigate further, in order to find out which factors can help in making print publishing successful.
5 key Factors for Successful Print Publishing Projects
Today’s digital world impacts every facet of our lives. Deloitte recently reported that approximately 50% of purchases are influenced by our digital environment. Often, companies have no idea how much savings can be generated through the production of printed catalogues that leverage pre-existing data sources. The research at www.pim-roi.com talks of several such examples. After looking back at many successful projects, Michael and his team realized the potential to generate substantial savings when the focus is to
optimize “time to market.” (If, of course, business teams operate asynchronously!)
For this new blog entry, we interviewed Michael Giesen, IT Consultancy and Project Management at Laudert to get his thoughts and opinion on the key factors behind the success of print publishing projects. We asked Michael to share his experience and thoughts on the leading factors in running successful print publishing projects. Furthermore, Michael also provides insight on which steps to prioritize and which pitfalls to avoid at all costs, in order to ensure the best results.
1. Publication Analysis
How are objects in print (like products) structured today? What about individual topics and design of creative pages? How is the placement of tables, headings, prices and images organized nowadays? Are there standards? If so, what can be standardized and how? To get an overall picture, you have to thoroughly examine these points. You must do so for all the content elements involved in the layout, ensuring that, in the future, they can be used for Dynamic Publishing. It is conceivable that individual elements, such as titles or pages used in subject areas, could be excluded and reused in separate projects. Gaining the ability to automate catalog creation potentially requires to compromise in certain areas. We shall discuss this later. In the future, product information will probably be presented with very little need to apply changes, 4 instead of 24 table types, for example. Great, now we are on the right path!
2. Data Source Analysis
Where is the data used in today’s printed material being sourced from? If possible or needed, are there several data sources that require to be combined? How is pricing handled? What about product attributes or the structure of product description tables in the case of an individual item? Is all the marketing content and subsequent variations included as well? What about numerous product images or multiple languages? What about seasonally adjusted texts that pull from external sources?
This case requires a very detailed analysis, leading us to the following question:
What is the role and the value of storing product information using a standardized method in print publishing?
The benefits of utilizing such processes should be clear by now: The more standards are in place, the greater the amount of time you will save and the greater your ability to generate positive ROI. Companies that currently operate with complex systems supporting well-structured data are already ahead in the game. Furthermore, yielding positive results doesn’t necessarily require them to start from scratch and rebuild from the ground up. As a matter of fact, companies that have already invested in database systems (E.g. MSSQL) can leverage their existing infrastructures.
3. Process Analysis
In this section of our analysis, we will be getting right down to the details: What does the production process look like, from the initial layout phase to the final release process? Who is responsible for the “how? Who maintains the linear progression? Who has the responsibilities and release rights? Lastly, where are the bottlenecks? Are there safeguards mechanisms in place? Once all these roles and processes have been put in place and have received the right resources we can advance to the next step of our analysis. You are ready to tackle the next key factor: Implementation.
Here you should be adventurous, creative and open minded, seeing that compromise might be needed. If your existing data sources do not meet the requirements, a solution must be found! A certain technical creative pragmatism may facilitate the short and medium planning (see point 2). You must extract and prepare your data sources for printed medium, such as a catalog, for example. The priint:suite of WERK II has proven itself as a robust all-round solution for Database Publishing and Web2Print. All-inclusive PIM solutions, such as Informatica PIM, already has a standard interface to priint:suite available. Depending on the specific requirements, an important decision must then be made: Is there a need for an InDesign Server? Simply put, it enables the fully automatic production of large-volume objects and offers accurate data preview. While slightly less featured, the use of WERK II PDF renderers offers similar functionalities but at a significantly more affordable price.
Based on the software and interfaces selected, an optimized process which supports your system can be developed and be structured to be fully automated if needed.
For individual groups of goods, templates can be defined, placeholders and page layouts developed. Production can start!
5. Selecting an Implementation Partner
In order to facilitate a smooth transition from day one, the support of a partner to carry out the implementation should be considered from the beginning. Since not only technology, but more importantly practical expertise provides maximum process efficiency, it is recommended that you inquire about a potential partner’s references. Getting insight from existing customers will provide you with feedback about their experience and successes. Any potential partner will be pleased to put you in touch with their existing customers.
What are Your Key Factors for Successful Print Publishing?
I would like to know what your thoughts are on this topic. Has anyone tried PDF renderers other than WERK II, such as Codeware’s XActuell? Furthermore, if there are any other factors you think are important in managing successful print publishing, feel free to mention them in the comments here. I’d be happy to discuss here or on twitter at @nicholasgoupil.
With projected online sales of €47.8 billion for 2014 and an average annual growth rate of 22% since 2010, the e-commerce market is a beam of hope for the crisis-struck Southern European region on its path out of the recession. Goods and services sold online in Southern Europe in 2013 amounted to a total value of €40.8 billion, making up more than 11% of the total online sales in Europe. The region, consists of Spain, Italy, Turkey, Greece, Portugal, Croatia, Cyprus and Malta.
This is all revealed by the latest Southern Europe B2C E-Commerce Report by Ecommerce Europe, the European umbrella organization for 25,000+ companies that sell products and/or services online to consumers. Figures in the Ecommerce Europe reports are based on the Global Online Measurement Standard for E-commerce (GOMSEC).
Here are some facts on ecommerce in Southern Europe, I find worth mention
- 48 million online shoppers: Southern Europe is fertile ground for online retail activities; of 125 million active Internet users, 48 million are buying goods or products online.
- Spain leads the region: With total e-commerce sales of €14.4 billion, Spain is leading the Southern European region, ahead of Italy (€11.2 billion) and Turkey (€8.9 billion).
- Greek e-shoppers spent most in 2013: On average, Southern European online shoppers spent €842 per person in 2013. This amount is significantly less than the EU28 average of €1,500 and the European average of €1,376.
You can download the full Southern Europe B2C E-Commerce Report by Ecommerce Europe here.
Imagine walking through a mall during your weekend shopping binge.
Your arms are full of shopping bags, and you believe you’ve had your fill of purchases for the day. You even have the discipline to walk past the obligatory little bakery stand that haunts every mall with its alluring aroma.
Suddenly you feel a vibration in your pocket and set your bags down to grab it. It’s your mobile phone, and it has a special message for you.
“Julie’s Bakery Special! Buy one cinnamon bun, get one free!”
If the irresistible aroma didn’t lure you toward the baked goods, this amazing deal will.
That is the power of proximity marketing.
Proximity marketing uses Bluetooth or Wi-Fi technology to send commercial messages to nearby shoppers who may be carrying mobile devices. It’s a safe bet that most of those shoppers will own a mobile phone. According to Pew Research, 90% of adults in America have cell phones (58% of which are smartphones).
This method of reaching customers is known as beacon technology.
A device is attached within the shop, store, stand, etc., and sends signals to people as they pass. One of the creative ways I’ve heard this used was by display manufacturer Universal Display in their London locations. They placed beacons on their mannequins. When customers went within proximity to them, they were given information on the mannequin’s fashionable attire via their own mobile devices.
Why does proximity marketing work?
- Customers prefer to be informed shoppers. They want to know where the deals are. They’re already out-and-about, so it’s helpful and engaging to be updated to their surroundings.
- The receiver is more likely to engage with the advertisement they receive. It’s simple to see why, if you imagine this scenario:
What if a shopper is bored waiting in a long line when he or she receives the message? There’s a good chance he or she is idly using a mobile phone for entertainment while waiting in line. This is the perfect time to provide a timely, relevant message that will get a lot of attention.
SMS mobile messaging is a powerful customer communication tool for the same reasons companies now believe in proximity marketing.
The quickest and most efficient way to reach customers is through their phones. Proximity advertising spending will reach $6 billion by 2015, reports MarketingProfs. The time for your business to go mobile is now. Read more about SMS mobile marketing from StrikeIron, an Informatica Company, here.
The Western European B2C ecommerce market is developing extremely well. In fact, the Western European ecommerce market is expected to reach € 204.7 billion in 2014.
Online Sales to Reach €204.7 Billion in 2014
Just like the year before, the Western European region, comprising Belgium, France, Ireland, Luxembourg, the Netherlands and the United Kingdom, was in first position with regard to e-commerce size in 2013, with a European market share of 49%.
The total B2C e-commerce economy of Western Europe amounted €177.7 billion, a 12% growth compared to 2012. Online sales of goods and services are forecast to reach €204.7 billion in 2014, a growth of more than 15% in comparison with 2013. Ecommerce Europe’s research also reveals that 95 million consumers in Western Europe bought goods and services online in 2013.
Average Western European E-shopper Spent €1,867 Online in 2013
On average, Western European e-shoppers spent €1,867 per person online in 2013. This is far above the European average of €1,376 and EU28 average of €1,500. The United Kingdom leads the way with €2,614, making their e-shoppers the biggest online spenders in Europe. Within Western Europe, Ireland, Luxembourg and France follow with €1,643, €1,533 and €1,503, respectively, per online shopper.
For additional information, you can download the full report here.
Ecommerce Europe, the European umbrella organization for 25,000+ companies selling products and/or services online to consumers and collaborating with the regional associations. The total Northern European e-commerce economy of goods and services sold online amounted to €33.2 billion in 2013 and is expected to grow to €36.8 billion in 2014.
Online sales expected to reach €36.8 billion in 2014
The Northern European region, including Sweden, Denmark, Finland and Norway, is now in fourth position with regard to e-commerce size, with a 9.1% European market share. In 2013, the total B2C e-commerce economy of Northern Europe amounted to €33.2 billion, a 13.7% growth compared to the preceding year. Online sales of goods and services are forecast to reach €36.8 billion in 2013, which represents a growth of 10.7% in comparison with last year.
The average consumer spends more than 1700 euro online
If you are intersted in learning more details and figures on growth, marketsize on country level for Norway, Sweden, Finland, Denmark, Estonia, Iceland, Latvia and Lithuania, you can download the full B2C Ecommerce Report for Northern here.
Every two years, the typical company doubles the amount of data they store. However, this Data is inherently “dumb.” Acquiring more of it only seems to compound its lack of intellect.
When revitalizing your business, I won’t ask to look at your data – not even a little bit. Instead, we look at the process of how you use the data. What I want to know is this:
How much of your day-to-day operations are driven by your data?
The Case for Smart Data
I recently learned that 7-Eleven Japan has pushed decision-making down to the store level – in fact, to the level of clerks. Store clerks decide what goes on the shelves in their individual 7-Eleven stores. These clerks push incredible inventory turns. Some 70% of the products on the shelves are new to stores each year. As a result, this chain has been the most profitable Japanese retailer for 30 years running.
Instead of just reading the data and making wild guesses on why something works and why something doesn’t, these clerks acquired the skill of looking at the quantitative and the qualitative and connected dots. Data told them what people are talking about, how it’s related to their product and how much weight it carried. You can achieve this as well. To do so, you must introduce a culture that emphasizes discipline around processes. A disciplined process culture uses:
- A template approach to data with common processes, reuse of components, and a single face presented to customers
- Employees who consistently follow standard procedures
If you cannot develop such company-wide consistency, you will not gain benefits of ERP or CRM systems.
Make data available to the masses. Like at 7-Eleven Japan, don’t centralize the data decision-making process. Instead, push it out to the ranks. By putting these cultures and practices into play, businesses can use data to run smarter.