How to Maximise the Benefits of POS Data with Marketing Analytics
Your POS solution has so much more potential as it can also be used to gather marketing analytics through a marketing campaign tracking software add-on.
How to Maximise the Benefits of POS Data Using Marketing Analytics Software
How you view your POS in your business equates to how much you want your business to grow. After you have decided on acquiring a POS solution that suits your business needs, you’ve already recognised how technology now plays an essential role in any establishment’s transactions. Times have certainly moved on from heavy cash registers whose only function was limited to storing cash. Your POS has more features than that. After all, a POS solution needs to be able to stretch its legs and become the center of your business’ retail tasks. In fact, you will need more than just the basic functions from your POS if you want to get the most out of your investment, or better yet, to increase your profits by using it.
For every transaction that happens in your business, data gathered by your POS add plenty of information that can help boost your profits by simply tracking your customers’ behaviour as well as by tracking your marketing campaigns. That is how much potential and influence your POS has. Are you able to capture all this data? And if so, do you know what to do with it?
Your POS And Your Data
Your POS solution may not be the heart of your business, but it is definitely one of your most vital source of collecting data from your customers. They may be your tools in efficiently handling payment and sales, but they are also the basis of creating effective business decisions. There are several ways that you can collect data from your customers, namely:
1. Passive data collection.
Your customers do not need to do any particular action. Your POS or your website will simply keep a record of their transactions, such as what items were purchased, the time and the location of the sale, etc. These constitute forming historical data and can form patterns or preferences in their buying behaviour.
2. Active data collection.
Your customers perform an action that surveys using any forms that require them to register their information, are some examples. While you may be asking your customers for their information, it is best to avoid asking for too much, as they may interpret it as a form of intrusion. It is more of a risk on your part and it may turn your customers away.
Your POS data directly affects how you handle your business’ inventory system. If you know what your customers prefer to purchase from your establishment, then you can plan on what to sell them. Run your business more efficiently by knowing which of your products and services are popular (or not popular), thereby being able to maintain an adequate, profitable inventory.
Marketing in A Holistic View
Integrating your POS with a marketing campaign tracking software will offer a deeper, more detailed analysis of all the data you’ve collected. Keep in mind that the application of these analytics are holistic: marketing with the big picture in mind. These are not just reports on sales trends but are an overall breakdown which forms your business strategies. Marketing analytics can look through all your marketing channels; not just single, individual marketing efforts. With ROI as the main target, it answers the big question: which of your marketing programs are actually performing?
The Value of Insights
Here are a few examples of insights that you can derive from POS data integration:
- Boost the effectiveness of your promotions;
- Improve your on-shelf availability, as well as your product selections;
- Enhance your forecasting capabilities to determine supply and demand;
- Optimise your pricing strategies;
- Bolster relationships with your retail buyers; and
- Upgrade lead management for more productive tie-in to sales.
Aside from these, you will also want your analytics to incorporate the benefits of the following to guide how your marketing campaign will fare:
- Keeping track of past transactions – What worked last time? How many leads were generated from your previous marketing efforts?
- Evaluate your current initiatives – Which of your current marketing channels are best preferred by your customers?
- Formulating intelligent predictions – How can you influence future marketing campaigns with predictions that are based on your POS data? What steps can we take to ensure customer engagement and loyalty?
Assess your marketing efforts from the past, present, and into the future and see if you can formulate a roadmap. However, these insights will have no impact if no appropriate actions are taken to implement them. Marketing programs, by nature, are on a constant cycle of testing and improvements. Here are some specific steps that can help you get started in creating an action plan:
- Attain customer insight.
- Optimize your processes.
- Fine-tune your strategies.
Strengthen or eliminate weak channels.