We've touted the benefits of having a retail data movement system in place to keep your retail business running smoothly. However, there are still some ways a business can fail if you don't use the data you have properly.
1. Lacking Clearly Defined Goals
If you have point-of-sale data, performance data, inventory data, and employee data but lack objectives, then the information is useless. Collecting data requires a purpose. Without the purpose, there's no direction to applying your retail store's data to future success. Be sure that you have a reason behind the reports you run and information you collect. Some examples of this could be:- Knowing the peak hours for sales can help store managers organize staffing, best times for inventory checks, and best days for promotions.
- Having store performance data allows you to set sales goals, allocate resources more efficiently, and help store managers with new initiatives if their store is underperforming.
- Inventory data, along with sales data, can give you a better picture of how you need to be stocking your stores to reach your sales potential.
2. Data Owners Who Safeguard Information
Depending on their role and responsibilities, some retailers may choose to keep information to themselves, especially if it reflects poorly on them. To gain the benefits of a data movement system, you need to be able to access all the information it generates. Have a checks and balances system in place for your administrators, analysts, and program executives.
3. Collecting Data Without Using It
Just as collecting data requires a clear objective and purpose, failing to use the data to enact positive change will also result in failure. Just because you install a data movement system doesn't mean there's nothing left to do. Once you have it, you need to analyze the data and use it to create valuable information for your retail locations and team members, and then apply it to the goals and objectives you have set.
4. Data Isn't Just For Analysts - Empower Your Staff
For information to make an impact on your retail business, everyone needs to be knowledgeable about the benefits of using data to inform decisions. Incorporating retail store data mining into employee training and staff meetings put everyone on the same page. Once your team learns how to make sense of the data, you have every member of your business working to reach a common business goal.
5. Data Should Inform Both Internal And External Actions
Using the data you collect to improve business practices is an excellent start, but it shouldn't stop there. The goal of your company is to serve your customers and to offer them the best possible products and services. The data that you collect from your point-of-sale systems, store servers, and employees can all be used to help you create a greater customer experience.
