Increasingly, there is a gap between retailers that are leveraging technology and those that are not. The former are the ones focusing their efforts on becoming a truly omnichannel retailer and using the available tools at their disposal, tools like data analytics, to avoid being left behind.
Now more than ever, data must drive retail decisions. Retail veterans may argue that data has always played an important role in business management. Even before technology automated data collection, retailers carefully tracked metrics such as inventory turnover, average sales, and redemption rate to gauge the effectiveness of their business strategies.
However, there is a difference between data that tells you the effectiveness of a promotion and data that indicates that you should launch one. In increasingly crowded markets and a climate of fierce competition for customer loyalty, retailers need to plan their next steps based on the cold, hard facts.