{"id":29220,"date":"2022-05-04T06:00:00","date_gmt":"2022-05-04T13:00:00","guid":{"rendered":"https:\/\/insidebigdata.com\/?p=29220"},"modified":"2022-05-02T14:40:13","modified_gmt":"2022-05-02T21:40:13","slug":"4-areas-where-grocery-stores-can-use-data-analytics-to-enhance-operations","status":"publish","type":"post","link":"https:\/\/insidebigdata.com\/2022\/05\/04\/4-areas-where-grocery-stores-can-use-data-analytics-to-enhance-operations\/","title":{"rendered":"4 Areas Where Grocery Stores Can Use Data Analytics to Enhance Operations"},"content":{"rendered":"\n
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In this special guest feature, Bagrat Safaryan, Co-Founder and CEO of Local Express<\/a>, takes a close look at four areas where data analytics can have a significant impact for grocers. Local Express is a SaaS vertical for the Food and Beverage (F&B) industry which specializes in providing eCommerce solutions to independent retailers and enterprises seeking digital transformation. Since starting the company in 2017, Bagrat has been on a mission to bring turnkey e-commerce solutions to grocery stores and food retailers across the country using the Local Express platform<\/em><\/p>\n\n\n\n

In recent years, an immense digitization trend has taken hold in the grocery industry. Smaller supermarkets and grocery stores looking to get a piece of the online-market pie have often resorted to pre-made, third-party baking mixes, reducing their overall share of the profit-pastry. The result: 59% of grocers agree their third-party delivery partnerships are unprofitable<\/a>. <\/p>\n\n\n\n

The constricted profitability grocers face when using third-party vendors is due to the loss of their data<\/a>, which impacts their inventory management, marketing, and customer service.<\/p>\n\n\n\n

But thanks to new, easy-to-integrate technologies, if you are a grocer, you can start baking the cake yourself and claim most of it as revenue. The key here is to use the technologies and collect own data, analyze systematic relationships and patterns, and tailor your store’s operations to your and your customers\u2019 needs.<\/p>\n\n\n\n

Let’s take a closer look at four areas where data analytics can have a significant impact for grocers.<\/p>\n\n\n\n

1. Inventory management<\/strong><\/p>\n\n\n\n

The heart of any retail business is its inventory. A well-managed inventory ensures that consumers can access the products they want at any time. However, what sounds simple at first may be more complex in reality. <\/p>\n\n\n\n

In 2021, two-thirds of in-store shoppers<\/a> and 51% of online customers experienced out-of-stock products, which resulted in more than $3 billion loss for supermarkets across the US<\/a>. If, your store stocks too many products, you have to bear the costs of spoilage and overstocked shelves; if you order too few, you risk empty racks and disgruntled customers. <\/p>\n\n\n\n

What makes inventory management so daunting is rapidly fluctuating demand, seasonality, and delays in reordering. The only way to address these issues is using data to gain insight on how to prevent each. With the help of an integrated point-of-sale (POS) system, stores can get and explore the following metrics: <\/p>\n\n\n\n