An exciting development has been the establishment of FPG-Bellwether Indonesia. This partnership is an exclusive arrangement for Indonesia and brings Bellwether’s expertise in real time retail data intelligence. The solution informs multiple business decisions, for example:
- Foot traffic and store locations
- Staff rostering - balancing the wage bill against the need to maximise sales and informing this decision by real time demand
- Customer flows, product locations, and store design
- Staff monitoring for training and performance management
Linked to POS, the data is collected in real time enabling alerts to management to enable intervention when required. The data can reveal numerous opportunities to improve operational performance in the short term, and using trend analysis can inform decisions made in the medium term. With the data being collected there is also a big opportunity to create a data pool to inform retail strategy.
Phil Elliott, co-owner and one of the brains behind the Bellwether solution, provides an example. “By leveraging data gathered from across the store network, we have identified that running ATV ‘average transaction value’ against DPV ‘dollars per visitor’ can unearth gaps in performance. “We can also present the data so retail marketing executives can see visitors to their store networks in the same way they are used to seeing visitors to a website. Just as marketers map out the digital customer journey – we can show the customer journey in the physical world.” Phil elaborates, “There’s a sweet spot mathematically between margin discount, average transaction value, and conversion percentage. The sweet spot, or ‘M3’ as the Bellwether team refer to it, is always the retailer’s target and why marketing, operations and logistics are always trying to balance the impacts of their decisions and actions.
“To hit the sweet spot, teams need to understand the impacts of their decisions. This is where the Bellwether solution can help. It provides an early stage indicator for modelling promotions and operational effectiveness. It gives retail executives an opportunity to plan and respond to real world supply and demand.”
FPG Managing Director, Robert Darroch has been impressed by the early trial of the solution in Indonesia. “From day one, the data from the FPG-Bellwether solution is directly actionable. If you add up all the continuous improvements and strategic changes informed by the data, the impact on the retailer’s top and bottom lines is significant. In the case of Indonesian retailers, the impact can be huge across their networks of hundreds, if not thousands, of stores.”
For more information on Bellwether outside of Indonesia, please contact: Phil Elliott on +64 22 462 8882 or or visit www.askbellwether.com