Shopper Stop

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Category: Business and Industry

Date Submitted: 09/26/2012 03:42 AM

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Shoppers Stop: BI for micro-segmentation, expansion

The portfolio containing a variety of retail formats and ever expanding product basket at each store had made expanding into new geographies a challenging task for Shoppers Stop.

The management also felt the need to have a holistic view of the customer across the retail formats (department stores, hypermarkets, bookstores, specialty stores, and airport retailing) to analyze the customer-behavior and thereby improve wallet-share.

Micro-segmentation of customers was another requirement as the retailer wanted to reach to its customers with specialized messages, thus making an integrated BI platform the key business requirement.

Shoppers Stop also needed BI to carry out market basket analysis and recency, frequency, and the monetary value of each customer to review effectiveness of its merchandising and associations between products.

BI was seen as critical to help the organization with demand forecast to optimize on fast/slow movers in the same store and across the chain to reduce markdowns and fill rates (a measure of shipping performance expressed as a percentage of the total order).

Solution implemented:

Data warehouse appliance: Netezza (IBM)

Business Data model: RDM (Retail Data Model) from Claraview (Teradata)

ETL Tool: ODI (Oracle Data Integrator)

Business Intelligence and Analytics: SAS

Data Visualization: Tableau

BI system at Shoppers Stop covers:

* Analytics

* Dashboards

* Decision support systems

* Online analytical processing

* Querying and reporting

Used by:

* Top management

* Finance and accounts

* Customer support

* Sales

* Operations

* Merchandising

Benefits delivered by BI:

With BI, Shoppers Stop is able to target micro-segments to ensure incremental business through promotions and messages sent to its customers. This has also helped the retailer to reduce inventory and still offer the customer what he wants by optimizing the...