Planograms: Planning and implementation
Planograms aim to optimise article availability and thus specifically stimulate sales. The term planogram refers to two aspects: on one hand the actual merchandising, i.e. which articles are presented on the sales floor and how, and on the other hand, the detailed quantities for individual colors and sizes in order to meet customers’ demands in the best possible way.
Ideally, merchandising and planogram go hand in hand: customers are inspired by the form of presentation and then, their desired product is available in the matching size. The reality, however, most often paints a different picture.
Planogram – Merchandising
Planogram – Quantities and Priorities
Visually appealing and available in relevant sizes
Breaking this down, there are two questions that retailers face: 1. How to define a planogram for my stores with a suitable size distribution? and 2. How can we implement an efficient refill process such that the plan is properly executed?
With AI (Artificial Intelligence) and RFID-based processes, Detego InStore helps to answer both questions. Since the manual maintenance of the planogram per store can be enormously time-consuming, we rely on machine learning procedures to define a precisely optimised size distribution for all articles across the store. Not only does this save an enormous amount of planning time, but also addresses the ongoing dynamics in individual stores. The self-learning system adapts to possibly changing conditions and continuously optimises the plan.
During the operational process in the store, Detego InStore also supports the store personnel at several occasions: The software offers two parameters that provide information about article availability at any time and therefore represent important KPIs:
- On-floor availability: The percentage of all available articles that are currently displayed on the sales floor
- Planogram compliance: Provides information on how well the planogram with its individual size distribution is implemented on the sales floor
If one of the two parameters fall below certain threshold values, store staff needs to action: In addition to classic ERP systems, Detego InStore offers a finer level of granularity in the stores, by telling store staff that certain articles are available in the backroom but not on the salesfloor and therefore need to be refilled to comply with the predefined planogram. Retailers benefit from a complete process for the planning and implementation. Another advantage: Refill advices in the app are sorted such that the search in the back room is made as efficient as possible by minimising walking routes.
Shelf space is used for top sellers and is not wasted on sizes that are rarely or never bought. With its self-learning components, Detego InStore makes a suitable proposal for all sizes and facilitates implementation in daily processes – including relevant KPIs for measuring performance. And if a certain size is not available in one store, Detego InStore offers an exact inventory view of surrounding stores – ready for click & collect.
Benefits for retailers:
- Individually optimised planogram per store
- Efficient use of shelf space according to bestsellers per store
- Guided processes: from planning to refilling
- KPIs to provide insights on operational excellence per store – in real-time
Benefits for consumers:
- High on-floor availability for the locally popular sizes
- Positive customer journey
- Overall increased article availability through exact inventory data on the entire store network – including reservation options
“By optimising the sizing profile of individual items for each store and greatly simplifying the in-store refilling process, we provide retailers with tools that make it easier for them to plan and implement optimum product presentation and thereby help them to boost their sales.”
Dr. Michael Goller – CTO Detego
All store assistants are busy at the moment and another customer enters the store. She has only one question: “Is the skirt in the shop window also available in XS?”– It’s not going to take long, however, nobody is available to assist. She briefly looks around on the sales floor…finds nothing and therefore leaves the store.
Increase service quality in the store with Artificial Intelligence
With digital sales assistants, fashion retailers no longer have to keep consumers waiting but offer them a convenient service. The chatbot serves consumers via smartphone by answering initial questions such as: Is the article still available in my size? Where can I find it? How expensive is it? What accessories go with it? If an article is out of stock, Detega makes suggestions, e.g. to have the desired article shipped from another store to the customer´s preferred store or even directly to her home.
Recommendations for more consumer engagement
If a store assistant recommends additional articles to a customer, it could easily backfire as unwanted assistance can be considered intrusive and the customer might avoid visiting the store in future. However, if a chatbot recommends an article that the customer clearly perceives as a possible additional purchase, he/she will have no problem considering the recommendation or rejecting it by simply swiping it away and look at other articles that he/she likes better. Chatbots enable a non-binding yet personalised dialogue – just as customers are familiar with online shopping.
Detega Video – Initial dialouge before sales personnel takes over
The use of digital store assistants. Benefits for retailers.
- starts a dialogue with the consumer via smartphone as desired
- notifies store personnel to bring certain articles to consumers
- pushes purchases through „live“ discounts
- brings online shopping experience into the store
- activates cross-selling potential by letting customers browse through the entire product range
- recommends articles that are actually available in the store
- supports as well as unburdens store personnel
- deepens the brand experience
- compiles data on customer clusters and their preferred article combinations
- continues to interact with customers after they leave the store to inform them about special offers, etc.
- offers after-sales services to customers such as reservations in the store
The use of digital store assistants. Benefits for customers.
- helps with the decision-making process using information
- provides useful product recommendations such as: popular items, bestsellers, reduced articles and product variants
- accurate product recommendations due to Artificial Intelligence
- offers self-service via customers‘ smartphone
- offers online shopping experience in-store
- answers immediately – customers are not kept waiting
- gives information in real-time
- notifies the store personnel to bring desired articles directly to the customer
- allows customers to browse through the full product range
- guarantees an unforgettable shopping experience
- passes on customers to sales personnel when required
„At the Point-of-Sale, the chatbot serves digitally-oriented target groups via their smartphones and passes them on to the sales personnel for individual service whenever the sales process requires it.“
Dr. Michael Goller – CTO Detego
Personalised offers characterise the trends in 2018
Configuring your own sports shoes, designing outfits according to your ideas, receiving individual offers based on your personal shopping profile – in 2018, the signs in fashion retail point to personalisation. In e-commerce, customers leave their preferences and enjoy the benefits of personalised offers and experiences. With new technologies, brick-and-mortar retailers are now also in a position to serve customers according to their preferences: Chatbots, Internet-of-Things (IoT), open IT platforms and augmented reality will be increasingly used in the stores in 2018 and beyond.
Trend #1 Personalisation
Consumers demand that brands fulfil their needs and even more: They got used to brands being able to predict and provide “personal” offers and services. According to the Boston Consulting Group, brands that create personalised experiences by integrating advanced digital technologies and proprietary data for customers are seeing revenue increase by 6 to 10%—two to three times faster than those that don’t.1 This is a very good reason for retailers to follow the personalisation trend. The increasing digital engagement of consumers facilitates the compilation of information on customers, their behaviour, tastes and preferences. The next important step for retailers will be to gain a “real-time view” of the consumer. The desire for personalisation encompasses both the instore and online experience and loses its potential if relevant customer data isn’t available in real-time throughout the retail organisation – including all channel partners. The fulfilment of this desire will drive the use of in-store technologies, IoT, as well as AI-based systems in retail. These technologies will enable retailers to achieve optimum level of personalisation. Consumers welcome personalisation efforts if their benefits are transparent and relevant and will reward retailers, both in terms of their sales behaviour but also by spreading the word.
Trend #2 Chatbots
Artificial Intelligence (AI) is continuing as a strong trend that is now materializing in very specific applications for retailers and customers. Interacting with customers and offering personalized services will bring AI powered chatbots onto the sales floor and add value through various features. Chatbots will make consumer engagement in brick-and-mortar stores possible at a much wider scale than what was achieved before. Answering as much as possible for shoppers through AI, chatbots support the sales personnel and bridge waiting times for customers until there´s a sales person available for individual service. Millennials might even prefer the interaction with the chatbot to being drawn into a more binding conversation with store associates. The customer will be able to interact with the digital sales assistant at any time via their smartphone and control the dialogue with the chatbot. These chatbots will bring a form of intelligence into the store that is well-known in online retailing, with one of them being filtered recommendations: e.g. popular articles, bestsellers, articles on sale or even product variants. Artificial intelligence, however, will not be limited to the chatbot itself. What will make it even more exciting is when chatbots communicate with other systems in the background, e.g. to check the actual article availability in real-time and compile data about customer cluster and their preferred article combinations. As a result, recommendations will become personal and meaningful.
Trend #3 Internet-of-Things (IoT)
IoT will continue to be one of the biggest topics for stores in 2018 and will increasingly provide tangible results for retailers and customers. Devices that communicate with each other in the store bring a number of advantages and insights. Gained data on popular items, product combinations, purchasing preferences, ‘tried-on- but- not- bought’ articles as well as article movements in the store can be intelligently used and transformed into data-driven recommendations for customers. IoT will also play a key role in driving consumer engagement in the store. The consumers’ new self-perception is taken into account through IoT technologies: enabling customers to become the main actor, brand ambassador, partner as well as creator of the future when shopping. Consumers’ request for more personalised offers will also be supported by the use of IoT in retail.
Trend #4 Augmented Reality
To engage customers emotionally and to enrich their experience of the brand, retailers will increasingly take advantage of augmented reality. These technologies will also support retailers in their approach to bridge the gap between e-commerce and brick-and mortar retail, offering consumers the seamless, non-siloed experience across all channels they are looking for. Retailers want to lure their online customers into their brick-and-mortar stores. In order to achieve this, retailers will increasingly use augmented reality and location-based services. Once a customer has arrived in the shopping mile, retailers can use 3D maps to “push” their locations onto the user’s smartphone. The consumers purchasing preferences are taken into careful consideration. In the next step, this service will also include article availabilities of preferred articles in the nearest stores. This promises great benefits for the customers, for example, finding stores (in pedestrian areas) that actually have the item they are looking for in the right size and colour. For this purpose, customers will be presented with real-time inventory data to create a positive online-offline shopping experience. As augmented reality rapidly improves, analysts predict that the retail industry may be one the biggest beneficiaries.2
Trend #5 Open Platforms
Retail IT landscapes of the future need to be as flexible as consumers are. To compete, retail companies must transition their IT systems to open platforms that enable rapid deployment of new solutions and make use of on-demand cloud services to create outstanding customer experiences. Open platforms will allow retailers to combine own software with third party applications as well as to switch services on or off as needed, leveraging the convenience of the cloud. They´ll also make business innovation much easier, faster and less expensive. While open platforms still have room to grow before being the standard in retail IT landscapes, the increasing demand for greater flexibility will drive the industry to embrace “openness” as a way to meet the needs of customers in the future.
The hype about cloud-based systems continues: There is hardly a software system that has not stepped into the cloud. Many applications, especially in the business environment, rely on an “infrastructure-as-a-service” or “platform-as-a-service” model, where existing solutions are simply hosted and operated by a large cloud provider.
In addition, there are true “software-as-a-service” solutions that are available for a monthly fee with guaranteed performance.
Regardless of the actual model chosen, the cloud offers enormous advantages for retail companies, especially with respect to RFID-based inventory management.
Advantages of inventory analysis in the cloud
- IT infrastructure does not have to be operated and maintained by the retailer: Focus on core business
- Lower costs: in comparison to individual operations
- Flexibility: For store openings and closings, and even for the operation of pop-up stores
- Easier integration with existing systems: standardised, open APIs
Smart processing of data at scale
Compared to traditional inventory management, an RFID-based approach brings one thing in particular from a system perspective: More data. Frequent, even permanent and real-time stock takes and tracking of each individual article movement generates more data than before. More data is not necessarily an advantage, and must be processed and stored somewhere. In addition to the – almost unlimited – storage space that cloud-based systems offer, here is another decisive advantage: On one hand, sufficient computing capacity is available for complex and -intensive processing steps, which can be activated simply and automatically “when needed” (“scaling up” and “scaling out”). On the other hand, in cloud-based systems, the application of modern algorithms such as machine learning methods are significantly simplified in order to actually benefit from operational data.
What does data reveal?
This gives retailers access to a broad portfolio of analytic tools, algorithms and necessary infrastructure, without having to become a specialist in the implementation and operation of complex systems and tools for large-scale data analysis. Sounds abstract? The following examples show concrete use cases:
Analysis of the performance of individual articles:
While classical analysis is mostly limited to sales data, new technologies allow far deeper insight into what is happening in the store. With RFID-based inventory management, in addition to sales data, other parameters can be precisely measured and correlated. Derived from this, influencing factors are used to determine in which store the sales probability for certain articles is actually the highest. What is the result of the analysis? Easy to follow recommendations for the sales personnel in the store in order to make the most of the potential of the sales area. Sales personnel receives notifications directly on the smartphone which is processed as soon as possible.
Raw data from the store network – Derive meaningful KPIs – Processing and feedback to the store
Evaluation of periodic inventory data:
The classical stocktake: Not very popular, cumbersome and lengthy – still needs to be done 1-2 times per year for audit purposes. However, an RFID-based system makes it very easy. Reason enough to increase the frequency for better data accuracy. This quickly results in several thousand data records per year. Nevertheless, these datasets contain far more information than just the ordinary inventorydifferences that need to be accounted for in the ERP system: A targeted analysis quickly identifies trends about problematic items, allowing timely countermeasures. As far as the operational process is concerned, smart algorithms can raise additional potential: The classic approach of “one RFID-based stocktake per week” is not necessarily optimal or necessary in every store. Detego InReports suggests the ideal time for a stocktake and can even predict how many people will be needed to complete the process in the desired time. It provides support where it makes sense.
These scenarios show how current methods and algorithms from the world of data analysis, when cleverly applied to inventory data, can show operational benefits.
While this might sound simple, practical implementation is far from easy due to the amount of data that needs to be processed and complexity of procedures used.
Specialized systems that leverage benefits of the cloud can help address this and gain data driven insights rather than pure intuition. This is accessible in a scalable infrastructure that comes with predictable cost within a simple SaaS model.
What needs to be taken into consideration by retailers
Aside from all the advantages, there are also aspects in the use of cloud-based systems, which requires rethinking and possibly even making changes to the existing infrastructure.
Make sure your infrastructural equipment is bandwidth-rich to enable you to run store applications in the cloud with satisfactory performance and to adequately size Internet uplinks for today’s and tomorrow’s applications.
Data collection in the store
Make sure to install optimal WIFI in your stores. That is what customers expect nowadays. Not only do customers interact with their smartphone while shopping, persons accompanying them do so too. That is an aspect which should not be underestimated in order to keep customers in the store and offer new services.
„Shared“ versus „Dedicated“-Cloud-environments
Many software packages allow operation either in a so-called “shared environment” where resources are shared with other companies, or in a “dedicated environment” which is operated exclusively for a particular customer. Both variants have their advantages and disadvantages. While “shared environments” are generally cheaper to operate, there are some dependencies, e.g. in terms of performance. “Dedicated environments” usually offer more flexibility but also entail higher costs.
Lock-In to a Cloud-Provider
Cloud software packages that can be transferred at any time from one cloud to another if necessary are advantageous. This bypasses a long-term dependency on one of the classic cloud providers, e.g. Amazon, Google, Microsoft and Co. It is recommended to make sure that the software you use is not dependent on a particular provider, but can also be operated flexibly with another provider.
Your inventory data contains information going far beyond the typical inventory differences or what ordinary sales data can tell you. Smart analytics and state-of-the-art processing helps you to unlock this potential – a new way where cloud-based systems flex their muscles.
Although we are not allowed to publish names of our retail customers who chose Detego InStore Lean Edition, the reasons that led many international fashion retailers to equip their stores with it, are summarised in the following:
- A solution that is productive within HOURS:
Not within weeks or months. No complex IT integration or complicated implementation.
- Advantages for the store are effective immediately:
Inventory accuracy and on-shelf availability > 98%.
- Intuitive and guided processes:
Sales personnel are guided through all the relevant store processes quickly via a smartphone and without any need for trainings. A lean and intuitive application actively supports and unburdens the sales personnel in their daily work.
- Unbeatable flexibility for fashion retailers:
Whether it is your own store, franchise store, wholesaler locations or shop-in-shop setups: Detego InStore Lean Edition fits all of them and delivers fast results/ROI.
Start with a few stores and scale to hundreds or thousands. Starting with the features of Lean Edition to ensure inventory accuracy and on-shelf availability, additional features can be added later with Full Edition, e.g. retail analytics, efficient omnichannel services and consumer engagement applications. Fully integrated inventory management across the entire supply chain is also possible at any time.
If you also want to benefit from these aspects, we´ll be happy to discuss the introduction of the Detego InStore Lean Edition to your stores. We will show you how to get started quickly with one or more stores, what to do in terms of preparation, which results can be expected and for what budget. If you would like to see results, get in touch with us. We look forward to hearing from you.
Bildquellen: Fotolia, Copyright: Rawpixel
Nowadays, fashion retail is not restricted to one single sales channel only. Fashion retailers rather provide their customers with a whole variety of different channels. Hereby, the customers’ expectations are clear: they demand a smooth shopping experience across all channels. Reliable stock information builds the basis for any satisfied omni-channel customer. A successful “one-face-to-the-customer” strategy can only be achieved with a real-time view on the overall stock; regardless of whether it is being checked in the store, in the franchise store, at the wholesaler or in the online shop. The resulting 100% article availability across all channels guarantees a satisfied customer who may buy again.
Which solution fits everyone?
The one-fits-all approach represents a scalable sizing concept within the fashion industry. Transferred to the IT landscape, the challenge is to integrate all channels in a way that the customer perceives them as one single entity.
Integrated system landscape: Real-time stock view for retailers as well as customers.
Why integrate all channels?
- Brand stores
- Stores of franchise partners
- Concession stores
- Online shop
Customers do not distinguish where and from whom they buy: in the brand store or its online shop, in the department store or in a franchise store. Customers are looking for a specific article and expect a certain price and quick delivery.
System landscape requirements:
- Real-time view on item-level
- Constant updating of involved systems with regards to stock movements
- Central stock view (for stores, franchise partners, wholesalers) on item-level (real-time) as a single-point-of-truth
- Access to stock information for all sales partners in real-time
- Real-time information on item-level also for customers
- Real-time analysis of article movements, aging structure, replenishment performance to optimise article availability
Analysis for everyone
Of course, an evaluation of individual sales channels can be useful to determine its success. However, only an analysis of all the channels, taking into account the entire branch network and all sales partners and online sales, is decisive for the assessment of the collection-, product range- and, above all, the omni-channel success.
Consumer Engagement for everyone
Successful labels roll out their new collections in a multi-channel strategy across all sales outlets. In addition, social media as well as viral campaigns inter-relate with one another. The aim is to offer various touchpoints for customers to interact with brand and articles. A stronger relationship with the brand and more time spent – in the store and in the online shop – lead to more sales.
Detego offers fashion retailers a reliable platform for inventory management, analytics and customer engagement across all channels.
- Scalable: Just as your business requires. Start small. The platform expands itself.
- Modular: In-store management, analytics & reports, consumer engagement – choose what is necessary.
- Flexible: SaaS for switching on and off specific services as needed.
- Manageable: All services on one single platform. Accessible for everyone.
- Economical: Investment protection for the seamless integration of existing systems.
RFID: Real-time data at the item-level
Today’s fashion shoppers, who are always online, expect immediate information on article availability at all times, as well as a consistently positive shopping experience, whether he or she purchases online or enters a brick-and-mortar store. These expectations, combined with managing several collections per year and at least as many marketing campaigns, mean that fashion retailers face numerous challenges. Extremely large quantities of merchandise – in a variety of colours, styles and sizes – have to be moved along the entire supply chain in ever shorter cycles. This involves special requirements for processes, technologies and employees in the retail industry:
- Being able to provide customers with information at all times. This necessitates knowing the exact locations of all articles at the item-level at any time.
- Efficient processes in the store. i.e. fast goods-inbound, permanent inventory and notifications if articles are no longer available on the sales floor, but in the backroom.
- Being 100% customer-oriented. Keeping the promise of providing reliable information on article availability on individual items at any time.
Low input but great outcome:
RFID for article transparency and more…
Many fashion retailers have already realised the benefits of RFID-based article management: knowing the exact location of every article at all times builds the basis for efficient store management as well as omni-channel retailing. Retailers who have taken the first step of implementing simple RFID labelling on merchandise are soon able to see other worthwhile benefits: for example, real-time analysis based on new in-store KPIs or omni-channel services. Given the fact that RFID-based store and supply chain solutions are highly scalable, innovative and seen as a safe investment, the use of RFID in fashion retail is inevitable.
Reasonable development path: From accurate article transparency to retail analytics and efficient omni-channel services.
The hidden potential of RFID
RFID stands out with distinct and innovative advantages over other article labelling technologies: RFID-labelled articles can be read in bulk and even through closed boxes.
Fixed readers on the sales floor, in the back-office, in the fitting room or in certain areas (for example, near NOOS articles) provide data on the article availability ratios and article movements in the store. If these are evaluated, valuable insights are gained about customer preferences e.g. what are popular combinations of articles; or how attractive are individual article placements in comparison to others.
Mobile RFID reading devices can be used for store-processes such as store-to-store transfers, goods receipts or returns to the warehouse. Furthermore, mobile devices support the sales personnel extremely well, especially when it comes to customer consultations, or for initiating a direct order or reservation.
All data generated in the store can be analysed in real-time. And back-end systems, such as ERP or CRM and Loyalty programs, are enriched with information that was hitherto unavailable, allowing a far better understanding of the customer.
If retailers use the power of real-time data and, for instance, relocate articles more quickly (or present certain articles as outfit combinations; or provide product recommendations on an interactive screen in the fitting room), turnover will be increased immediately. With the information coming from data on article aging structures for each and every item, retailers can take precautions earlier so that they sell more articles at full price and increase their margins. These timely actions give a competitive advantage, especially if competitors are still using historical data and making decisions that do not meet customers’ wants and needs.
RFID provides real-time insights into the link between customers and merchandise.
RFID sensors in the store: Goods movements are transparent and analysable.
Advantages of RFID in fashion retail:
- Increased article availability (never-out-of-stock)
- Article transparency through Single-Point-of-Truth stock view
- Targeted store(s) management using real-time analytics
- Fewer safety stocks and improved supply chain processes
- Automated article recommendations for the promotion of active cross-selling
- Sales according to planned margins through fast replenishment processes
- Basis for efficient omni-channel services (click & collect, online article availability check, ship-from-store, return-to-store)
- Sales personnel have more time for the customer
Webinar | How RFID benefits Fashion Retail
The perfect couple
Find out how international fashion retailers lay the foundations for their successful strategies and how the use of RFID helps to successfully differentiate themselves in the highly-competitive fashion industry.
Usually, the fitting room is the place where purchasing decisions are made by customers. That is enough reason for fashion retailers to leave nothing to chance. The “Smart Fitting Room” offers possibilities of real customer interaction and to gain additional competitive advantage by meeting the exact wants and needs of today’s shoppers.
However, the “Smart Fitting Room” not only changes the shopping experience for customers, it also provides retailers with important insights on customer preferences.
It’s a highlight in the store for both the customer and the retailer.
“Smart” for the customer
- Shows different product combinations
- Makes product recommendations
- Article availability check
- Shows full range of articles to browse through
- Additional information, videos, social media integration
- Customer-friendly fitting (Article-Bring-Service)
- Enables digitally supported purchase decisions
- Direct reservation or ordering of articles
- Different delivery options (delivery to home address, from another store, etc.)
“Smart“ for the retailer
- Promotes up- and cross-selling potential
- Interactive dialogue between customers and store personnel
- Shows full range of products (Virtual-Endless-Shelf)
- Retail analytics: insights on customer preferences
- Increased operational excellence, optimisation of merchandise plan
- Omni-channel: Integration of online and brick-and-mortar retail
- Engagement with store and brand
- Personalised customer offers
When Renting is More Attractive than Buying
Imagine being able to simply rent what you need for customer satisfaction instead of buying:
- In-store software for your branch network
- Mobile hardware for article scanning
- RFID readers (Fixed Reader Infrastructure)
- Smart Fitting Room technology
- Black Friday infrastructure (temporary)
- Updates and services
Makes economic sense
From an economic point of view, instead of buying, renting is a reasonable option since you can retain the operational flexibility of your retail business. You can either “connect” individual store-services with a complete in-store solution for a newly opened store; or quickly “disconnect” it when the store needs to be closed down, without any long-term related costs.
Related expenditures can be booked as OPEX (Operational Expenses), rather than CAPEX (Capital Expenses) that represent investments which can put a heavy burden on the balance sheet.
Of course, software investments should be agile and should allow you to easily adapt to any given circumstances with regards to your store business.
Mainstream software providers like Microsoft lead the way with SaaS (Software-as-a-Service) models like Office 365: Buying is out, renting is in!
Custom Fit: Managed Services
Managed services can be independently assembled and are flexible in terms of timeframes – either for a temporary, or long-term implementation.
In the following, you will find some examples of how some of our customers benefit:
- 24 hours “Black-Friday” infrastructure (temporary)
- Real-time analysis of store performance (one-off, within a campaign period)
- Real-time article transparency across entire store network (e.g. for 60 months)
- Smart Fitting Room technology
- Fixed Reader Infrastructure. Definition of zones in stores
An individually defined managed service does not have to consist solely of software. It may also include the necessary hardware (e.g. RFID readers) which can be rented as a bundle. We will take charge of the technical coordination of all components and make sure that everything is running smoothly.
Taking measure for the perfect fit
When financing your in-store solution, first we see what best fits your needs in order to get the perfect match for your store as well as your operations.
And what fits best for you?
- Flexible times: 36, 48 or 60 months
- Software components for a fixed monthly fee: one or more Detego products
- Hardware components: number and type of readers. Replacing outdated devices during rental period
- Definition of zones in the store via Fixed Reader Infrastructure at a fixed price per m2
- Smart Fitting Room technology
- Different service components
How does this fit into your IT landscape?
We work with leading cloud-providers to ensure our software is:
- highly available
- highly scalable
- and as cost-effective as possible
This, on the one hand, minimises the IT infrastructure in the stores as well as any associated costs, while on the other hand, provides the highest level of flexibility to meet the dynamics of your store business.
Our team ensures that infrastructure and software is available at all times, allowing you to concentrate entirely on your business and your customers.
The connection of stores with restricted Internet connectivity is also represented by our hybrid architecture. Another advantage is that you always receive updates and further developments of our software, in order to stay up-to-date and benefit from new functions and possibilities.
Cloud and the protection of your data
Despite all the benefits of cloud computing, there are nonetheless some concerns about security that need to be overcome. This is why we ensure that your data is always transmitted in an encrypted form – using the latest state-of-the-art technology – and stored securely and redundantly.
Backup and fail-over mechanisms ensure that your operating business can continue without interruption in the event of a system failure.
Would you rather continue being the master of your (virtual) infrastructure and your data?
No problem – our solution can also be operated on-premise, i.e. using your own infrastructure (e.g. your own data centre).
Customised – for you and your specific requirements.
Managed Services – how does it work?
An important part of our offer is our service & support. From experience, we know that in daily operations, questions – and sometimes even new challenges – may arise. Our service organisation is available to assist you in these matters. 24 hours a day. Every day.
Proof-of-Concept in Pilot Store
Test an individual rental model in a pilot store and find out how we can jointly increase your article availability and offer your customers a new shopping experience.
Our fashion retail customers appreciate this offer of a proof-of-concept. It means they can get relevant data for the decision-making process before they scale the rental model across their entire store network.
iStock; Copyright: MonikaBaticPhotography iStock; Copyright: Rawpixel iStock; Copyright: pixdeluxe
Did we spark your interest?
For more information on a test please contact us directly.
Understanding your customer remains paramount
Today’s “always-on” customers jump between sales channels on a whim, forcing retailers to meet growing expectations for “shopping anywhere, anytime”. The focus is no longer so much on which articles a retailer wants to sell, but rather to whom they want to sell as well as their individual wants and needs. Any friction between offline and online retailing consequently leads to lost sales. Customer centricity demands a complete realignment of in-store processes, technologies and personnel. More specific trends triggered by this “customer centricity” are described below.
Trend #1 Mobile Interactions
Using the internet, customers are accustomed to fast answers; especially when it comes to the availability of a desired article – if no information can be found promptly, the customer will be lost to the competition. Spoiled by the speed of getting information online, the customer now expects the same service in a store. This trend will mean even more mobile devices – such as tablets and smartphones – being used by sales personnel to provide information on individual articles at the point-of-sale (POS). The use of mobile RFID readers for inventory or goods-inbound procedures in the store accelerates in-store processes and ensures real-time information. New forms of mobile interactions will increase due to digitised customer cards via smartphones, just as mobile payments will be used more extensively.
Trend #2 Omni-channel Forward
Omni-channel retailing will continue to develop. Services such as ‘click & collect’ are known and have been widely implemented. This service will be followed by ‘return-to-store’ (eCommerce returns) and ‘ship-from-store’ to provide customers with a consistently positive shopping experience. Fulfilment from the store (ship-from-store) is necessary in order to make prompt deliveries and so that retailers can offer services requested by the customer such as same-day-delivery. An efficient implementation of omni-channel services requires real-time transparency of inventory. The integration of all channels, as well as digitalisation in the store, not only ensures a successful customer journey, but also reduces over-stocking and generates additional knowledge about the customer.
Trend #3 Real-Time In-Store Analytics
Asking the question “what does the customer actually want?” will lead bricks-and-mortar retailers to more digital intelligence, especially at the POS. Up until now, a customer entering a store was often an unknown entity with regards to their buying intentions. Reliable data in real-time, its evaluations and the derivation of recommendations to take will allow bricks-and-mortar retailers to use similar customer profiles to those typically used by online retailers. Retailers will be able to actively manage their store business based on evaluations on availability of items from the current collection, or the number of items that have been tried-on but not bought, as well as article dwell times on the sales floor. The use of real-time data at the POS is the basic requirement for merchandise planning, controlling and presentation.
Trend #4 Internet of Things (IoT)
More and more retailers will use the numerous possibilities of the Internet of Things (IoT) and cloud-based services to better understand their customers, increase effectiveness and further improve their customer’s shopping experience. The buying behaviour in the store can be evaluated in real-time with the use of IoT: e.g. RFID sensors combined with analytical software to optimise the shopping experience of customers. In addition, IoT enables the personalisation of offers and digital signage that increases the probability of self-service and more intelligent and extensive interaction with consumers in the store. Using mobile devices at the POS, retailers can inform customers directly or send individual offers to them. The Internet of Things is undoubtedly here to stay.
Trend #5 Consumer Engagement
The trend for interacting with customers – the so-called consumer engagement – involves adapting processes as well as technologies (see IoT trend above) and customer-oriented sales personnel (see mobility trend). Sales staff need to be able to inform customers about the availability of articles in real-time – regardless of whether the article is available in a store, in the warehouse, or at a franchise store. Interactive systems (e.g. in the fitting room) collect information on customer preferences and can recommend suitable items to customers accordingly. The customer can communicate directly from the fitting room with store staff who can support the buying and decision-making process.
Trend #6 Predictive Recommendations
Artificial intelligence will gain importance in the retail industry as part of a digital transformation. Self-learning systems and predictive recommendations will establish themselves, starting from customer requirements and sales-oriented forecasts for purchasing and merchandising up to buying recommendations for consumers in a store, fitting room or online store.
Trend #7 Cloud-based Services
In the future, cloud-based in-store services will be the most affordable and flexible solution for medium-sized and larger store chains. When expanding, services can simply be switched on or off when a new store is opening or closing using Software-as-a-Service models. Roll-outs, maintenance and reliability are generally more cost-efficient and cloud-based services will continue unabated as a trend.