Data Challenges / Solution

business brief

The client is one of the largest departmental store retail chains in India running a total of about 50 stores across the country. The business brief is to better understand customer behavior under such circumstances by analyzing the customers registered under its loyalty program. Specifically,

Identifying customer segments to enable more effective one-to-one marketing efforts

Enable better decisions at the store level by understanding customer buying behavior inside the store

Maximize profitability by planning, executing and evaluating promotions more effectively

To create a repeatable process so client can deploy Analytics based solution across multiple stores rapidly and cost effectively

data challenges

The store manages high variety of SKUs across 5 different product categories – Apparel, Footwear, Children’s Wear & Toys, Furniture & Home Furnishings, Beauty & Fashion Accessories. Most of these categories are intensely fashion-driven and hence each seasonal turn in styles and variations takes the number of different SKUs to be tracked into millions. The nature of the retail industry also requires that the data be analyzed real time to enable real-time decisions that can be executed at the point of sale for better ROI from each loyalty customer.

solution highlights

TEG helped the client identify 8 key customer segments which had differential behavior in terms of their shopping patterns. The detailed profiles of these 8 segments now helped the client to better understand the different new members that were being enrolled everyday in the loyalty program. The Big Data exercise also helped the client to


Create differentiated Up-sell/Cross-sell strategies for these segments


Identify concepts/products which should be promoted to each specific customer segment