WASHINGTON (PRWEB) January 15, 2018
Today, Applied Predictive Technologies (APT) released its annual State of Business Experimentation report for retailers. The report reveals how retailers are innovating in the face of changing consumer preferences and the strong growth of key online competitors. Further, it explores how they are leveraging business experimentation to determine which new ideas work, which do not, and which need to be improved. The full report on the findings is available here.
“Retailers report that 44% of ideas tested are not worth the investment,” said Anthony Bruce, CEO, APT. “With that in mind, it is key that retailers not just innovate, but innovate smartly. The best way to do so is to leverage business experimentation to inform decision-making. As retailers consider implementing new programs, failure is not a bad thing – as long as they can correctly uncover what does not work and quickly course-correct to optimize their investments.”
To drive growth in the face of online competitors and e-commerce disruptors, retailers’ strategic priorities include (percent of retailers):
- Increasing digital presence: 46%
- Trying new inventory strategies: 41%
- Upgrading online stores: 22%
To retain market share amid shifting consumer preferences and convenience-oriented players, retailers’ strategic priorities include (percent of retailers):
- Introducing new products: 39%
- Focusing on “shoppability”: 37%
- Launching a new mobile app: 10%
Top areas in which retailers are conducting tests include (percent of retailers):
- Marketing & promotions: 94%
- Products & merchandising: 91%
- Labor & operations: 67%
- Pricing: 64%
- Capital expenditures: 55%
To view the full State of Business Experimentation report for retailers, please visit: http://www2.predictivetechnologies.com/en/retail/2018-01-20/sobe-retail-apt
The State of Business Experimentation report for retailers is part of a larger set of reports that also includes insights for financial services, restaurants, consumer packaged goods, and other industries. All results are based on self-reported data by a set of leading global organizations.
APT, a Mastercard company, is a leading analytics software company that enables organizations to rapidly and precisely measure cause-and-effect relationships between business initiatives and outcomes to generate economic value. Our intuitive and proprietary Test & Learn® software utilizes sophisticated algorithms to analyze large amounts of data, enabling business leaders to conduct experiments and allowing them to make optimal decisions and implement business initiatives at scale. APT also offers products that support decision-making for specific business needs, including transaction analysis, space planning, promotion design, category management and location selection.