AI-powered solution provides retailers with data-driven insights and tools to maximize retail promotion profitability and minimize lost spend
PRINCETON, N.J., Feb. 13, 2024 /PRNewswire-PRWeb/ -- LatentView Analytics, a trusted analytics partner to the world's most recognized brands, today announced the launch of AccuPromo, an AI-powered solution designed to provide retail promotion planners with actionable insights to maximize ROI and minimize unnecessary spend. AccuPromo addresses the ongoing challenge of understanding what promotions are effective and how they affect sales and long-term customer loyalty.
In 2023, top retail priorities included the use of retail promotions, with 66% of shoppers citing retail promotions and price cuts were top considerations when shopping. However, promotions are about more than just ad hoc discounts. When implemented strategically, they can help attract and retain customers, boost margins, and drive long-term brand loyalty. Running promotions is expensive though, costing 20-40% of retail topline, and they are often ineffective with only a 33% success rate due to a lack of visibility across promotional tactics and inefficient manual planning.
With a 7-9% rise in online and other non-store shopping methods since the COVID-19 pandemic, retailers are not only attempting to meet changing customer needs through the implementation of lowered prices and promotions, but they are doing so across multiple channels and product categories. Disorganization and inconsistency across channels and customer profiles are detrimental to the success of promotions, a necessary tactic in a time of omnichannel retail strategies with tighter spending habits.
"Promotion planners do not have an accurate overview of the variety of factors influencing their campaigns, and are relying on manual planning and analysis in spreadsheets—costing valuable time and resources," said Rajan Sethuraman, CEO of LatentView Analytics. "Due to a lack of actionable insights and enough time, businesses are getting caught in the vicious cycle of reusing promotions regardless of success in previous years. We designed AccuPromo to eliminate wasted time and money and put the power back in the hands of those creating and running promotions. This allows us to ensure that they are maximizing revenue, profit and traffic and minimizing under- and over-pricing scenarios to preserve margins."
AccuPromo is designed to boost profitability and address the inconsistency of promotion success by diving into past promotions, analyzing their success, and understanding customer file health performance. The tool is then able to predict and optimize revenue across categories of interest by setting accurate budgets and calibrating key levers such as revenue, margin, and inventory. Finally, AccuPromo simulates promotion options and tactics for optimal results, including BOGO, bundled, and discount promotions, enabling retail teams to accurately and efficiently create promotions that are viable, effective and data-driven.
AccuPromo's Key Capabilities and Approach include:
Assess: Look Back to Look Forward
- Leverage historical data to identify top-performing promotional campaigns
- Analyze the halo and cannibalization effects
- Discover geographic locations where promotions worked best
Optimize: Predict and Plan for the Future
- Forecast overall potential revenue across locations
- Recommend the optimal promotion mix using advanced AI algorithms
Strategize: Intervene and Plan for Success
- Fine-tune optimal promotion mix for given constraints
- Compare multiple scenarios using What-If simulator module
- Extract generated final promotions calendar for future use
For more information on AccuPromo, visit: https://www.latentview.com/accupromo/
About LatentView Analytics
LatentView Analytics is one of the fastest-growing data analytics firms globally, delivering solutions that help companies drive digital transformation and use data to gain a competitive advantage. With analytics solutions that provide a 360-degree view of the digital consumer, fuel machine learning capabilities, and support artificial intelligence initiatives, LatentView Analytics enables leading global brands to predict new revenue streams, anticipate product trends and popularity, improve customer retention rates, optimize investment decisions and turn unstructured data into a valuable business asset. LatentView Analytics is a trusted partner to enterprises worldwide, including more than two dozen Fortune 500 companies in the retail, CPG, financial, technology, and healthcare sectors. LatentView Analytics has more than 1300 employees in offices in Princeton, N.J., San Jose, Calif., London, Singapore and Chennai, India. For more information, please visit https://www.latentview.com/ or follow us on LinkedIn.
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SOURCE LatentView Analytics
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