EPOS (Sell-out) DATA ANALYSIS – USES & NEEDS
The information acquired automatically during a customer’s payment is referred to as “EPOS data”. This information can include inventory status, business management, and customer information such as who they are, why they are buying, consumption habits and preferences, and so on. Retailers, Brands and Manufacturers can use EPOS data analysis to conduct in-depth analysis in each point of sale, which is critical for obtaining information on consumer behavior, purchasing trends etc.
Retailers benefit greatly from EPOS data analysis since it allows them to clearly understand consumer behavior and the influence of sales at each point of sale. However, despite the fact that most of them acquire and keep a significant amount of business-relevant data, they are unsure what to do with it. The following are the most common uses of EPOS data analysis:
1. Identify low-demand products.
Consumers encounter a number of issues, including high pricing, poor quality, and a lack of diversity in the products available in retail stores. It is possible to determine the manner in which customers respond to product prices and the methods that retailers can use to manage inventory by completing a EPOS Data Analysis, and so know the availability of products in stores, trends, and consumption over time. Managers can use this type of data to order more of a product that creates greater sales and profit for their company.
2. Purchase the appropriate quantity of products.
Retailers make the mistake of using the average number of products sold as a criterion for expanding or contracting their storage. They do not, however, account for seasons such as weekends, holidays, and so on. Retailers can execute an accurate inventory count and generate more profit with the right quantity of products if they have this information.
3. Keep the correct things in the right places.
Because out-of-stock products are known to slow down a retailer’s sales, EPOS data analysis provides a pattern that shows which products are in highest demand and at what periods. This helps you to prioritize the products in your stores, organize them into categories, and ensure that you have enough stock when it’s time to put them on the shelves.
4. Recognise trends in sales
The data gathered throughout the data analysis correctly reflects each point of sales and earnings. This will allow you to compare the findings and optimize each store’s productivity while enhancing overall profitability. In a EPOS analysis, comparable data is easy to get by. You may learn a lot about each product, category, and shelf organization at points of sale using this data.
5. The most successful business plans
It enables you to understand what is happening at the point of sale and consumer habits, allowing you to make better decisions and improve product commercialization. This allows you to correctly analyze the efficacy of commercial promotions, estimate the promotion’s ROI, and determine the increase in sales for each of them, allowing you to better plan future promotions and optimize your pricing strategies based on data.
6. Be aware of customer habits
It allows you to gather detailed information about your customers and analyze which items they use the most and which products they use to supplement them. This enables you to tailor promotions to certain client types and organize products in retail outlets based on usage. EPOS data analysis enables you to collect massive amounts of data in a consistent manner, allowing you to analyse and forecast share counts, improve marketing efforts, and obtain precise information on your ideal consumer. It is currently considerably more popular. It’s not just about knowing your brand’s target market; it also allows you to detect other crucial elements like product availability, inventory and sales status, ROI, and so on, all of which will benefit the sales locations with the most potential. Traditional data analysis provides you with broad data. EPOS data analysis, on the other hand, provides actionable information that you can use to improve your promotions, forecast sales, and conduct profitable marketing initiatives.