Cielo: research shows that the strategic use of data by retailers is falling short of its potential

In order to know the profile of its customers and leverage business, merchants need to have data and structured information available. Research Cielo in partnership with Expertise* showed that 73% of managers of companies and commercial establishments use data to promote their business. However, the survey points out that 57% do not resort to more effective instruments such as research and information collections about competitors and similar businesses.

“Data is an indispensable tool for retailers and entrepreneurs who want to increase their revenue and cultivate a better relationship with their customers. The fact that almost a third of the people heard still do not use data and more than half do not analyze the competition shows that there is an opportunity for this reality to be changed. It is necessary to include these traders in the universe of” analytics, says Estanislau Bassols, CEO of Cielo. 

In the executive's view, the application of data is established in large retail chains that have a dedicated structure and comprehensive view of their business. “A situation however is different when we observe the medium retail and entrepreneurs, who resent the lack of support in sales and business management. But even those who already have some familiarity with the data can enhance their use and get better commercial results”, says Bassols.

Data usage

According to the survey, this feature is applied in different ways. Among the preferred are: definition of promotional actions (mentioned by 37% of respondents); customer relationship initiatives, such as loyalty programs and granting discounts (36%); definition of prices (36%); definition of the set of products and services offered (27%); improvement of service (24%); personalization of the customer experience (23%); definition of channels of dissemination and sales (221TP-3T13T).

Different areas of companies use data in their daily lives. The ones that most take advantage of this knowledge, according to respondents, are Sales (89%), Marketing (85%), Customer Experience (82%) and Finance (71%). Almost half (47%) said they have a person or team responsible for data analysis.

The most precious data, in the view of entrepreneurs and retailers, are specific information about your business (mentioned by 38%), customer purchase history (35%) and data about the market and its segment of activity (18%).

Social networks

According to the survey, 22% of managers use social networks as the main source of information. “Although social networks have quality content aimed at small businesses, the information disclosed by certain channels can often be decontextualized or distorted”, says Bassols. “Therefore, Cielo has increased its presence on social networks to provide consistent and useful information to retailers. In this effort, we use all the company's knowledge and 30 years of market experience” News sites (15%), radio support entities and retail associations (1213T and TV marketers also make up 13T13)

Artificial intelligence

More than half of respondents (52%) believe that most merchants will use data in decision making in the next five years.Among the technologies that will have the greatest impact, generative artificial intelligence was mentioned by 49% of managers.  

Such evolution, however, will bring challenges. The need to raise awareness among teams and employees about good practices in the use of data was cited by 55% of companies. Cyber threats and new regulatory requirements concern, respectively, 19% and 11% of managers.

“A research points to an increasingly data-dependent future, which reinforces the need to include managers who do not yet use them on a daily basis. The interesting thing is that, with the evolution of generative AI, marketers will be able to rely increasingly on customized information and conducive to their business. In the context of retail, integration with AI should also make experiences more interactive and personalized, from recommendations based on customer behavior to the use of augmented reality to test products virtually, for example”, says Bassols.