In previous articles, we covered them separatelyA comprehensive solution for the retail industry, including:Store management solutions, commodity management solutions, membership management solutions, as wellThe analytical metrics included in these scenarios, attracting many business owners who are interested in the transformation of new retail.
Article link: In the new retail era, promote the comprehensive upgrade of smart retail! Overview of new retail stores, commodities, and membership operation management indicators! In the future, we will disassemble these contents and give them to you one by oneCardingThe specific implementation, application scenarios, landing effects and value embodiment of the above three solutions.
Today, let's focus on one of the three major solutions for new retailStore management
Let's take a look. What are the challenges of traditional store operations?
What data products does the new retail store management solution use to support its strategic framework?
How does this plan solve the business dilemma of traditional stores one by one?
This article is based on the solutionThe reporting tool FineReport!
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In 200+ customer cases, whether it is FMCG, catering, shoes and clothing, supermarkets and other retail stores, it is often heardThese customers report a series of challenges faced by traditional store management in the retail industry.
We summarized the problems they stated into the following difficulties of traditional store management, such as:
One:There is a lack of clear guidance on store management, too dependentEmpirical way of operating。In this case, the store managerProbably with personal experience and intuitionto make decisions, lack of scientific data support and systematic guidance. This makes the store operationalMore susceptible to personal subjective factorsStandardization and standardization are difficult to achieve.
Second: Another problem is that there are large differences in store operations, even under the same brand, the level of operation between different stores andResults may vary widely。This is mainly due to:The uneven experience of store management, causedExcellent experience is difficult to precipitate and spread throughout the brand。In the absence of a unified standard operating process and management guidelines, it is difficult for stores to achieve overall brand consistency, which poses a challenge to improve brand image and customer experience.
Third, store operations often encounter the problem of untimely data feedbackLack of timely and accurate data feedback for store managersYou don't have a quick overview of sales, inventory, and customer feedbackand other key information. This makes it difficult for managers to make scientific and accurate decisions when making decisions and adjusting business strategiesIt has affected the operational effectiveness and competitiveness of the store
Fourth, cultivating excellent store managers requires a long training cycleThis not only places high demands on the time cost, but also comes with high economic costs. Therefore, the corporateThe opportunity cost is even higher, excellent store manager flow broughtThe consequences are severe, not just the investment during the nurturing and development periodLoss of resourcesIt also includes what may be brought due to a change in store managerBusiness InterruptionThe instability of customer relationships and the impact of team collaboration. These damages not only increase the direct economic costs, but also highlight the opportunity costs faced by companies in terms of brain drain.
In view of the above-mentioned traditional store operation dilemma, we put forward a new retail store management plan.
According to the above-mentioned person in charge, these stores have problems in the endIt also affects the efficiency of the overall businessCustomer experience and business operations, which makes the store manager and the general person in charge of the store very distressed.
To solve these store operation problems, it needs to be implementedTechnical, business, and contextual integrationofNew store management scheme——
With the help of the data integration platform finedatalink, the retail industry can organically integrate the data of various systems, establish a sound indicator system management and data governance system, and build a data warehouseData integration, indicator management, data governance, and the construction of data warehouse infrastructure framework;
Then through the report maker finereport,Establish visual analysis and standardize the store management systemProvide systematic training and guidance to ensure that store operations are more scientific and efficient.
At the same time, strengthen the data collection and feedback mechanism to ensure that store managers can obtain and use key data in a timely manner, and promote the scientific and refined business decision-making. Provide business people with an autonomous data analysis tool, FineBI, to enable them to:Conduct in-depth analysis autonomously and get the information you need quicklyto conduct a more detailed review of the results to help the enterprise make the decision-making process intelligent and efficient.
The core of this program is integrated into two major strategies
Strategy 1: Build a strong data infrastructure
Data collection, extraction, transformation, data warehouse, data mart
The data is organized, organized, and covers a wide range of areas, and it needs to be retrieved quickly and in a timely manner
Strategy 2: Store data integration analysis and report display
Integrate stores with BI self-service analytics toolsSales, inventory, passenger flow, and moreto conduct a comprehensive analysis to help enterprises gain an in-depth understanding of the operation status of each store.
The report presentation is presented with intuitive graphics and clear dataComplex store data informationTranslates into an easy-to-understand form that provides decision support to management. Let the management at a glance, understand, and understand, in order to formulate a better marketing strategy.
Looking at the whole, businesses can go through the following:Fourth, big data application support
Sophisticated data integration platform
Enterprise-grade web reporting platform
BI self-service analytics tool
Data visualization multi-terminal (PC and mobile) display large screen
Based on this, the enterprise can be fully developedStrategic planning, business strategy, operational analysis and business guidance
The architecture is designed as follows:
On the production side, leverage real-time capacity and demand dataRefined scheduling of production processesto improve efficiency; On the front-end store service, throughSelf-service analytics tools dig deep into personalized store marketing datato develop differentiated marketing strategies and improve customer satisfaction.
At the same time, through multi-channel expansion, a wider range of market coverage is achieved. The flexible use of mobile apps enables decision-makers to access critical data anytime, anywhere, and promotes a process-driven management approachNew retail store data management systemProvide accurate guidance for back-end production, provide strategic support for personalized store marketing, broaden channel management, comprehensively drive business processes, and improve business efficiency.
In addition, the store operation plan needs to serve three layers of people according to different needs
--Group management,Mainly through various platforms and portsLarge-screen monitoring and email pushReal-time monitoring of store operations, timely adjustment of strategies and marketing means:
--Zone Layer:The new retail store management solution can improve the operational efficiency of regional stores. Identify and resolve issues in a timely manner by monitoring key KPIs in real-time to optimize business processes and improve sales efficiency. This allows each regional store to be more flexible to adapt to market demand and improve the level of operationIn line with the Group's expectations for regional operations.
--Single store layer: This solution can strengthen the business guidance and optimization of a single store. Through detailed sales data analysis, a single store can:Get a more accurate picture of your performanceto dig deeper into potential problems and be timelyAdjust business strategies。This creates a more competitive environment for each store, in line with the Group's expectations for the performance of a single store business. The new retail store management solution also helps to strengthen regional synergy. Through data transparency and sharing,Stores in different regions can learn from each other's best practicesto form a closer collaborative relationship and jointly promote performance improvement. This is in line with the Group's expectations for regional synergies.
This architecture plans the overall store operation and implementation ideas, and the business scenarios that will be empowered after the implementation of the plan are as follows:The construction of the store management index system is step-by-step from the group to a single storeBusiness analysisMonitoring, the following is a detailed introduction for you.
Store operation metricsSystem construction
The store management indicators of the retail industry are broken down into the following sub-indicators:
(1) Sales and profit indicators:
SalesIt is the core indicator of the total sales revenue of a store in a specific period of time. The frequency of monitoring can be flexibly adjusted as needed, including daily, weekly, monthly, or quarterly, to get a complete picture of store sales performance.
Sales growth rateThe increase in sales compared to previous periods is evaluated, providing an important reference for store sales trends. By monitoring sales growth rates, stores can gain a clearer view of the dynamics of sales performance.
Profit margins, which is the ratio between sales and net profit, which is used to measure the profitability of a store. Monitoring profit margins can help you gain insight into your store's profitability and make strategic decisions accordingly.
(2) Customer and value indicators:
FootfallMetrics track the number of customers entering a store and are an important tool for evaluating store attractiveness and traffic management effectiveness. By effectively monitoring foot traffic, stores can flexibly adjust their strategies to increase foot flow and optimize the shopping environment.
Average trade valueReflects the average amount of each transaction, helps you understand how much customers spend on each purchase, and is critical to optimizing** and increasing sales.
Return rateIt measures the number of products returned by customers and is a key indicator for evaluating product quality and customer satisfaction. A high return rate can indicate a problem that needs to be addressed in a timely manner to improve the customer experience.
(3) Product and circulation speed indicators
Inventory turnoverReflects the efficiency of inventory, i.e., the speed at which a product goes from incoming to sold. High inventory turnover helps reduce inventory carrying costs and improve capital utilization efficiency.
Inventory turnover daysA measure of the average amount of time a product stays in inventory, and short cycles often help reduce the risk of slow-selling.
(4) Cost indicators
Proportion of personnel costsThe ratio of store personnel costs to total costs is evaluated, which helps to effectively manage costs and ensure the efficient use of personnel resources.
Temporary display effectMetrics are used to evaluate the sales performance of a specific product or display method. By understanding the impact of temporary displays, stores can optimize product merchandising and promotion strategies.
Value embodiment:
Monitor KPI achievement:
Passed withComparison of sales data for the previous month, as wellMonthly and annual metricsThe completion rate is evaluated, and specific gaps and deviations are identified, allowing potential problems to be quickly identified.
If the completion is not good, it is necessary to carry out the next step of dismantling indicators to trace the root cause of the problem layer by layer.
Establish a problem traceability system, fine diagnosis, dismantle layer by layer, and find the cause of the problem
If customers are lost, the possible reasons include competitors' advantages, unsatisfactory service, competition, etc. PassedInvestigate each of these possible causesto find the key factors that are causing the problem. So as to make targeted improvements, solve problems, and improve service efficiency!
In general, to establish a store to operateComprehensive problem traceability system, which can ensure an in-depth analysis of store operation problems, find the root cause, and provide:Targeted solutions。This approach helps to fully understand the problems in store operations and develop effective improvement strategies.
Store management application scenarios
Application scenario 1: Group operation analysis - grasp the achievement of group KPIs and KPIs of each business unit
The core KPI indicators are the key monitoring indicators of the Group's operation to ensure that the operating conditions are transparent and visible.
Commodity metrics are for viewingAnomalies in the product, through in-depth tracing to the root cause of the problem core cause of the problem.
The evaluation indicators are based on:Number of employees, area, and SKUsto provide a comprehensive business evaluation through efficiency analysis and in-depth assessment of the passenger flow perspective.
In terms of operational metrics, rightCore KPIsExplain in detail to prevent deviations in KPI data. For example, the increase in group sales may be due to the expansion of new stores, so the old store sales indicator was introduced to more accurately reflect the overall performance of the group.
Application Scenario 2: Regional Business Analysis - Grasp of Store Performance
In the second stage of the holistic analysis, it is necessary to review the achievement of key KPIs by each region or subsidiary. This analytical framework is similar to the group-wide analysis and can be done by leadershipBy digging deeper into group-level data, rightThe performance of stores in each region is comprehensively evaluated
Through this process, the implementation of the problemGo back to the rootswithDecentralize decision-making pressure to the regionsto solve business challenges more effectively.
Application scenario 3: store operation analysis - store manager performance monitoring, racecourse system construction
After the store enters the racecourse, it will be compared with the benchmark store, the regional average and the benchmark store, and the core comparisonPerformance metrics, membership operations, and merchandise operationssituation in order to comprehensively check and fill in the gaps;
At the same time, the racecourse will be rankedIt is bound to the performance of the store managerStimulate the management enthusiasm of store managersto improve the level of store operation. This strategic comparison and performance binding mechanism helps to drive the continuous improvement of stores in the competition and ensure the sound operation of the business.
Application scenario 4: Store operation analysis - store anomaly analysis to save costs
Ensure that exceptions can be traced and problem resolution can be closed. Take the out-of-stock analysis as an example, passConduct in-depth mining of the number of out-of-stock SKUs in major categories, and trace back to the specific details of out-of-stock productsto locate the problem.
PassedClick on the single item details to go deep into the in-store inventory viewingIf you find that the inventory in the store is high and the sales are low, you can make an allocation to ease the sales pressure. This closed-loop mechanism of tracking and resolution helps to ensure a comprehensive solution to the problem and improve operational efficiency.
Through the specific implementation and construction of the above application scenarios, we look forward to achieving the following two goals for the management of new retail stores for enterprises:
>>> Business Objectives:
1. In-depth traceability and decentralization of pressure
Through the transparency of information from the headquarters to the store, the management pressure of the group level is transmitted to the bottom level, so that each store can feel the expectations and requirements of the group and ensure that the problems can be followed. At the same time, passedBottom-upbusiness improvement system, encourage stores to put forward improvement suggestions,Promote business performanceRealize the closed loop of store management。This comprehensive improvement program is designed to stimulate the creativity and motivation of the team and drive continuous improvement of the business.
In order to locate the abnormal operation problems of the store, weWe will improve the problem traceability system for management。By establishing real-time transparencyKey KPI monitoring systemto gain a comprehensive understanding of the business situation at the group level. Disassemble and cover KPIs in multiple dimensionsBusiness Units, Regions, Commoditiesand so on to enable rapid diagnosis of the problem. Dedicated personnel are responsible for the rectification and tracking of problems, solve existing problems in the shortest possible time, and ensure the efficient and stable operation of the store.
2. The store manager's excellent experience precipitation and improve the performance of a single store
Through this comprehensive strategic deployment, it will be sufficientPrecipitation of the excellent experience of the store managerto effectively improve the management level of store managers. This strategy not only enables the rapid resolution of business problems, but also the ability to solve business problemsPromote the improvement of store performance, moreLay a solid foundation for the improvement of the Group's overall operating conditions。This measure will help improve the execution and synergy of the management, while also making the entire new retail group more competitive and innovative. This comprehensive deployment is designed to drive growth across the organization and achieve long-term sustainable growth of the business.
That's all for this articleIntroduction to the operation and management of smart new retail storesI hope this article will help you in the process of digital transformation in the retail industry!
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