Customer analytics enables you to convert your data into something you can use it is the combination of hard science and common sense that makes your data truly valuable. It also explains why and when your customers buy. It is the opposite of being passive and reacting to customer behavior and is essentially active marketing where every step has been analyzed and every objective is rooted in relevance. It is mostly done with the objective of gaining insight into customer behavior. In a business getting a clear picture for the customers is necessary for the business to survive and thrive.
It helps to deliver specific analytical techniques that help people understand and drive decisions related to customer profitability. Depending on the combination of variables including geography, demographics and other behavioral distributes. The benefits are numerous such as creating a single view of the customer, increasing revenue, reducing marketing costs and uncovering new sales opportunities.
Developing a strategy is essential to identify segments that matter and understand behavior of the customers formulate decisions that will impact customer loyalty and profitability positively. It refers to the collection, management, analysis and strategic leverage of the firm's data about the behavior of its customers. It can be characterized as something that must be conducted at an individual level; it must be forward looking, broadly applicable to consumers, donors, physicians etc and multidisciplinary spanning subjects such as computer science, information systems, and computer science.
The objectives are promoting development of new analytical methods that are both relevant and helpful and know what the customer will choose and when so that the right business decisions can be made. It can tell you what the customers want the most, it becomes possible then to fashion a product that suits customer requirements. It helps in strategic decision making it and when used cleverly enables businesses to reach higher returns.
Only if there is knowledge regarding your customer's real desires then only can you use that knowledge well in you retail processes. The ultimate goal is to retain customer loyalty. Other goals would be get visibility of the customer, understanding the needs of the customer, their spending patterns and what they prefer, being able to predict a customer's response to certain marketing objectives, the ability to predict when a customer will stop shopping with the brand and switch over to the competitor's brand. Customer analytics can prove to be invaluable in achieving these objectives.