THE RETAIL BULLETIN - The home of retail news
HOME
RETAIL NEWS
RETAIL EVENTS
Fashion
Department Stores
Shopping Centres & Retail Parks
Home & DIY
Electricals
Health & Beauty
General Merchandise
Entertainment
Sports & Leisure
Retail Solutions
Food & Drink
RETAIL INSIGHTS
RETAIL SOLUTIONS
ABOUT US
CONTACT US
SUBSCRIBE FOR FREE
Retailers suffering ‘promotion fatigue’

A survey commissioned by Aldata Solution has revealed that retailers are suffering from ‘promotion fatigue’. The retail and distribution improvement software specialist commissioned Martec International to survey more than 130 retail CIOs around the world.

GENERAL MERCHANDISE

Retailers suffering ‘promotion fatigue’

It found that after two years of focusing on promotions,  46% of the retailers surveyed plan to shift their attention to gaining a full view of their customers’ buying patterns in-store, online, and via catalogue.

By implementing a complete 360˚ view of customers and their buying patterns, Aldata says that retailers can reduce both overstock waste and understock gaps, saving costs and improving customer satisfaction across all buying channels.

Allan Davies, CMO of Aldata comments: “The ongoing economic situation has altered the way the retail industry operates and forced a change in tactics in the fight for customer spend.  Promotion management changing from the number one investment priority in 2009, fourth in 2010 and ninth in 2011, is just one example of this change in tactics.”

He continued, “Going forward into 2011 and during the coming three years, ‘promotion fatigue’ will give way to more focus on understanding consumer buying behaviour better and getting a full view of what, how, and where, customers are buying.”

The survey’s other key findings showed that as the cost of raw materials and fuel increased, 39% of CIOs will invest in enterprise demand forecasting to reduce overstocking and optimise the frequency and delivery of supplier orders to meet customer demand, to further reduce transport and wastage costs.

Davies concludes: “The 2011 survey clearly shows that retailers are now prioritising customer knowledge and optimization of their supply chain and demand forecasting over even more promotions. The new competitive edge is enabling customers to buy exactly what they want, when and how they want it and manage the goods flow more efficiently."

 

Email this article to a friend

You need to be logged in to use this feature.

Please log in here

Subscribe For Retail News

RETAIL EVENTS

Retail Human Resources Summit
Retail Human Resources Summit
Wednesday 3 October 2018
The Cavendish Conference Centre, London W1
The 10th HR Summit 2018, The Cavendish Conference Centre, London W1, 3rd October 2018
The Retail Design Summit 2018
The Retail Design Summit 2018
14 November 2018
The Cavendish Conference Centre
The Retail Design Summit 2018
Omnichannel Futures Conference 2019
Omnichannel Futures Conference 2019
6 February 2019
Cavendish Conference Centre, London WG1 9DT
A truly omnichannel offering requires an understanding of customer behaviour across all shopping channels and how this should impact your overall business strategy
Customer Engagement Conference 2019
Customer Engagement Conference 2019
5 June 2019
Cavendish Conference Centre, London W1
The 10th Annual Retail Customer Engagement Summit
National Minimum Wage Breakfast Briefing
National Minimum Wage Breakfast Briefing
20 September 2018
6th Floor 1, St. Martin's Le Grand London, EC1A 4AS
National Minimum Wage Breakfast Briefing