Transaction data can reveal a lot when it comes to market revenue impacts within an industry. With granular reporting, the data paints a compelling picture about how much consumer spending behaviour has evolved over a given period of time – and how both brands and consumers are adjusting their shopping habits accordingly.
With the power of ResTech (Research Technology), businesses can tap into a variety of data sources to build an in-depth consumer profile — from who they are and what they need, to how they think and behave. And of the many tools and resources available to deepen your understanding of your customers, transactional data has become one of the most valuable data sources shaping today’s retail and e-commerce world.
Here are three reasons why transactional data is the new black:
1. It strengthens your understanding of consumer behaviour
Transactional data is a gold mine of consumer behavioural data— it shows you what customers actually do (not just what they say they do). With this type of rich data you can build a well-rounded, holistic understanding of your customer spending behaviour – from their average basket size and how often they spend, to what other brands they purchase from. All of these components work together to bring a full picture of your customer. By understanding these behaviours you can create a targeted strategy to not only add more value to their consumer journey but also increase your brands market share within your industry category.
2. It provides category-level insights and market size analysis
With the right transactional data set, you can understand how your brand performs within your industry category (EG retail, alcohol, fast food).
As many brands have no way to benchmark their results, except against themselves – category-level transactional data can provide that context across various brand level performances- allowing you to identify where your brand sits within an industry landscape.
This type of insight not only allows you to benchmark your brand performance against a category (rather than solely on past performance), but it also helps you to gauge market share and size and find new ways to gain a competitive advantage all the while doing so.
3. It improves your marketing spend strategy
The value of transactional data exceeds personalised marketing initiatives – it adds a layer of robustness to your overall marketing process – by showing you how best to target specific customers and consistently improve campaigns based on previous results.
With real-time data reporting, your marketing campaign can stay one step ahead of the competition – in particular when launching a new product into the market, where the success of that initiative can be almost instantly evaluated.
Transactional data does more than just show you where and how much consumers are spending. It provides a wealth of understanding into the consumer mindset and what drives their purchasing decisions on a daily basis. Furthermore it informs your business strategies, allows you to assess your marketing performance, and ultimately gives you the tools to build better customer-brand relationships.
Find out more about our unique-in-market offering, Audience Intelligence. Get in touch with one of our experts today.
