The role of “Internet of Things” and “Big Data” in retail

Thursday, 17 March

Stefania Cappiello

The retail landscape is changing Pure-play online retailers

The consumer is changing Digital consumer

The customer journey starts online

Use of mobile device in purchase process

Bring the shop online Click & Reserve, Click & Collect

Bring the webshop to the shop In-store e-commerce

Omni-channel strategy Consistent customer experience across integrated channels (shop, web, mobile,…)

Omni-channel fulfilment

The new retail reality Retail challenges

Enrich customer shopping experience

Enable operational efficiency

How to reinforce customer loyalty? • Close to the customer • More customer interaction

How to survive competition? • Pure-play online retailers • International players

How to keep control on cost & margin and yet innovate and grow? • Make omni-channel strategy profitable

Fluidshopping: 6 value proposals

1. Customer interaction

2. Know your customer

3. Mobility & in-store experience

Enrich customer experience

Enable operational efficiency

4. Internet of Things

5. Secure Retail

6. Connected Store

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Enrich customer experience

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Enable operational efficiency

Internet of Things for retail

9

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Internet of Things

1. Asset tracking track & trace of assets (packages, shelves, pallets, shopping carts)

Filling the gap in mobile connectivity

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Power

Range

We invest in our networks to connect objects with the best technologies…

Source: Machina Resarch

Number of connected objects in the world in Bio (2012-2020)

70

60

50

40

30

20

10

Wired

SIM based

SIM less

(Short range,

LPWAN, etc.)

1

2

3

The connectivity

• long range (+10kms) with deep indoor coverage without consuming too much power (>5 years battery life)

• Narrowband in complement to SIM based

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Sensitivity: Confidential

12

Internet of Things (IoT)

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1. The Thing

objects & sensors that send/receive data

2. The connectivity

to transport data

3. The application

creates the value (combines data, puts logic in it, can act on object, …)

Smart tracking @ swissport

14

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Smart tracking @ swissport

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Internet of Things

1. Asset tracking track & trace of assets (packages, shelves, pallets, shopping carts)

2. Smart Parking

3. Smart Locker

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Smart Locker

21

Smart product scan

22

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Internet of Things

1. Asset tracking track & trace of assets

2. Smart Parking

3. Smart Locker

4. Smart thermometer monitor refrigeration units

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Internet of Things

1. Asset tracking track & trace of assets

2. Smart Parking

3. Smart Locker

4. Smart thermometer monitor refrigeration units

5. Smart building energy monitoring & facility management

Smart Data for retail

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Customer analytics via Smart Data

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Call, SMS, surf, Location updates: 900Mi data points/day

We aim to improve accuracy by using special Big Data techniques: 4500Mi data points/day

… we catch location info from all customers on a 24/7 basis

… we are able to build an anonymized ‘digital footprint’ for all mobile devices.

Each time we call, sms, surf on the web with our mobile phone … … Proximus captures the contextual information or location coordinates.

Behind the scenes, building blocks of Proximus Analytics…

1. Data Sources & infrastructure

3. Solutions

2. Algorithms & privacy

… Proximus Analytics Platform Privacy

Algorithms

Privacy by design

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We provide you with rich insights only based on anomymized and aggregated data and thus fully respect our customer’s privacy

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Solutions so far …

Event Analytics Visitor Analytics

Event – visitor overview Service optimization Event improvement

Cities – visitor overview Insight into activities Approach optimization

• Is my store located on the right location? • How many people come around my store… but never come in? • What is the most likely living and working place of passing

crowd? • How many potential buyers come nearby a specific area? • How many potential customers come from abroad?

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Smart Data for retail

What’s next?

Shop location Supermarkets, Chains, Hotels, Restaurants, …

Importance of location

Femto-cell

Journey Analytics Traffic insights in a city

Smart mobility

Policy optimization

Real-time

Crowd Management

Heatmap

…

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We enable enterprises and governements to take critical business decisions in disruptive new ways. We provide insights and recommendations built on facts rather assumptions.

Making locations talk

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35

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Thanks!