Essential strategies for leveraging consumer insights to enhance growth and retain customers

Contemporary customers want to get high-quality experiences that come with goods and services in the current competitive retail market.

Customers, especially the ones that sell packaged goods, can receive helpful information from data and consumer insights to go above and beyond what customers can expect. Customer insights are a great way to know your customers and how to beat your competitors. 

If you don’t know why, then keep on reading. We’ll try to reveal all the necessary issues connected with consumer insights’ importance and how to use advanced tools like Cash Flow Frog to get the most out of your customer data.

What are consumer insights?

Consumer data, behavior, and feedback are all components of consumer insights, and if you are looking for ways to boost your product development and customer service, it’s mandatory to collect and analyze these consumer insights. They present a full picture of customers’ behavior, thanks to which you can understand what they buy and their feelings as to the goods you sell.

To get these customer insights, you can use data from reviews, purchase records, customer service, market research and even mood analysis.

 Why are consumer insights important?

Having knowledge about their customers, companies can tailor their services and goods to meet their customers’ expectations and, as a result, increase sales. According to Microsoft, the companies that use data received about their customer’s behavior and their decisions improve their sales by 55% compared to their competitors. As a result of such consumer insights importance, they develop new marketing strategies, create better customer journey maps, offer more products, as well as create ‘personas’ for each customer. 

 Advantages of using consumer insights

Thanks to customer insight software, companies can improve customer interactions, understand the connected clients, and reach great results. Retail data and consumer information are rather healthful for companies that make consumer package goods (CPG) in different ways, including:

  • Predict churn: Think about your future sales and develop your customer service to keep customers from going.
  • Increase the total value of each customer: You won’t get profits if the client term value goes up.
  • Give each customer a unique experience: Make accurate predictions of inventory required to reduce the amount of extra stock and markdowns.
  • Plan your supplies better: Accurately predict how much product you will need to keep markdowns and extra stock to a minimum.
  • Targeted Promotions: Using past purchases by customers, offer some custom promotions. This will help you increase your margins by up to 60%.
  • Find the best prices for your products: If you set prices based on what customers are ready to pay, you can avoid losing money because of wrong pricing.
  • Making smart market choices: Analyze customer and sales data to determine new market possibilities and close the directions that don’t work. 

 Consumer packaged goods data and consumer insights

Company leaders and consuming goods merchandise managers must use the data they receive to make informed decisions. They receive these data from consumer package goods (GDP) data analytics. With the help of these predictive tools, they provide helpful information by gathering data on sellers, products, clients, and business in general. There are two main types of consumer packaged goods data.

  • Observational data are the things that reveals what’s in the store, the amount of sales or stock, the information about the competitors and customers behavior, as well as other similar things.
  • Sales data provides clear details on the number of products in-store and the ones that were sold, how often they were bought, how well they did compared to other products and other related measures. 

 How do CPG data analytics improve efficiency?

The right use of consumer package goods (CPG) data can result in changes in various areas of business. Retailers and CPG companies can use data analytics in several ways to make their businesses operate without problems:

  • Guess the plans of customers and plan ahead: When you look at past customer data, you can precisely forecast customers’ behavior in the future, and this will help you plan your production sales and inventory.
  • Make sure that key retailers follow the rules for displays: If you use data from various stores’ data analytics, it’s possible to identify the cases that don’t follow the rules. This is a chance to fix the screens in order to improve sales. As a result, you can get up to 193% more sales.
  • Keep an eye on KPIs and reach your targets: Key performance indicators (KPIs) are significant for success and can be found with the help of data analytics. In this way customers can focus on better performance and achieving company goals.
  • Keeping track of inventory: Thanks to predictive analytics, you can handle CPG data analytics supplies by examining things like past trends, expected demands, different special events and weather conditions.

 Customer insight use cases

Generally, companies concentrate on individual relationships with clients and apply marketing efforts to keep customers and develop their business at the same time. For instance, 

  • ELOQUii succeeded to find a new market niche through custom data. 
  • Wayfair enhanced its mobile app to get customers more interested in their products. 
  • Kidiliz Group offers to make sales choices in real-time using information about the customers and keeping up with industry trends.

How to get started using customer insights

In order to use customer insights efficiently, you are to set realistic goals and understand where the data comes from, how it is gathered, and how it is used. Data control checks whether the data is secure, accessible and of the top qualities. Companies should have a definite plan as to the usage of the data and get customers from different places involved to obtain the most out of it for the whole company.

You need to use customer data smartly

If you want to succeed in today’s complicated market, it’s necessary to use customer data, as well as CPG data analytics, in a smart way.

Companies can benefit from their customer data if they apply a data-driven approach and use some advanced tools like Cash Flow Frog. This will lead them to future growth and keep customers. It’s quite necessary for businesses to adapt to quickly changing situations and use the data they receive ahead of the game.