The document discusses how the Internet of Everything (IoE) is causing disruption in the retail industry by enabling new technologies and higher customer expectations. Retailers now need to provide personalized shopping experiences using data analytics to understand customer behavior. While online retailers have leveraged analytics successfully, brick-and-mortar retailers have struggled to understand customers in-store. The IoE provides opportunities for retailers to innovate by connecting and analyzing data from across their operations to gain insights into customer behavior and improve the shopping experience. The Cisco Connected Analytics for Retail solution helps retailers take advantage of these opportunities by providing analytics at the network edge to better understand customers and optimize store performance.

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Innovate or Be Left Behind:
How the Internet of Everything
Impacts Retailers
Technology is changing retail in a huge
way—and the change is happening fast.
For retailers, the Internet of Everything
(IoE) has caused a huge disruption for
traditional retail business models. With
the digital age of social media, mobile
technology, the pervasive use of
applications, and big data analytics,
retailers’ digital strategy and business
strategy are becoming one and the same.
Understanding the Customer
Experience
Consumers now want a more
personalized shopping experience that
provides value and convenience. They
want to get what they want, when and
how they want it. Consumers also have
more choices and more ways to interact
with retailers. Their expectations are
higher than ever before. This has
created a huge challenge for retailers
already dealing with high levels of
operational complexity and competition
in their markets.
Online retailers have mastered the art of
using analytics to provide personalized
offers. For brick-and-mortar retailers,
this has been difficult. In fact, most
companies are “flying blind” when it
comes to understanding their customers
in the store.1
IoE Brings New Opportunities
for Retailers to Innovate
IoE provides huge opportunities for
retailers to innovate. Cisco research shows
that retail has high potential value to be
gained by using IoE to gather store
metrics: up to 11 percent or $1.584 trillion
in additional net profits.2
To differentiate
themselves in this new retail environment,
retailers need to use IoE capabilities to
connect store data and translate the data
in a meaningful way with analytics.
The Cisco Connected Analytics for Retail
(CAR) solution gives retailers the ability
to connect structured, unstructured, and
real-time data from the edge of the
network. The Cisco ability to connect
data across the infrastructure and bring
analytics to the edge of the network
allows retailers to take advantage of
all their data assets. They can gain
business insight to innovate faster;
something that wasn’t possible before.
Cisco CAR provides retailers with
actionable insight on in-store shopper
behavior and store operations, enabling
retailers to improve customers’ in store
experiences and boost store
performance. Using sensor data,
CAR uses advanced data science
and analytics techniques,
generating fact-based
information at the right time to
help buyers, merchandisers,
marketers, and store management
better understand shopper behavior to
build enduring customer relationships,
improve conversion, and increase sales.
CAR also provides real-time insight on
store operations to optimize staffing at
checkout for increased efficiency.
By harnessing IoE capabilities, retailers
can gain a competitive advantage by
enabling them to not only differentiate
their brand through better in store
shopping experience for customers but
also reduce costs, increase revenues,
and build strong customer loyalty. To
remain competitive in the age of IoE,
retailers can use their data to innovate
a newer, more personalized shopper
experience.
CONNECTED ANALYTICS
Retail
Offer Your Shoppers’
Next-Gen In-Store
Experience with Analytics
IoE-Enabled Retail Solutions
Offer Rich, Context-Aware
Shopping Experiences
Susie Yuill, Product Marketing Manager, Connected Analytics for Retail
>Fast Facts
•The IoE is causing a huge market
transition for retailers, bringing
innovation opportunities and
tremendous challenges.
•Use of different technologies
has caused a huge disruption for
traditional retail business models.
•Consumers have more choices for
how they interact with retailers, and
their expectations are higher than
ever before.
•Gathering in store metrics has
been difficult for brick-and-mortar
retailers, where IoE provides an
opportunity for innovation.
•To differentiate themselves in this
new retail environment, retailers
must connect retail data and
translate the data with analytics.
Analytics are key for retailers to
gain in-store insight.
•The Cisco Connected Analytics
for Retail solution connects retail
data, providing fact-based
information to help buyers,
merchandisers, marketers, and
store management better
understand in-store shopper
behavior and derive actions to
build better customer
relationships, improve conversion,
and increase sales.
•To remain competitive in the
age of IoE, retailers should use
data insight to improve shopper
experiences.
For more information, visit:
www.cisco.com/go/ca-retail
In-store-Guidance
(Augmented Reality)
Helps locate items on a
consumer’s shopping list
in the store
In-store Advertising
Displays ads and information
about products in the store
Guest WiFi branded
landing page
General In-store Offers
(Digital Signage)
Displays special promotions
available to everyone in the
store
Augmented Reality Reviews
Provides reviews and other
information about the
products being viewed
Special Offers
(Augmented Reality)
Shows customized in-store
offers available for product
being scanned
•Efficiency •Savings •Engagement
In-store Maps
(Digital Signage)
Shows location of a
product in the store and
best route to get there
Checkout Optimization
Provides estimated wait time
for each checkout line
Product Recommender
(Augmented Reality)
Recommends items to
complement product
being scanned, such
as food and wine pairings
Targeted Offers (Digital Signage)
Displays offers on digital signs tailored
to a consumer’s interest and preferences
1
“How Location Analytics will Transform
Retail” by Tony Costa, Harvard
Business Review (March 12, 2014)
2
Cisco Consulting Services 2013