This document discusses using predictive analytics for retail businesses. It outlines using store clustering and RFM (recency, frequency, monetary) analysis to develop predictive models. Store clusters would be used to design customized planograms and segmentation strategies. RFM would analyze active and expired customers to develop targeted strategies like offering discounts or new products to high value customers or win back lower value, expired customers. The overall goal is to use predictive models to improve planogram performance, customer retention and reactivation, and sales.

1. Predictive Analytic
for Retail Business
By
Mr. Witsanukorn Phuimoontree
GM Business Intelligence Management

2. Agenda
 Store Cluster for Planogram Application
• RFM
• for Active Customer
• for Expired Customer

3. Retailer

4. Retailer

5. Retailer

6. Retailer

7. Retailer

8. Retailer

9. Retailer

10. Retail Analytics
Descriptive
analytic
Inquisitive
analytics
Predictive
analytics
Prescriptive
analytics
Pre-
emptive
analytics
What happened
When ?
What It happened
then ?
What will happen
When I change the
Process ?
What should I
have to change ?
What can I
Do/change
more?
Information
Insight
Decisions
Actions

11. Data Process
 Data Collection
 Data Cleansing
 Data Mapping
 Explore Data
 Analysis Data
 Algorithm
 Build Data Model
 Testing &
Evaluation
 Discussion with
Business Owner
 Action
Adjust model
Deployment
Make
Decision
Build Model
&
Evaluation
Data
Explore
Analysis
Data
Preparation

12. Store Cluster
for Planogram Application

13. Store Cluster
Store Cluster for Planogram Application
Planogram View
Cluster#4
#4
Cluster#3 #3
Cluster#2
#2Cluster#1
#1

14. Planogram Performance
Planogram View
#1
#2
#3
#4
Cluster#1
Cluster#3
Cluster#3
Cluster#2
Store Cluster
Planogram Performance Monitoring

15. Benefit
 Design Planogram for Store Cluster Characteristic
 Design Planogram View base on Store Cluster & Store Character
 Control Planogram View base on Store Cluster
 Set up Design and support Planogram

16. RFM
for Active Customer
& Expired Customer

17. RFM for Active Customer
#1
#2
#3
#4
#5
#6
#7
#8
#9
High Value
Normal Value

18. RFM for Active Customer
#4
#5
#6
#7
#8
#9 Normal Value
#1 High Value
#2
#3
Strategy Support
 Set up Call center Team
(High skill) for Support
Sales & Service
 Offer Discount &
Promotion change
segmentation
 Communication New
Product & Service
 Convert Sales by Calling
to Procurement Systems
(High Expect)

19. RFM for Active Customer
Strategy Support
 Set up Call center Team
(Medium skill) for
Support Sales & Service
 Offer Discount &
Promotion for change
Segmentation
 Communication New
Product & Service
 Convert Sales by Calling
to Procurement Systems
#8
#9 Normal Value
#1 High Value
#2
#3
#4
#5
#6
#7

20. RFM for Active Customer
Strategy Support
 Set up Call center Team
for Support Sales &
Service
 Offer Discount &
Promotion for change
Segmentation (No
Expect)
 Communication New
Product & Service
 Convert Sales by Calling
to Procurement Systems
(No Expect)
Normal Value
#1 High Value
#2
#3
#4
#5
#6
#7
#8
#9

21. RFM for Expired Customer
#9
#8
#7
#6
#5
#4
#3
#2
#1
Change Service ,
Change Brand
Re Active

22. RFM for Expired Customer
Strategy Support
 Set up Call center Team
for follow up , offer Sales
& Service
 Offer Discount &
Promotion repurchase
 Convert status Active
 Communication New
Product & Service
Change Service ,
Change Brand#9
#8
#7
#6
Re Active
#5
#4
#3
#2
#1

23. RFM for Expired Customer
Strategy Support
 Set up Call center Team
for follow up
 Offer Discount &
Promotion repurchase
or active
 Communication New
Product & Service
Change Service ,
Change Brand#9
#8
#7
#6
#5
#4
#3
#2
#1 Re Active

24. RFM for Expired Customer
Strategy Support
 Set up Call center Team
for follow up
 Offer Discount &
Promotion repurchase
or active
 Communication New
Product & Service
#7
#6
#5
#4
#3
#2
#1 Re Active
Change Service ,
Change Brand#9
#8

25. Q&A

26. Contract
E-Mail:Witsanukorn.ph@gmail.com
Line : Witsanukorn.ph