The nimble flying fish propels itself out of the tropical seas to escape the snapping jaws of predators below the waves. Yet in its flight for survival, it risks falling prey to seabirds circling overhead. Caught between competing threats above and below, it must constantly navigate a precarious balance.
Australian shopping centres find themselves in a similarly fraught ecosystem. On one side, rival centres and new developments fiercely compete for the same customers, each promising bigger, better, and more enticing offerings. On the other, the relentless rise of online shopping looms, a predator of an entirely different kind, shifting consumer habits and eroding foot traffic. Like the flying fish, shopping centres must be ever-vigilant—rising above local challengers while navigating the daunting digital landscape. The stakes are high, and failure is not an option.
The Role of Customer Analytics in Retail Survival
In this hyper-competitive environment, success requires more than just a stellar leasing, marketing, and management team. It requires the support of a forward-thinking owner willing to invest in keeping the centre relevant and compelling to customers. But even the most talented teams need a critical tool to succeed: customer data.
Major competitors in the retail space—both online and offline—spend millions on customer analytics, leveraging insights to optimize performance and drive sales. For smaller players, this creates a widening gap. Data isn’t just an asset; it’s the competitive edge that determines who thrives and who falls behind.
Loculyze: Empowering Centres with Data
This is where Loculyze steps in, democratizing data science for the shopping centre sector. Powered by billions of mobile signals from our partner Azira, and a host of 3rd party data sets we’ve developed loculAI, the most advanced customer behaviour model of Australia’s retail landscape. This cutting-edge platform doesn’t just analyze how customers currently behave—it also predicts how they’re expected to behave. The gap between observed and expected behaviour represents opportunity, and it is in this space that we help our clients grow.
At the heart of our analysis lies the loculyze GRO score, a simple yet powerful metric that reflects our philosophy:
Gain new customers
Reactivate lost customers
Optimize engagement
The GRO Score: A Roadmap for Growth
The GRO score is more than just a headline metric; it’s a roadmap for action. Here’s how we apply it:
Gain New Customers: We identify suburbs and customer segments where observed performance lags behind expected performance. This is where the competition is outperforming, and represents opportunities to grow the customer base.
Reactivate Lost Customers: By tracking year-over-year changes in sales contributions, we reveal the suburbs and segments where reactivation efforts will yield the highest returns.
Optimize Engagement: Analyzing dwell time and visit frequency, we pinpoint where customer engagement is beginning to decline, allowing teams to intervene proactively.
Studies show it can cost up to seven times more to acquire new customers than to win back lapsed ones. So by quantifying opportunities in each suburb and segment, Loculyze ensures our clients can focus their investments where they’ll achieve the greatest return.
Turning Insights into Action
Armed with the GRO score and Loculyze’s supporting insights, asset teams gain a unified view of performance and direction. They have the data they need to strategize effectively and employ their talents to their fullest potential. Bringing in the tenants, targeting the customers and maintaining relevance with their trade area.
In the challenging waters of Australia’s retail landscape, data-driven insights aren’t just a competitive advantage—they’re a necessity. With Loculyze, shopping centres can rise above the fray, turning challenges into opportunities and ensure their continued growth.
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