The retail industry is undergoing major change after pandemic. Increasing e-commerce weight, continued strengthening of competitors, demographic shifts and massive restructuring of major legacy channel segments are creating a major disruption to the retail industry.
Achieving top line growth is a challenge for many businesses. Today, retailers need to objectively evaluate their roles and value propositions and prioritize the strategies ― both refinements and bold moves ― required to win in the future. Arihant Information Systems consulting combines deep industry expertise, fact-based insights, and sophisticated analytics to identify solutions to complex issues and to build confidence among management teams so they can take informed strategic action. Retailers partner with us to deliver strategies that drive growth, create competitive and valuable advantage, unlock profit and mitigate risk.
Benefits For Our Retails Partners
We work with all kinds of clients across a variety of strategic issues to deliver actionable insights that lead to high-impact results.
- Pricing and Promotion
- Store experience
- Store portfolio optimization
- performance improvement
- Strategic consumer segmentation
- Edge expansion
- New categories and services
- Commercial due diligence
- Post merger integration
- M&A synergy assessment
- M&A strategy
- Digital evaluation
- Digital strategy and transformation
- Customer experience
- Channel strategy
Are you ready for your next digital transformation?
Why We Are In Retail
How we achieve customer segmentation
- Demographics & socioeconomic factors
- Attitude & psychographics
- Customer mission.
- Demographics and socioeconomics: This is the traditional segmentation models; however, while customers may share attributes such as gender, age and income, in practice they make decisions in different ways and purchase different products.
- Attitude and psychographics: Consumers’ attitude and psychographics ― how they define themselves, what they believe in and how they approach decisions ― are key factors in how products and brands resonate. Also, customers’ prior behaviors can supply proof points of how demographics and psychographics have driven past decisions.
- Customer mission: This is the dimension most segmentations leave out. A mission is a customer’s specific context and need at the time of purchase ― two aspects that evolve from purchase to purchase. This is especially true for categories where customers make repeat purchases under different circumstances, e.g., in hospitality, food and beverage, and personal care. By understanding customers’ missions, you can target the same individuals more precisely, using unique messages and products across all of their buying occasions.
Client first approach for building the necessary fact base to inform sound growth strategy. A deep understanding of the consumers in your addressable market must play a central role in determining the right strategies for driving growth and value.
- Who are (and are not) your target consumers? What are the attitudes and behaviors that define them?
- What percentage of spend do they represent?
- What is the customer journey and decision-making process that drives when, where and how they shop?
- How are you and your competitors positioned with these consumers today?
- Where are you advantaged and disadvantaged on a relative basis?
- Where does your brand have permission to play?
We support consumer insight with an objective view of internal factors (areas that are largely within a company’s control) and external factors (areas that are more or less determined by the marketplace) that define the realities of each client’s marketplace and their relative position in that marketplace.
We guide business by deploying a proven performance improvement approach, leveraging powerful industry and functional knowledge to design, plan, develop and deliver cost and performance improvement programs.
- Costs: Costs should be proactively managed and treated as a portfolio of investments that provide a return to the firm, some of which can be reduced aggressively without harming strategy, and others which should be protected. Although lowering total overhead cost is one, often appropriate, organizational goal, significant value can be created by shifting the mix of overhead investments away from "utility-like" costs and into core capabilities that support strategy execution.
- Philosophy: While previous experience informs the starting point, the correct solution is deduced from the data. The evidence base is collaboratively built with and shared with client personnel.
- Delivery: We drill down from findings of what and where the improvement opportunities are to a delivery plan, and we have extensive experience in supporting the implementation of improvement programs.
- Collaborative approach: We understand that achieving results requires engaging with those who “do the work.” We will do the vast majority of work at clients' sites, and with the client – but we will not be captured by ‘old thinking.’ We will be respectful but challenging.
- Track record We have successfully delivered multiple organizational cost reduction transformations, with savings consistently in the range of 15-25%.
Our approach is generated in the development of a client-specific fact base, generated by sophisticated analysis of historical promotional activities and outcomes.
- What roles do promotions play within a client’s business?
- Are promotions delivering on their intended roles?
- Which promotion types have been value accretive versus destructive? How does this vary by consumer segment, market and store type, channel, season, etc.?
- Which product categories are most versus least responsive to promotional activity?
- What are the optimal frequency and depth of promotions?
- Which promotional types should be diminished, stopped, altered, increased?
Based on these facts, we create a customized playbook to drive promotional strategy, accompanied by a “test and learn” program to further refine key promotional tactics over time. We also help clients institutionalize the learnings and processes required to operationalize the strategy.