Retailers can learn about their cus-tomers not only through their ownresearch but also by tapping into thewealth o knowledge that their suppli-ers possess. As vendors, or the mostpart, o other people’s brands, retail-ers have had ew reasons to make thehety investments in R&D or xedassets that sustain both the superior strategic planning and superior inno- vation capabilities o consumer prod-ucts players. But by collaborating withmanuacturers, they can gain accessto these players’ broad, cross-categorycustomer insights—and vice versa.Indeed, both parties can benetrom shared insights. One largeretail drug chain, or example, hasused a third-party tool that developsa 360-degree, multichannel view o its customers by integrating online,mobile and in-store data.By sharing consumer data witha manuacturer, this retailer hasilluminated opportunities to createproducts that more perectly meetconsumer needs. And together withone o its suppliers, the companyhas developed a testing approachto ensure it gets products right be-ore distributing them.Collaboration can be an especiallyattractive option i a strategic gap inthe marketplace has been identiedbut the retailer is unsure about howbest to ll it. This could meanpushing a private-label option, or example, or deciding to rely onnational brands (see sidebar, page 4).ary market research—not enough todevelop the holistic customer viewthey need to create highly relevantoerings. But by supplementing their point-o-sale data with primary re-search and predictive analytics, theywould be able to segment customersinto more robust behavioral proles,incorporating not only today’s corecustomer base but also the shopperswho will drive tomorrow’s growth.Consider one large airline, whichhas leveraged analytics to optimizemarketing campaigns, reduce churnand build richer dialogs with keycustomers.The company’s satisaction surveys,or instance, solicit customer eedback on such critical issues ason-time departures and the lengtho check-in lines, as well as perspec-tives on in-fight entertainmentand service.The surveys have helped the compa-ny’s strategy team determine just howand where to innovate the customer experience. And not only or thosewith rst-class tickets—thanks to itsintense customer ocus, the companywas one o the rst airlines to recog-nize that passengers in
classesappreciate a little pampering. Bybeing an early adopter o personalTVs or every seat, as well as allow-ing passengers to use onboard SMSmessaging and personal electronicdevices with a “sae fight” mode,the company developed deep cus-tomer loyalty.
2. How can we earn the trust andloyalty of consumers by makingtheir lives easier?
they can help relieve the pressuresand rictions o everyday lie havegained signicant competitiveadvantage. PetSmart, or example,Today’s customers place a high value on oerings that make their lives easier. And retailers thatleverage analytics to discover how