360° View and the Seamless Customer Experience v3

7/27/2019 360 View and the Seamless Customer Experience v3

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360 View and the SeamlessCustomer Experience

ARTS International MeetingLondon

June 4, 2013


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Who we are

John [email protected]

Vere [email protected]

Allison [email protected]


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AgendaThe ARTS Customer Lifecycle

Understanding the Customer Value (ARTS KPIs)

The Evolution of the ARTS Operational DataModel and Data Warehouse Model


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Customers The three tasks of retail are to get a consumer

into your store, convert them to a customer byhaving them buy something and make a profiton the sale.

Customer Relationship Management (CRM) isabout figuring out how to influence people

and organizations to buy more things from theretailer.


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Data Warehouse RoadmapProject Track

CustomerExtensions

PromotionExtension

InteractionSocial Analytics

GroundingSocial Analytics

KPI

DW

ODM

XML

BPM Interface Def & CRUD(?)

Narrative

Training Database & Analytics

Factual basis Customer Segmentation Transaction Based Interaction BasedSocial Network

Interactions

ROI Potential Customer ProfitabilityPromotion Analysis /

Profitability Interaction Analysis

Phase 1 Phase 2 Phase 3 Phase 6

Phase 4 Phase 7Phase 5


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The ARTS Customer Lifecycle

A t t r i t i o n


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The Customer


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Customer Characteristics

Demographic Geographic Psychographic

Customer/Segment CharacteristicsCustomer/Segment CharacteristicsCustomer/Segment CharacteristicsCustomer/Segment Characteristics

Behavioral

Customer Retention & CultivationCustomer Retention & CultivationCustomer Retention & CultivationCustomer Retention & Cultivation

Association established through correlation betweencustomer characteristics and customer behavior

customer

actionscustomer

actions


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Retailer Strategies Actionable feedback means

developing KPIs, measures andanalytic methods that tellretailers what changes theyneed to consider to theirbusiness processes (and thestrategies they are executing).

Product/CategoryStrategy

Pricing Strategy

Promotional Strategy

Channel Strategy

Retail ExperienceStrategy

Social NetworkingStrategy

Supply Chain Strategy

Post Sale SupportStrategy

Marketing & AwarenessStrategy

Retailer Strategy(Management's Working

Hypothesis)


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Understanding the Customer ValueA key performance indicator (KPI) is a performancemeasure that is compared against a benchmark or goal.A KPI is differentiated from a simple measurement in thatthe KPI is compared to a desired value.

KPIs are used to assess whether a retail business isperforming well or poorly. Performance measures areused to monitor activity levels and outcomes. Forexample, a query can be defined that produces

information in the form of a KPI metric such as theaverage customer transaction amount for the East Regionlast fall.


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ARTS Data Warehouse KPI Listing KPIs were developed which support the

Customer Lifecycle Paper. Future releases of the ARTS Data Warehouse

Model will add item-specific performancemeasures related to product mix, priceelasticity, brand substitution and related

subject areas.


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ARTS Data Warehouse KPI Listing The spreadsheet is organized to have a worksheet for the KPIs

associated with each release. Each row within the worksheetrepresents an example KPI definition. These are organized aroundsubject areas that are important to the business, such as customerand channel.

The columns within each worksheet include the following: Subject Aspects of a retail business classified into targeted areas of

interest Measure Name a structured way of representing the KPI using the

standard naming convention established in prior releases. Description the business explanation of the formula Question the business question that the KPI is meant to answer Derivation/Formula illustrates the equation used to derive the KPI Unit of Measure the measurement standard (e.g. monetary value,

count, and rate)


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ARTS Data Warehouse KPI ListingSubject Measure Name Question Description Derivation/Formula

11 Customer Customer profit % over timeWhat is the profit as a percentage of salesof my customer over a period of time?

Historical summation of a customer'sprofit as a percent of sales for adesignated period of time.

(SumNetSalesByCustomerByTimePeriod -CostOfGoodsByTimePeriod)/(SumNetSalesByCustomerByTimePeriod)

14 Customer Customer average sales pertransaction

On average, how much does a customer

purchase per transaction for a given periodof time?

Transaction = Total Sales / TotalNumber of Transactions measuredwithin the time period.

Average customer sales per

transaction for a designated period of time. SumNetSalesByCustomer/TransactionCountByCustomer

25 CustomerSalesByProductCategoryByCustomerSegment

What are the defined customer segmentsbuying?

Sales by product attribute for a givencustomer segment over a period of time.

Customer segment is pre-definedusing the customer attributes.Product mix can be defined byproduction attributes or level in themerchandise hierarchy.

SalesByProductCategoryByCustomerSegment

29 Payment

AverageMonthlySales

What are the average sales amounts foreach tender type: cash, credit card,branded credit card monthly? What is theeffectiveness of my branded credit card?

Monthly average $ sales amount bytender type, by tender media brand,for a given PERIOD range.

MonthlyAverage(SumNetSalesByTenderType)

Sample Performance Measure Specification


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Past and future work with KPIs

Sales Inventory Customer Promotion Interaction SocialAnalytics


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Fun Facts(10 minute break)

James Bonds code 007 wasinspired by the author IanFlemings bus route from

Canterbury to London. London is the first city in the

world to have an undergroundsubway system.

80,000 umbrellas are expected tobe lost annually in the Londontube.


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ARTS Interesting Facts

POS log has been downloaded byusers in over 90 countries

There are been over 50,000 downloads of theARTS schemas

Paul Gay gets up at 5:00 am to run a meeting

that stretches from Japan to Germany


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ARTS Technology Standards Context Business Strategy

Governance

Enterprise Architecture

BPM Best Practices SOA Best PracticesXML Best Practices

Business Process Modeling

Services Oriented Architecture

Data Management

Logical Business Services

Web Services Other Infrastructure Architectures

ARTS XML

XML POS

SOA Technologies

ARTS Operational Data Model ARTS Data Warehouse Model

MDM Work flow

Master Data Management Data

Prov ider/Consumer Services


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ODM Versus DWM Characteristics ARTS Operational Data Model (ODM) ARTS Data Warehouse Model (DWM)

Standard Model Reference Model

Designed around third normal form Designed around star schema which denormalizes datastructure

Supplies relational data structure to support on-linetransaction processing

Supplies dimensional data structure to support businessinformation selection, aggregation and analysis

Optimized for speed and data integrity when creating and

updating data

Optimized for end-user accessibility and comprehension when

reading data for reporting and analysis

Data access is through transactional application programs Data access is through a wide variety of analytical toolsets

Data structure abstract and complex with emphasis on dataintegrity and create/update efficiency

Data structure simplified with focus on end-usercomprehension and accessibility

Abstract design principles based on Information Engineeringand IDEF1x relational data modeling methods

Concrete design based on dimensional data design

Large model composed of 663 entities and 4,000+ attributes Simple model composed of12 entities and 245 attributes 245attributes


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DWM History and Deliverables

2010

Version1.0

Sales

2011Version 2.0

Inventory

Planned 2013

Version 3.0

Customer

Data Model Narrative Description Appendix A: Data

Dictionary Appendix B: Entity-

Attribute Mapping List


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ODM History and Deliverables

1997

Version1.0

2011

Version6.1

FIM

Planned2013

Version7.0

Data Model Logical

1) High-Level Overview 2) Entities and Attributes 3) Entity Relationship Diagrams

Near Physical 1) High-Level Overview 2) Reference to every Table and

respective Columns 3) Definition of all Relationships

4) List of Abbreviations Worked Examples


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Whats New In Release 3

Customer allow for analytics based on expanded characteristics, segmentation

and conversion events Business Unit hierarchy functionality updated to allow multiple reporting

structures, and analytics of locations within business units

Time supports multiple calendars

Geo-Location hierarchy functionality updated to allow for multiple reporting

structures

Item hierarchy functionality updated to allow for multiple reporting structures

Channel new dimension to allow for analytics based on transaction touch points

POS, eCommerce, Call Center, etc.


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ARTS Data Warehouse Customer & Sales Data Mart

Item Dimension Tables

Channel Dimension Table

Promotion DimensionTable

Geolocation "Outrigger" Dimensional Tables

Business Unit/Location Dimension Tables

Customer & Household Dimensional Tables

Time Dimension Tables

Sales Fact Tables

BusinessUnitGroupDimension

BusinessUnitDimension

ReportingPeriodDimension

CustomerDimension

GeolocationHierarchyDimension

HouseholdContactDimension

MerchandiseHierarchyDimension

ItemDimension

TenderFact

BusinessUnitGeolocationDimension

ChannelDimension

HouseholdDimension

PromotionDimension

SalesReturnFact

CalendarPeriodHierarchyDimension

CustomerGeolocationDimension

LocationDimension

CustomerLoyaltyProgramFact

RetailTransasctionLineItemCalendarPeriodAssociation

RetailTransactionLineItemReportingPeriodAssociation

CustomerLoyaltyProgramDimension

SamplePurchasedCreditDebitCardSpendData


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Customer, Business Unit and Geolocation Dimensions


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Time, Merchandise, and Channel Dimensions


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ARTS Fact Tables


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Conceptual Diagram for ARTS DimensionsCalendar Reporting Period Promotion Channel Item Dimension Customer

Year Year

Department Market Region

Quarter Quarter

Class Market Area

Month Month

District

Week Week Style

Store Group

Day Day Color-Size

Store

Item Customer ID

Sale/Return Fact

Time Dimensions Non-hierarchical Dimensions

Reporting Day Reference

Retail StoreLocation

Brand

LifeStyle

PostalCode

When?When?When?When? Why?Why?Why?Why? HowHowHowHow ? ?? ? What?What?What?What?

Where?Where?Where?Where?Who?Who?Who?Who?


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Context Model For Data Warehouse Facts, Dimensions,Store Summary Data and Performance Measures

Inventory Data Mart

Customer & Sales Data Mart

SalesReturnFact TenderFact CustomerLoyaltyProgramFact InventoryFact

Inventory Data MartStored Data

Summaries (Cubes)

Customer & Sales DataMart Stored Data

Summaries (Cubes)

Customer & HouseholdDimensions

Business Unit/LocationDimension Tables

Time Dimension Tables

Item Dimension Tables

Channel DimensionTables

Promotion DimensionTables

Cube ACube B

Cube C Cube DCube E

PerformanceMeasures &

KPIs

Portfolio of Performance Measures and KPI's thatconsume summarized and detailed data. Thepeformance measures may, with appropriate

care combine inventory and customer-salesdata cubes.

The intermediate dataaggregation and

summarization discussionapplies to the specification,designa and implementationof the queries and resultantstored summary data (datacubes or simply cubes).

SamplePurchasedCreditDebitCardSpendData


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Customer Conversion


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Customer Behavior


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Wrap Up Look to the ARTS website for updates and the latest

deliverables - http://www.nrf-arts.org/ Join the DW work team! Meetings are held bi-

weekly. We will deliver V3 of the DW by the fall User

Conference and V7 of the ODM by years end inpreparation for 2014 NRF Big Show.

Any questions, visit the ARTS website or contactKaren Shunk, VP of ARTS

[email protected]


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Documents

360° View and the Seamless Customer Experience v3