Retailing in a Digital Age: A Data-Driven Transformation
Reduction in Cost and Manpower
Ready to get started?
Company Overview and the Importance of Data
An iconic global fast-food chain has etched an impressive footprint in the history of the fast-food industry. Recognized for offering a foreign-inspired cuisine with a unique American twist, the brand has expanded significantly over the years with thousands of locations globally and more than 350 franchises.
In the era of digital transformation, the company has leveraged data analytics to enhance customer experience and streamline operations. They use data to understand consumer behavior, preferences, and trends, which aid in menu development, promotional strategies, and operational efficiency. The use of data analytics underscores their commitment to innovation and adaptability, securing their position as a leader in the fast-food industry.
Navigating the Data Maze: Top Challenges They Faced
One of their major challenges was a centralized data management system that caused operational inefficiencies. This in turn impacted inventory management, supply chain operations, and overall performance.
Limited data autonomy was also a challenge. Sharing data with the parent company restricted their ability to make independent data-driven decisions and leverage their data assets effectively for business insights and decision-making. It also limited localized decision-making which made it a challenge to analyze local customer behavior, preferences, and market trends.
Due to operating centrally, there was also limited differentiation from their mother brand which hinders competitive advantage in local markets. A lack of agility and innovation with their operations prevented quick responses to market changes and experimentation with new ideas. Specific data insights give companies the ability to develop unique customer experiences, personalized marketing campaigns, or loyalty programs, as opposed to standardized strategies and offering. It enables distinct brand identities that give companies a competitive edge.
Turning Tides: How Eon Unlocked Their Potential
1. Assessment and Modernization Planning
2. Data Warehouses
eCommerce Data Warehouse
We developed a Greenfield Data Vault warehouse for the eCommerce Division, along with creating all Tableau reports to gain insights into customer behavior, product performance, and revenue trends.
Financial Data Warehouse
We transitioned their financial data warehouse into a Redshift environment, previously housed on legacy systems and a traditional data warehousing solution, facilitating better data management and financial reporting.
We executed a shift to a cloud-based AWS platform, ensuring a smooth handoff of data between different divisions of the company and developing a new data warehouse using the data vault methodology. This transition also supported better data management across the organization through modernized ETL processes.
3. Supply Chain Management Systems Modernization
We migrated and updated the supply chain data into Redshift and AWS, and partnered with MicroStrategy to enhance supply chain decision-making capabilities.
4. ETL Transformation
We streamlined the ETL process which led to a remarkable reduction from 64,000 reports to less than 32,000. Through ADEPT, we got a detailed analysis of report usage, identifying over 30,000 reports that had not been utilized in years, thus preventing unnecessary data migration and reducing both transformation and data storage costs.
We also transitioned from a traditional ETL tool to Talend, through automation tools within our technology toolkit. We realized a 50% reduction in cost and manpower and expedited a process that typically would have taken twice the time and resources.
Talend, one of our technology partners, enables the extraction of data from various sources, transforms it into a consistent format, and loads it into target systems or data warehouses. Talend’s graphical interface and extensive connectors make it easy to manage complex data integration workflows, addressing data integration challenges, ensuring data quality, and automating the data pipeline process.
5. Analytics and Reporting Optimization
ADEPT allowed us to identify data patterns within their technology environment and offer MicroStrategy cloud solutions to further optimize data management and reporting capabilities.
Transforming Data Into Profits
Implementing these data solutions brought significant benefits such as:
Access to consolidated and real-time data enabled them to make informed, data-driven decisions. This led to better menu optimization, pricing strategies, marketing campaigns, and operational planning, enhancing customer experience, loyalty, sales, and profitability.
Operational Efficiency and Cost Optimization
Improved data processes and ETL optimizations enhanced operational efficiency and reduced costs. The transition to modern data warehousing and cloud solutions, along with better financial data visibility, led to effective resource allocation, and sustained profitability. The use of automated transformation within our ADEPT toolkit further cut costs and manpower by 50%, causing a significant operational and financial improvement.
Targeted Marketing and Sales
Data solutions allow them to segment customers based on demographics, purchase history, and preferences. More targeted marketing campaigns and promotions result in higher conversion rates and increased sales.
By using data to personalize customer experiences, optimize operations, and deliver targeted marketing campaigns, they gained a competitive edge. This resulted in increased market share, customer loyalty, and brand recognition.
Scalability and Growth
The strategic transition to a cloud-based AWS platform and a Redshift environment for data warehousing provided enhanced scalability to meet the company’s expanding data needs, supporting effective data management across multiple locations and facilitating business growth.
The QSR/retail industry is making substantial strides in advanced analytics and Big Data adoption to maintain competitiveness in the face of growing e-commerce and customer loyalty challenges. A survey by NASSCOM indicates that 70% of companies in this sector are focusing on revenue growth through investments in AI and related technologies.