How unifying data improves shopper experiences

Transforming the customer experience requires a solid foundation of data that is accurate, accessible, and secure. A strong data estate also helps future proof organizations, letting you realize the full potential of the latest technology innovations, like AI, and ensure a unified and effective experience across the customer journey.

Retailers collect vast amounts of data from multiple sources—inventory and staffing, product development, sales, marketing, and more. By unifying this data, retailers can better understand customer preferences, anticipate their needs, and provide memorable shopping experiences that build loyalty. Meanwhile, consumer goods (CG) companies can better monitor manufacturing equipment to reduce downtime, monitor supply chains, anticipate new product trends, and better meet customer needs. It also effectively boosts revenue and balances costs by providing business leaders with insights that drive better decision-making and resource management.

Data challenges holding organizations back

Gaining a unified view of data comes with several key challenges. Fragmented data is a common cross-industry challenge for both retailers and CG companies. Retailers pull omnichannel data from various sources, including e-commerce sites, in-store sales, social media, supply chain systems, and customer service interactions. For consumer goods companies, data comes from research and development (R&D), marketing, sales, industrial equipment (including sustainability data), and supply chain management tools. All of this data is scattered across many sources and comes in a variety of formats, making integration a complex and time-consuming task.

The result? Disconnected insights that prevent business leaders from making timely, informed decisions.

Without a unified data source, retailers struggle to understand customer preferences, predict shopping trends, or manage inventory accurately, while CG companies face machine downtime, supply chain disruptions, and extended product lifecycle management cycles. This lack of cohesion hinders business growth, as it’s harder to provide personalized offers or stock the right products. It also affects profit margins, as data silos lead to inefficiencies and redundancies that could be eliminated.

On top of that, fragmented data can weaken customer loyalty when the shopping experience becomes inconsistent and lacks personalization. It also makes it harder for customer-facing employees at all levels to access, manage, and store information accurately, raising security and compliance concerns.

In retail, consider a furniture store as an example. A shopper browses the website, showing interest in specific items and adding a few to their cart. Later, they visit the physical store, hoping to see those items in person. However, the store associate has no record of the shopper’s online activity and can’t offer personalized recommendations. Frustrated by the lack of connectivity between the online and in-store experiences, the shopper leaves without purchasing, impacting revenue and customer loyalty.

In consumer goods, a company operating large factories might struggle to track real-time performance and maintenance needs without connected data on equipment. When a machine breaks down, production halts, causing costly delays. By integrating real-time data into a unified system, the company could better anticipate issues, schedule preventative maintenance, reduce downtime, and improve efficiency and profitability.

These challenges can significantly hinder growth for retailers, CG companies, and those in both categories. For retailers, the disconnect between online and in-store experiences can lead to missed sales opportunities, customer frustration, and diminished brand loyalty. For CG companies, the inability to accurately forecast demand, track sustainability data, and gain actionable insights creates inefficiencies that hurt profitability, reputation, and competitiveness. Ultimately, the lack of a unified data strategy stifles growth by preventing companies from making informed decisions, optimizing operations, and delivering seamless customer experiences.

Using data to create seamless, connected customer experiences

Fragmented operational data significantly impacts the customer experience, and retailers and CG companies need a comprehensive data estate to remain competitive and meet growing expectations.

A unified platform for data helps consolidate all relevant data into a single source of truth, providing a 360-degree view of the business and its customers. This robust data foundation enables businesses to integrate AI and other advanced technologies to be better equipped to unlock insights, enhance personalization, and optimize the customer journey.

A comprehensive data view also allows retailers to anticipate better and meet customer needs. Returning to the furniture store scenario, imagine if the shopper’s online purchasing history was available to the in-store associate. When the shopper arrives, the associate can seamlessly guide them to their preferred items in the store and even offer a relevant promotion.

In the CG scenario, having a single source of truth for data would make it easier to predict maintenance needs for equipment, reducing costly downtime and ensuring production stays on track to meet demand. In both scenarios, bringing data together helps create a more seamless, responsive experience that drives customer satisfaction, operational efficiency, and overall business performance.

Activating the power of data across your retail organization

The value of data unification goes far beyond the retail stores and the factory floors. A single, unified data platform also simplifies data access and management across the organization. Whether employees are in brick-and-mortar locations, in headquarters, or working remotely, they can securely access relevant insights, enabling better decisions at every level and enhancing operational efficiency.

The advantages of data unification extend beyond front-line operations, providing significant benefits for both leadership and IT teams.

Empowering leaders and executives with insights

Unified data platforms equip C-suite executives with real-time insights into customer behavior, purchasing trends, and inventory movement. These tools enable leaders to:

• Make strategic, data-driven decisions that drive revenue growth.
• Identify high-performing products and emerging market demands.
• Pinpoint new revenue streams, such as personalized service offerings or targeted loyalty programs.
• Allocate resources effectively, focusing on impactful areas like expanding popular product lines or enhancing store layouts based on foot traffic data.

Unlocking advanced capabilities for IT teams

A consolidated data foundation for IT teams opens doors to innovative technologies that enhance customer experiences. With comprehensive data at their disposal, IT teams can:

• Implement AI-powered solutions like intelligent product recommendations and predictive restocking alerts.
• Develop sophisticated digital tools like web-based concierge services to offer real-time personalized assistance.
• Ensure seamless, efficient customer interactions that strengthen satisfaction and loyalty.

By harnessing the full power of your data, your organization can empower all employees to make more data-driven decisions, enhance operational efficiency, and improve customer experiences.

Transform a strong data estate into innovation

In today’s shopping landscape, you most likely have all the data needed to serve your customers better than ever before. You can turn that data into clear and actionable insights with a robust strategy and the right technology solutions. A unified data platform lets you harness the full potential of your information, helping you streamline operations, improve customer experiences, and drive growth.

For a deeper dive into how unified data can transform your business, check out our comprehensive e-book. To learn more about how Microsoft solutions help businesses drive efficiency and growth, visit Microsoft Cloud for Retail and learn more about Microsoft for consumer goods.

Register for a no-cost Microsoft Fabric trial to organize and unify your data and begin unlocking its true potential.

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Source: Microsoft Industry Blog