Shifting the paradigm of retail data
Alexander Kayser, CEO & Co-Founder yReceipts
Let’s face it: when it comes to online shopping, retailers have at their disposal powerful tools to understand who their online customers are, where they come from, where they go and more. It allows retailers to tailor experiences, offers, preferences and almost any other imaginable variable.
But while online retail is growing, it still only represents – depending on which reports you want to believe – about 20 per cent of all transactions a traditional high-street retailer generates. Four out of five transactions – 80 per cent – still happen in physical stores.
Of around 24 billion annual transactions in UK brick-and-mortar stores, it is estimated that retailers don’t know who 18 billion (or 80 per cent) of these customers are. Its unimaginable in the online world. In a world of connected stores, devices and consumers, why is the large brick-and-mortar retail world still such a black box when it comes to knowing who your customers are?
While the underlying reasons are still a frightening mix of legacy systems, behavioural challenges and technology fragmentation, one firm has been tackling the problem since 2009. yReceipts is a UK-based technology company with retail clients on all continents, that uses a non-invasive, light-touch software solution to successfully overcome those challenges.
“We enable retailers and their partners and suppliers to build better customer experiences,” says Alexander Kayser, CEO and co-founder of yReceipts. “Our clients use yReceipts to overcome the common challenge of finding out who buys what products, in which stores, when and for how much.”
While yReceipts is not known to consumers, you might have experienced its tech yourself while shopping at Samsonite, Clarks, PUMA and other outlets where you might have been offered a digital receipt at the till. It keeps your wallet or purse paper-free and you can find the receipts when you need them. yReceipts processes several billion dollars of brick-and-mortar receipts every year, and keeps the choice for a digital receipt clearly separate from the marketing consent a customer may give to the retail brand – a key requirement of GDPR, the new EU-data protection regulation.
yReceipts empowers the retailer's digital ecosystem by streaming brick-and-mortar data in real-time to where the retailer wants it. “This means all companies working with retailers using yReceipts can now include brick-and-mortar customer and item-level transactional data in their offerings in real time,” says Alexander. “We see some amazing use cases around the world, ranging from streaming of data into CRM systems all the way to a US company planning to analyse what impact certain in-store background music has on store sales.”
According to yReceipts, one of the key opportunities is enabling advertising platforms such as Google, Facebook and Criteo, as well as agencies and media companies, to measure in-store sales impact of their digital ad spend. “The opportunity is huge. Whatever the buzzword might be at the time, be it offline conversion or online-to-offline measurement, I believe that what we are involved in here has the potential to fundamentally change the traditional concept of campaign planning, advertising and associated commercials and fee structures,” says Alexander. “We are talking about connecting real-world signals and actions to digital advertising spend. I believe that, if advertisers, platforms, tech partners and other stakeholders play it right and keep the customer in the centre of it, this could be the dawn of a paradigm shift in advertising measurement and effectiveness.”