Brick-and-mortar retailers are in a unique position to benefit from the customer’s in-store journey by using heat maps and video analysis. These devices gather and visualize useful data about customer behavior as it relates to store layout and merchandising. The data about specific zones in your store offers you, the retail manager, chances to improve customer experience, increase in-store conversions and, most importantly, maximize profits. In order to make the best use of these opportunities, it’s important to understand how using zone analysis with heat maps and video can help you make the right adjustments to your retail marketing strategy.
Take a Deep Dive into Hot Zone Data
Hot zones are high-traffic areas in a store that are represented by warm colors, such as red and orange, on a heat map. Dwell time, or the amount of time that a customer lingers in an area to shop is also captured. Video analysis supports heat map data by showing what products customers pick up and look at.
Knowing the locations of hot zones in your store helps you optimize both its layout and merchandising for better product placement. You can also utilize this data to evaluate how effective your sale and advertising displays are. Once you’ve identified hot zones, you can fine-tune your marketing mix to enhance the areas that already draw the most customers.
Usually, products that are in-demand, promotional, or seasonal are located in hot zones. But you can also drive impulse sales using the hot zones you’ve already identified if you pair the right impulse item with a popular product in a hot zone. Another way to take advantage of a hot zone is to match a promotional display located there to one at the front of the store.
Warm-up Cold Zones to Increase Conversion Rates
Cold zones are areas in a store that experience low traffic and are represented by cool colors like blue and green on a heat map. In many cases, cold zones will provide clues to the areas of your store that may be difficult for customers to access or poorly lit. Sometimes a product located in a cold zone identified by zone analysis appears to be a poor seller. One way to evaluate this is to move the product to a hot zone to find out if it sells better in its new location.
Although cold zones seem like the least productive part of a store, you can make even incremental adjustments to product display and accessibility to refine those areas. Making these modifications can increase conversion rates in these areas by as little as 1% while improving overall store productivity on a sale by square foot/meter basis.
Used together, heat maps and video analysis are valuable tools to learn about your customers’ shopping behavior so that you can make the most of your store’s layout and merchandising displays. To learn more about zone analysis for your retail operation, contact us today.