Increased market pressure from domestic and international competition is causing online and physical commerce to converge. Simultaneously, companies are grappling with the challenge of maintaining profits while engaging clients.
BIG DATA AND ADVANCED ANALYTICS: CASE STUDIES
We can help transform your marketing from a cost center to a profit center with tools such as our ‘best in class’ promotion optimization system.
How does our system help to do this? SafeRock focuses on helping you optimize the allocation of your scarce marketing dollars to increase profits and/or sales. We analyze every promotion for incremental sales and incremental profits over baseline. By doing this we improve the efficacy of your overall campaign, and we also increase store and online traffic, as well as total sales and gross profits.
- A $5+ billion dollar North American retailer wanted to optimize promotions and build a system to continuously improve merchandising and marketing ROI.
- The goal was to improve investment and budgeting decision. This is an international chain of department stores.
- Working with the CMO, CIO, and merchandising and marketing teams, we developed an ROI-based strategy to improve promotion effectiveness. Our joint team designed a cloud-based ‘Big Data’ solution to measure promo effectiveness with extreme accuracy. The system analyzed over 100 million records for 1+ million SKUs, using 500+ simultaneous seasonal models. Our system and algorithms were integrated with Oracle™ and Teradata™.
- The solution delivers precise KPIs that ‘sheds light’ and allows accurate performance comparison across all merchandise categories. Due to its extreme accuracy, our system became the ‘system of record’ for the company. Users include senior management, (CXO, GMM and DMM) and all merchandising and marketing managers.
INCREASED ROI FOR OMNI-CHANNEL: CASE STUDIES
- The specific challenge for this $8 billion specialty retailer with 500+ stores was to improve buyer sales projections and reduce the recurrence of out-of-stock items. Frequent stock-outs of promotional items were turning customers off. This also had impact on supply chain and inventory costs.
- Our approach was to work with supply chain, IT, marketing, and merchants to gather item, ad, and category sales data and use this to evaluate performance. We then built a system for reporting performance at the item, category, and department level. We generated actual vs. forecast measures, ROI, and ad lift. We combined sales data for all promoted items with total sales and entire category sales, as well as item pricing, and promotion analysis.
- Using a coherent strategic plan, we worked successfully across multiple company teams and tiers and then built a powerful system that generated highly accurate forecasts, improved buyer planning, and reduced excess inventory.
OIL & GAS: CASE STUDIES
- A top-rated US energy analyst firm wanted to improve production forecast accuracy for public E&P operators in Lower 48. The challenge was to beat engineering experts using the same data for basins in Eagle Ford, Permian, and Bakken.
- Using public data, we built a unique process using proprietary algorithms that takes well-level monthly oil and gas production data from E&P operators and builds unique models for each well.
- The ARPS model was combined with SafeRock’s algorithms and compared against human engineer-estimated EUR for 1,200+ wells. The system proved so accurate it was subsequently expanded to forecast production for 100,000+ wells.
- The new system proved more accurate than experts more than 60% of the time.
- This was dramatically faster by a factor of x100 for production forecasts for oil and gas and EUR.