Alteryx Sample Use Cases. Retail

Alteryx

Sample Use Cases

Retail

© 2012 Alteryx, Inc. 2

Table of Contents

Trade Area Facts ... 3 

Store Cannibalization ... 5 

‘Best Customer’ Trade Area ... 7 

Customer Inclusive Trade Area ... 9 

Product Assortment Analysis ... 11 

Targeted Direct Mail Lists ... 14 

Developing Market Optimization Test Locations ... 16 

Trade

Busines

Once a t that trad

Backgro

Retailers potentia informat merchan departme geograph departme

Answer

Demogra

Actiona

 Trade  Demo

Output

The follo applicati The repo

Area Fac

s Question

rade area is de area?

ound Inform

s need to de l store sites ion can be u dizers and b ents trying t hic and dem

ents both si

Provided

aphic data is

ble Results

e areas can ographic dat

owing is a re ion. ort includes

ts

n

defined aro

mation

efine trade a , and analyz useful for a v buyers deter

to determin ographic inf mple and ef

s provided fo

s

be defined ta is easily p

epresentative

population d

ound a store

areas around ze demograp variety of d rmining prod

e the best n formation fo fficient.

or any given

by radius (m provided for

e sample of

demographic

e, what are t

d existing sto phic data wi

epartments duct allocati next store lo or a market

trade area.

miles/kilome the defined

the report o

cs for define

the populati

ores, compa ithin those d within a ret ion and asso ocation. Bein can make re

.

eters) or driv d trade area

output prov

ed area.

ion demogra

are trade are defined area

tail compan ortment, to ng able to co eporting for

ve time (min a

vided by the

aphics within eas between as. This y, from real estate ombine these nutes) analytic n n

© 2012 Alteryx, Inc. 4

Alteryx Data Utilized

Population demographic data

TomTom data (if drive time is used to determine trade area)

Customer Data Utilized

Store location files

Key Alteryx Tools Utilized

 Trade Area

 Map

 Overlay

 Allocate Report

How it works

User can pick either store number or name as the report parameter.

Store C

Busines

How muc area?

Backgro

As part o location new stor put the n The ‘can order to estimatin example percent o location,

Answer

An estim of a new

Actiona

 A cal decis

Cannibali

s Question

ch of existin

ound Inform

of an expans that is curre re on existin

new store. nibalization consider the ng customer

, if the cust of sales to t , it will tran

Provided

ate of the e w store is cal

ble Results

culation of t sion of whet

zation

n

g store sale

mation

sion strategy ently within

g store sales n effect’ of c e entire fina r movement omer point the potentia sfer a highe

effect on sal culated.

s

the ‘loss’ of her (or whe

s will be tra

y, retail com an existing s in an impo customers to ancial impac

based on pr is closer to l store. Con er percent of

es within an

f business fo re) to place

ansferred if a

mpanies will store’s trad ortant part o o the new st ct. The exist roximity to t the existing versely if th f sales.

n existing sto

or an existing a new store

a new store

consider op de area. Det of the decisi tore must be ting trade ar the existing g location, it he point is c

ore’s trade

g location w e location.

e is opened w

pening new s termining th ion of wheth e taken into rea must be or potentia t will transfe

loser to the

area based

will provide a

within its tra

stores in a he effect of

her (or wher o account in e divided wh

al locations. er a lesser

potential

on the locat

a factor for ade this re) to ile For tion the

© 2012 Alteryx, Inc. 6

Output

The following is a representative sample of the report output provided by the analytic application.

Alteryx Data Utilized

TomTom data (if drive time is used to determine trade area)

Customer Data Utilized

 Current and potential store locations and trade areas

 Current store sales

 Customer locations (if available)

Key Alteryx Tools Utilized

 Spatial Match

 Distance

 Formula

How it works

This module demonstrates a basic cannibalization analysis between two stores. It requires store trade areas for both existing and potential locations, as well as point-of-sale data for the existing location. It divides a shared geographic area between existing and potential locations, and then separates the shared point of sale surface into proximity ranges, based on distance to the existing or potential store location. The sales figures correspond to the

divided surface and are scaled based on proximity to the existing or potential location. The module does not account for any sales that take place outside of the trade area

‘Best C

Busines

How do I

Backgro

Retail sto time in m include a campaign Using me who shop customer

Answer

A trade a a variety

Actiona

 The t multi

Output

The follo applicati

Alteryx

Mapping

Customer

s Question

ensure that

ound Inform

ore trade ar minutes. Wh a store’s ‘be ns and other etrics such a p in a store, rs which are

Provided

area polygon y of marketin

ble Results

trade area p iple analytic

owing is a re ion.

Data Utiliz

data (to com

’ Trade A

n

t a store’s t

mation

reas are typi ile this can est customer

r marketing as Recency,

a trade are e desired to

n that conta ng and sales

s

polygon can c processes.

epresentative

zed

mplete the r

Area

rade area co

ically based be effective rs’ may miss activities.

Frequency,

ea can be co be included

ains the set o s analytics.

be used in o

e sample of

report)

ontains all o

on an arbit e for genera s opportunit and Moneta onstructed th d.

of ‘best’ exi

other workfl

the report o

of my ‘best c

rary value s al coverage,

ies when us ary spend (R hat encompa

isting custom

lows within A

output prov

customers’?

uch as miles a trade are ed for prom RFM) as relat asses the se

mers which c

Alteryx as th

vided by the

s radius or d a that does motional

ted to custo et of a store’

can be used

he basis for

analytic not mers ’s d for

© 2012 A

Custome

 Store

 Custo and d

Key Alte



Poly- Dista

 Summ

 Repo

How it w

The user

 % of t

 Total

 The S

 Thres

Alteryx, Inc.

er Data Uti

e location da omer sales d dates

eryx Tools

Build nce marize

rting tools (

works

inputs the f total custom l sales thres Store ID for shold of num

ilized

ata

data (from a

Utilized

Map, Layout

following ite mers to be in hold for eac which to co mber of store

loyalty prog

t and Rende

ems:

ncluded in th ch customer

nstruct the e visits

gram, for ex

er)

he trade are trade area

xample) tha

ea

t would incllude store v

8 isits

Custom

Busines

How do I

Backgro

Just as w trade are minutes. Some ret other ma customer sales res

Answer

This anal existing c a trade a

Actiona

 The t multi

Output

The follo applicati

mer Inclus

s Question

ensure that

ound Inform

with the ‘Bes ea around a

tail chains c arketing acti

r base, while ults.

Provided

lytic app pro customers w area based o

ble Results

trade area p iple analytic

owing is a re ion.

sive Trad

n

t a store’s t

mation

st Customer store strictl

ould prefer ivities that e e excluding

ovides both which can be

on the maxim

s

polygon can c processes.

epresentative

de Area

rade area co

’ Trade Area ly on an arb to build tra ensure that the outlying

a trade area e used for a mum distanc

be used in o

e sample of

ontains mos

a use case a itrary value de areas use it covers a c g customers

a polygon th variety of m ce of custom

other workfl

the report o

t of its exist

above, it ma such as mil ed for prom certain perc s that may n

hat contains marketing an mer within th

lows within A

output prov

ting custome

ay not be eff le radius or

otional cam centage of t ot have muc

a specific p nd sales ana

he percenta

Alteryx as th

vided by the ers?

fective to ba drive-time i mpaigns and heir existing ch effect on

percentage o alytics, as we age threshold

he basis for

analytic ase a n g n of ell as d.

© 2012 A

Alteryx

Mapping

Custome

 Store

 Custo

Key Alte

 Conve

 Trade

 Summ

 Repo

How it w

The user

 The s

 % of c

Alteryx, Inc.

Data Utiliz

data (to com

er Data Uti

e location da omer locatio

eryx Tools

ex Hull e Area marize

rting Tools (

works

inputs the f store for wh

customer ba

zed

mplete the r

ilized

ata

on data (from

Utilized

(Map, Layou

following ite ich to const ase to be use

report)

m a loyalty p

ut, Render)

ems: truct the tra

ed to constr

program, fo

ade area ruct the trad

or example)

de area

Produc

Busines

How wel

Backgro

Buyers an performs facilitate contribut inventory

Answer

A multi-p inventory

Actiona

 Ident  Deter  Ident

 Use i

ct Assortm

s Question

l did our pro

ound Inform

nd merchan s. Determini e more profi te as well to y and allow

Provided

perspective y data for a

ble Results

tify products rmine oppor tify common dentified po

ment Ana

n

oduct assort

mation

dise planner ng appropri itable buying o overall sal for better in

analysis of p given time

s

s in last sale rtunity for st n attributes o

ositives/neg

alysis

tment perfor

rs need to c ate product g decisions i es, margin, nvestment i

product asso period.

es cycle with tyle/count r of high/low atives to ass

rm in the las

onstantly as t category br in the future and invento

n in stronge

ortment by c

h lowest con reduction

performing sist in buyin

st sales cycl

ssess how ef readth and i e. Identifyin ory turn can er selling ite

category, ba ntribution products g decisions le? ffective thei investment ng products reduce unp ms.

ased on hist

for next sea

ir assortmen depth will that do not productive

orical POS a

ason

nt

© 2012 Alteryx, Inc. 12

Output

The following is a representative sample of the report output that can be provided by the analytic application.

Pareto Analysis with Contribution Points (and supporting detail)

Quadrant Analysis

Alteryx

None

Custome

POS and

Key Alte

 Summ

 Appe

 Form

 Cross

How it w

User sele category

User the the vario

Data Utiliz

er Data Uti

inventory d

eryx Tools

marize nd Fields ula and Mul s Tab

works

ects the data y fields.

n selects the ous break po

zed

ilized

ata (non-agg

Utilized

ti-row Form

a file to use

e analysis ty oints for the

gregated)

mula

(pre-aggreg

ype (dollars analysis.

gated using

or units) an

Alteryx) and

d level (per

d maps the p

r store or tot

product

© 2012 A

Target

Busines

To which prospect

Backgro

Retail co tactic is However efficient company only to t

Answer

Defines a

Actiona

 A list

Output

The follo applicati Alteryx, Inc.

ed Direct

s Question

h prospects w ts should pro

ound Inform

ompanies are to direct ma r to mail the

since many y. Thus the t hose prospe

Provided

and identifie

ble Results

t of prospect

owing is a re ion. A mailin

t Mail List

n

within a give ovide the hig

mation

e constantly ail promotio ese materials y of the pros

tactic with t ects most lik

es the prosp

s

ts to be used

epresentative ng list with a

ts

en trade are ghest return

y looking to e onal materia

s to all pros spects are no the highest r kely to act o

ects most li

d for a direc

e sample of addresses is

ea should pr n for a mail p

expand thei als to prospe pects within ot the type o return on th

n the promo

kely to purc

ct mail camp

the report o also provide

romotional m promotion t

ir customer ects within a

n the area is of customer he cost of th

otion.

chase from t

paign.

output prov ed as an out

materials be o a given ar

base. A com a specified t

s usually not r that purch

e mailing w

the company

vided by the tput.

e mailed? Wh rea?

mmonly used trade area.

t financially ases from th would be to m

y. analytic 14 hich d he mail

Alteryx

Consume

Custome

No specif their targ

Key Alte

 Dyna

 Calga

 Trade

 Suite

How it w

User inpu

User the

Based on

Data Utiliz

er View data

er Data Uti

fic customer get custome

eryx Tools

mic input ary Append

e Area e of Reportin

works

uts the addr

n checks off

n these selec

zed

a at the hous

ilized

r data neces er segment.

Utilized

ng Tools

ress to be an

f the various

ctions, the r

sehold level

ssary, but th

nalyzed.

s demograph

report and a

he retailer s

hic and beha

ddress list a

hould have

avioral varia

are output fo

a good unde

ables that ar

or use.

erstanding o

re of interes of

© 2012 A

Develo

Busines

What loc expansio

Backgro

As retail that fall developi and time For exam stores. W coverage retail ce eliminate locations

Answer

A set of p overlap w

Actiona

 A site

Output

The follo applicati Alteryx, Inc.

oping Mar

s Question

cations shoul on strategy?

ound Inform

chains deve within the s ng detailed e.

mple imagine While testing

e sample, it nter. An init es ‘inferior’ s.

Provided

potential sto with the oth

ble Results

e analyst wil

owing is a re ion. The sup

rket Optim

n

ld be used a

mation

elop expansi same marke location ana e testing the g several poi might be re tial test proc

locations w

ore location her locations

s

ll have a rea

epresentative pporting deta

mization

as a starting

on plans, a t areas. Elim alysis is ben e state of Ill ints in the st edundant to

cess that au would allow t

s that have s.

asonable num

e sample of ails of the lo

Test Loca

point for po

number of p minating loc

eficial to th inois for fea tate may be test locatio utomatically time for bet

passed an in

mber of wel

the report o ocations wou

ations

otential loca

potential loc ations with he process in

asible locati e necessary t

ns in the sam y iterates thr

tter detailed

nitial basic s

ll-placed loc

output prov uld also be p

ations analy

cations migh some basic n that it avo ons to open to ensure an me general rough the ba d analysis of

set of criter

cations for f

vided by the provided.

zed in an

ht be identif criteria prio oids both cos new retail n adequate retail area o asic criteria f the remain

ria that have

further analy analytic 16 fied or to st or and ning e no ysis.

Alteryx Data Utilized

Alteryx date is not required for this process.

Customer Data Utilized

A list of potential store locations which have been ‘scored’ for potential

Key Alteryx Tools Utilized

 Buffer

 Formula

 Sample

 Append Fields

How it works

1. Locations are input into the macro and an ‘alpha’ location is identified. This would be the highest scoring locations

2. All locations are buffered by a user defined radius.

3. The process iteratively compares the ‘alpha’ location to all ‘inferior’ locations and determines whether the buffer areas overlap. If it does, the ‘inferior’ location is eliminated.

© 2012 A

Store F

Busines

What for level?

Backgro

Businesse performa entails m can resul

Answer

A summa demogra

Actiona

 This c inves

Alteryx, Inc.

Financial

s Question

rmat can be

ound Inform

es need a m ance data to manually agg lt in a

Provided

arized report phic data

ble Results

can be the s stment.

Investme

n

used to sum

mation

ethodology o have a full gregating da consuming a

ting of some

s

starting poin

ent Summ

mmarize the

to join a va l perspective

ta from mul and sometim

e key financ

nt for an ana

mary

financial in

riety of fina e of the ove ltiple spread mes inaccura

ial and inve

alysis of stor

nvestment an

ancial, inves erall worth o dsheets and ate reportin

stment KPIs

re profitabil

nd performa

stment, and of a store. M other data g process.

s along with

lity and retu

ance at a sto

store Many times th

sources. Thi

store area

urn on

18 ore

his is

Output

The following is a representative sample of the report output provided by the analytic application.

Alteryx Data Utilized

None in this specific example, however many of the data items would be created from demographic and spatial data within Alteryx.

Customer Data Utilized

A consolidation of various financial data related to store investments and operations

Key Alteryx Tools Utilized

 Multi-field formula

 Formula

 Arrange

© 2012 A

How it w

The user

Alteryx, Inc.

works

picks the sttore locationn and the diiscount rate to use to geenerate the report.

Custom

Busines

What is t relation

Backgro

It is impo specific s location. of existin

Answer

A report mapping consume

Actiona

 Gaps  Gaps

Output

The follo applicati

mer Profil

s Question

the makeup to the store

ound Inform

ortant to un store and to . Having suc ng customer

Provided

mapping th total custom er segments

ble Results

in a store t in consume

owing is a re ion.

le by Stor

n

of the custo e?

mation

derstand the o identify the h informatio rs as well as

e location o mer count a serviced by

s

rade area ca er segments

epresentative

re

omers of a s

e demograp e geographi on allows fo attract new

of customers and spend, a the store.

an be identi within a sto

e sample of

pecific store

phic makeup c locale of w r more accu w customers

s categorized as well as a s

fied

ore trade are

the report o

e and where

of the custo where they urate market

.

d by Mosaic summary rep

ea can be id

output prov

e are they lo

omers that f live in relat ting to both

consumer s port showin

dentified

vided by the

ocated in

frequent a ion to the st meet the n

egments, g the top

analytic

tore needs

Alteryx

Experian

Custome

 Store

 Summ

Key Alte

 Calga

 Calga

 Alloc

 Multi

 Spati

How it w

The user

NOTE: If customer

Data Utiliz

ConsumerV

er Data Uti

e location da marized cust

eryx Tools

ary Join ary Cross Co

ate Append -field Formu al Match

works

picks the st

multiple sto rs.

zed

View data an

ilized

ata

tomer POS d

Utilized

unt Append ula

tore location

ores are sele

nd CAPE data

data

n(s) and the

ected, the r a

e methodolog

eports also

gy to determ

include an a

mine the tra

analysis of o

ade area.