When you understand the way your customers think, you can better understand the way they shop. From knowing the most popular route taken when walking through a store, to finding out the least frequented areas and where shoppers dwell the longest — by getting inside the mind of the customer you can more easily adapt your store to facilitate their needs.
Far from simply acting as a tool to monitor who enters and leaves a store, IP network cameras have a number of intelligent applications that can be leveraged to help understand customers. Whether it’s the direction in which a store is walked through, how people browse shelves or how they queue at checkouts, this knowledge of shopper behavior can help improve the shopping experience while also securing maximum benefit from shelving space, store layout and checkout areas.
There are companies that provide analysis to the retail sector on what shoppers actually do in their stores and how their conscious and subconscious motivations and opinions affect their buying decisions. They use video surveillance cameras to monitor selected products or aisles and record shopper behavior, enabling them to identify barriers to sale for product manufacturers and retailers. Recording quality, accessibility to data and portability of cameras are essential requirements.
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Heat Maps Reveal Where Customers Spend Most Time In The Store
IP network cameras can assist in such cases by monitoring the amount of time shoppers spend in front of specific products or in specific aisles. This is known as ‘dwell time’ and can be displayed to store managers in the form of a ‘heat map’ image. This can be invaluable information in deciding whether a customer is intently reading packaging information or whether they are having difficulty locating a certain item, and this difference could be crucial in making a sale.
A similar application can be used to map the most popular route a customer takes when moving through a store. With heat mapping technology, the movement of shoppers around a store is tracked by IP network cameras and displayed to staff using an illustrated image that marks out the main paths that customers are taking.
Intelligence gained from a heat map can then be used to decide where the most popular products should be placed to ensure easy customer access, as well as the best areas to display items that stores are keen to turn around in a hurry. Heat mapping can even be used to prevent congestion, thus maximizing sales.
Checkout Queue Monitoring Can Reduce Customer Wait Times
When it comes to monitoring checkouts and keeping down queue levels, IP network cameras can be integrated with queue management solutions that provide data on queue length, waiting and total checkout times. This intelligence can then help store managers to analyze optimal numbers of checkout aisles and balance staff levels during peak trading times, thus enabling improved profitability while retaining high levels of customer satisfaction. Working in this manner, the store manager can be the first to know about potential setbacks and act accordingly to prevent the situation getting out of hand.
A network-based people counter can improve store operations, staff optimization and customer service. It not only tracks the number of customers in selected parts of the store, but also provides a set of tools that enables quick evaluation of merchandising and marketing efforts.
The system is installed as part of the IP network, making relevant information accessible from anywhere at any time. With a network-based people counter there is no need to manually gather and analyze customer data. Instead, statistics from several stores can be viewed and evaluated simultaneously, in real time. This makes it possible to take immediate or long term action.
Conversion rate, or the number of people entering a store compared to the number making a purchase, is the key indicator of a store’s performance. Monitoring conversion rates makes it easy to evaluate best practices and devise methods to increase sales.
With the numerous applications now available to retailers, using IP video surveillance to get inside the mind of your customer and to understand the way they shop could be an essential tool in putting you ahead of the competition.
Johan Åkesson, Director Business Development for Retail at Axis Communications, joined the company in 2006 and is responsible for building Axis’ offering and presence in the retail sector on a global basis as well as identifying new strategic partners in the sector. Prior to Axis, Åkesson held the position Vice President, Marketing, at Ericsson Technology Licensing. The “Bluetooth” company within Ericsson was focused on Bluetooth design solutions for the semiconductor industry and OEM’s; Åkesson was involved in the Bluetooth community and was one of the pioneers in developing the Bluetooth brand.
