Security Sales & Integration: Retail Security Spending Reflects ROI Prospects
Systems integrators that can leverage analytics-enabled applications to solve retail operational issues are finding success in an oftentimes frugal market sector. Stemming loss prevention, migrating analog systems to IP, and demonstrating ROI are other significant market drivers.
By Rodney Bosch
How Technology Is Creating Business Value
Analytics-enabled applications are being adopted alongside video surveillance to help deliver insight into shopper behaviors. IP video technology, coupled with an integrated suite of video analytics solutions, can be the key to building business performance with a higher ROI and improved customer conversion rates.
By leveraging video analytics in conjunction with a video management platform, retailers can better understand the answers to questions such as:
- How many customers are in the store at specific times of the day/days of the months/months of the year?
- Which areas of the stores generate the highest conversion rates and what locations do customers dwell or spend the most time?
- Where are the “premium real estate” locations in the store that receive the most foot traffic?
- How do people interact with in-store promotions and product placement?
- Who is purchasing store brands versus the national brands?
- How can we measure the traffic patterns within the store?
In today’s economy, retailers are being forced to manage their businesses “by exception” in order to control costs. This means retailers are increasing their reliance on technology to flag potential issues.“For example, query-based software enables video to be searched depending on the type of transaction, such as no-sales, voids, returns, and cash and credit sales by store or by employee,” says Wedel.
These software solutions are able to produce automated reports based on patterns and tendencies. Managers can be alerted should an incident need to be investigated. Procedural errors are also captured so that corrective action can be taken. The trend here is crystal clear: video is becoming a vital source of data.
“Everybody has video and there is tons of it just taking up expensive hard drive space. What businesses are starting to figure out is that there are pieces of useful information that can make your business better,” says Al Shipp, CEO of 3VR, a provider of intelligent surveillance and search solutions. “Surveillance infrastructure is becoming a data entry point for key transactions.”