Grocers are increasingly seeking to transform their stores into one-stop shopping destinations for consumers. To this end, numerous grocery retailers are adding health services to their in-store offerings. Stop & Shop recently announced the introduction of a partnership with an area hospital to bring health clinics into its stores in Connecticut. Additionally, Wegmans has installed health stations throughout its store network in an effort to encourage customers to monitor vitals like their blood pressure. (more…)
Commentary from APT Vice President Rupert Naylor was recently featured in the Financial Times in response to Sir Tim Harford’s article, “Big Mistake.” In the article, Harford argues that too many Big Data advocates care about “correlation rather than causation.” Naylor agrees this issue is problematic and offers a solution, suggesting that test and learn analytics can bridge this disconnect by driving to cause-and-effect relationships. Click here to read the full commentary.
APT announced today that retail sales comps in February 2014 fell [-1.1%] over 2013, according to data from the APT Index. Interestingly, while sales were down in February overall, the APT Index indicated a “Polar Thaw” in the second half of the month, as sales comps increased. In the first two weeks of February, when average temperature was 35°F, sales comps were down [-3.4%]. However, when the average temperature climbed to 43°F in the last two weeks, sales comps grew [+1.4%]. Click here to read more about February sales comps and the APT Index.
In a recent interview featured in Retail Leader, APT VP Jeff Campbell explains that retailers should test store remodels in a small subset of locations prior to broad rollout in order to to understand which remodel elements work best. “While customer surveys, focus groups and observational studies may provide some hypotheses about the effect of a remodel, ultimately consumers will vote with their wallets,” Campbell says. Click here to read the full article.
APT today announced an analysis of retail sales across the United States for the month of January using data from the APT Index. The APT Index shows a -1.6% decrease in nationwide retail sales during January 2014, compared to the same month last year. The decrease was driven by fewer transactions, as fewer people went shopping in the cold and snowy weather. Click here to read more about which cities were impacted most, and how weather differences changed retail outcomes.
While many intuitively hypothesize that weather impacts brick-and-mortar sales, today the APT Index truly showed the drastic effects that weather can have on retail performance. Data from the Index shows that nationwide retail sales in the US shrank by 10% during the Polar Vortex (Jan 5-7). The effect was especially notable in cities that were hit hardest by the Vortex, including Detroit, MI (45% decrease in year-over-year sales), Chicago, IL (-41%), and New York, NY (-15%). The decreases were also driven by average age, as retailers in areas with a higher median age fared worse during the Vortex. Click here to learn more.
APT CEO Anthony Bruce recently spoke on Bloomberg TV about the importance of making data-driven decisions in business.
Bruce commented, “Ultimately, Big Data provides a huge opportunity, but some risks. We as humans are conditioned to see patterns, sometimes when they don’t exist…The way to really understand as a retailer or a restaurateur – does a new approach work – is to experiment in some stores, not others…Experimentation is really the way to leverage Big Data.”
APT President Patrick O’Reilly recently announced that Wawa, a convenience store chain with over 600 locations, will expand its relationship with APT by licensing APT’s Merchandise Optimization software. “Licensing APT’s Merchandise Optimization has enabled us to drive significant margin increases by reallocating our space in numerous categories, and to rapidly transition from analysis into implementation,” said David Prevost, director of space planning & merchandising at Wawa. “By rolling out the optimal merchandising strategy on a store-by-store basis, we are able to capture significant additional value across our network.” Click here to read the full release.