Analytics are everywhere nowadays:
- Most websites use analytics to measure traffic and revenue.
- Fantasy sports, such as NFL fantasy football, use analytics to predict top performing players.
- There’s even a smart water bottle that uses analytics to monitor water intake.
Thanks to software, retailers can also leverage the power of analytics. Watch the short video below to find out what retail analytics is, then keep reading to find out why it’s so important to help your business grow.
So why aren’t you using retail analytics to gain critical insights about your store?
How do we know you’re not using analytics? Our research shows 67 percent of single-store retailers don’t even have a POS system in place, let alone any analytics capabilities.
Nonetheless, your peers recognize the value of analytics, as three-quarters of respondents list sales reporting, analytics and inventory management as must-have features for a new POS system:
The importance of inventory and sales analytics as retail management components for small/independent retailers is echoed by analytics powerhouse, Microsoft:
“Selecting products has traditionally been more of an art than a science for small retail shops where owners have relied on their own taste or a ‘best guess’ about what might resonate with their customers. Now, in our modern era of business data and intelligence, retail shops can make much more informed decisions about what to stock. This is the new era of analytics—and it’s not just for Walmart and Amazon anymore.”
Luckily for you, it’s a great time to be a small or midsize retailer. There are tons of affordable POS options on the market that offer the analytics features you need to increase your store’s bottom line.
To introduce you to this brave new world, we’ve reviewed the analytics capabilities of four of our top 10 most popular POS systems. This guide will help you understand how the retail analytics features of these POS system can apply to your store.
(Click on a link below to jump to that section.)
Lightspeed Retail POS offers retailers over 40 pre-built reports. They track crucial sales metrics such as the number of items sold and a breakdown of sales over specific date ranges.
Arguably, the most valuable retail analysis for your store is profit margin. A “Profit vs Cost” analysis is already preprogrammed into Lightspeed, as you can see in the image below:
To easily create, monitor, and view all these reports, Lightspeed features built-in dashboards, which are accessible across multiple devices. Graphs and charts appearing on the dashboards can be converted into image files and added to other programs or printed.
Microsoft Dynamics RMS
Dynamics RMS is the retail management system (RMS) component of Microsoft’s larger Dynamics suite.
Dynamics RMS offers valuable sales analysis. Various reports can be generated in many fields, such as:
- Cashier or department: to see an overview of employee, associate or departmental sales performance.
- Items or category: to determine sales performance on a per-item or other user-defined category basis.
- Price: to compare performance at various price points to find the most successful one.
In addition to these reports, RMS also integrates with the great Dynamics ecosystem. This includes much more powerful analytic tools such as Dynamics NAV.
Vend POS offers various reporting components, including:
- Register breakdowns
- Gift card sales and usage
All these combine to provide insights that help you determine what’s selling, who’s buying it, when and how they’re buying it and which employee is selling it to them.
The image above is of the Vend Retail Dashboard, which provides a quick snapshot of store performance metrics. The easy-to-read, usability of this dashboard makes it easy to check on mobile devices while you’re on the go.
Revel Systems features intelligent reporting capabilities that display:
- Total sales
- Hourly sales
- Total transactions
- Average transaction amount
- Order history
- Payment summaries
Revel’s intelligent reporting allows you to better understand your customers’ behavior, determine which items are over or under performing and even monitor employee sales performance.
As the Revel sales summary in the image above shows, reports can show such detail as taxable and nontaxable sales and payment breakdown by card provider.
While these features aren’t something you’ll use everyday, they are examples of the type of detailed insight you need to make informed decisions about your store.
Want to learn more about sales reporting and POS software platforms? Complete our retail questionnaire to get a customized shortlist of the best POS systems for your store.