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Tisak

Digital transformation of retail sector

About

TISAK, a member of Agrokor Group, is one of the largest private company in Croatia and one of the strongest companies in Southeastern Europe. Tisak is the largest kiosk retail chain and leading Croatian distributor of printed materials, tobacco products, telecom prepaid cards and other products. Tisak is modern company that follows global trends, constantly strives to enhance business processes and provide the best service to its customers.

BUSINESS OPPORTUNITY

To always offer its customers what interests them, Tisak uses several kiosk models and different types of product positioning lay-outs of certain product groups. Thanks to the ERP, Tisak already possesses necessary information on the sale cycle of certain products. What they lacked was the customer demographics information and accurate data at what time, on which days and what products different age groups buy. Acquiring this information, Tisak can make business decisions based on actual data, rather than subjective assumptions, and increase sales results.

APPLIED TECHNOLOGY

The required information were obtained with the Emily system. It is a IoT solution based on machine learning that uses advanced photo analysis for the purpose of customer demographic analysis. The solution is consisted of a camera and Raspberry Pi computer that sends the image to be processed through the Microsoft Azure platform. Data security and privacy is guaranteed by the fact that the obtained pictures are not saved, so the person cannot be identified after processing.

The main task of Emily system is to obtain insight in all offline marketing activities with relevant information about product impact on customer or promotional messages. With Emily, clients can optimize marketing activities prior the product release, as well as in the active phase of product sale.

What did we do?

Emily system was installed on three locations:


  • Špansko (near the school)
  • Črnomerec (high-frequency location)
  • Varaždin (rural part of the city)

Throughout the one month period, we processed 4.5 million images, analyzed 20,000 visitors which did over 15,000 transactions.


Performed analysis:


age, gender and customers emotions, and collected data on their buying habits in correlation with the sales data at a specific time at a specific location.

Špansko
2934 visitors

WHAT HAVE WE LEARNED?

After analysis, Tisak received concrete data on customer demographics and their buying habits on different locations. Through the selected analysis procedure we obtained various interesting correlation such as: 1. Customers who buy cigarettes on average have more negative emotions than others 2. Younger customers, on average, have a dominant surprise emotion 3. Women often buy cigarettes early in the morning, while men after 11 am and in the evening

VALUE FOR USERS

In addition to new possibility to customize the kiosk lay-out and product range for the demographic customer majority, obtained results – gives them the opportunity for the full range of possible actions:


  • Increase of additional products sale or services to existing customers
    • Cross Sell – tablet based application suggests seller to pitch different products to current customer based on the information of current purchase and obtained analysis of demographic groups to which it belongs
    • Up Sell - tablet based application proposes seller the same product upgrade or a greater group package, each with a price lower than the selected items
  • Contextual advertising which allows customized ad placement to the suppliers - create target product groups for certain demographic groups - for example when the customer is female person in the age group 20-30 years, solution will show her ads for cosmetics products and books, for a male person aged 8 up to 15 years solution will show ads for football stickers, chips or soft drinks
  • Customized reports for Suppliers
    • Demographic sale frequency
    • emotions while purchase
    • Correlation among competition