Behavioral Clustering


Use Behavioral Clustering to rapidly evaluate all available product attributes to truly understand the variation in consumer preferences

Clustering Overview

How can Behavioral Clustering help my business?

Traditional store clustering methods, using top-down attributes such as region, size or banner, may promote efficiency in business operations, but they fail to account for localized consumer demand, leading to missed opportunities and customer dissatisfaction. Behavioral clustering methods offer advanced category analysis, using product data to generate category level segmentation from the bottom-up, streamline category analysis and provide key consumer insights; helping you to tailor your assortment, merchandising and pricing strategies to be more customer focused.

Knowing your consumers is absolutely key for any retailer or supplier. You need to know what your consumers like, how many products do they buy and how often they do this in order to ensure that your consumer offering is always optimal.

Behavioral Cluster Planning is an easily implemented solution that gives you the flexibility to combine both approaches. You can quickly and easily create bottom-up clusters that provide easily understood insights into your category demand patterns, and apply top-down constraints that satisfy your operational requirements. You can also use the powerful analysis tools to apply demographic information to your results for further understanding of category demand, and view cluster distributions using Google Earth™.

Behavioral Cluster Planning enables the clustering process to begin with the consumer. Stores/categories are analyzed using granular product performance data such as historical sales, market data and forecast data, enabling fast analysis of consumer purchasing patterns across the entire chain in order to group together stores which show similarities in demand. As a result, retailers are provided with a laser focus to drive targeted assortment, merchandising, promotional and pricing strategies to breed consumer loyalty and yield maximum profitability.

 

  • Simple to implement
  • Easy to use, due to Galleria’s Three-Click Clustering approach
  • Combines top-down and bottom-up clustering methods
  • Visualization using Google Earth™
  • Fast ROI


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Clustering Solution

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Behavioral Cluster Planning - BCP

Rapidly evaluate all available product attributes to truly understand the variation in consumer preferences

Understanding how categories are being shopped across the entire retail estate provides a vital foundation for each retailer to determine how granular each category should be treated in the quest for a truly consumer-centric approach.By exploring variation in consumer preferences within each category, retailers can gain fast insight into customer demand to provide accurate store groupings and a lazer focus to drive targeted assortment, merchandising, promotional and pricing strategies to breed consumer loyalty and yield maximum profitability.

For many retailers today, store groupings are defined on a manual basis, either at a national level or through utilizing top-down attributes such as store, size, region or banner. Whilst such approaches may promote efficiency in business operations, they will fail to truly account for localized demand, leading to missed opportunities, consumer dissatisfaction and ultimately, causing consumers to shop elsewhere.

The reality lies that, in the current economic climate where consumers have increased choice and seek a shopping experience tailored to suit their needs, retailers must remain current by enhancing strategies to evolve in-line with the needs of their consumers.

  • Efficient clustering for ease of use and fast analysis.
  • Behavioral-based performance analysis, not pre-set assumptions and constraints
  • Ability to automatically create bottom-up category clusters.
  • Combination of bottom-up and top-down clustering to facilitate key performance analysis.
  • Sales opportunities are optimized.

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Features

  • Actionable insights

    Actionable clustering insights

    The solution ensures almost instantaneous benefits through automated insights which retailers can immediately capitalize on to leverage sales through driving targeted assortment, merchandising, promotional and pricing activities.

  • Demographic overlay

    Demographic overlay for behavioral traits

    Demographic information can be easily applied as an overlay to any store grouping in order to enable the fast identification of key consumer trends which may prove fundamental to behavioral traits.

  • Flexible

    Flexible store clustering solution

    Whilst utilizing a unique bottom-up approach for demand driven consumer groupings, Behavioral Cluster Planner maintains full respect to top-down constraints. Clusters will be produced inline with business logic to provide accurate consumer groupings to complement the desired business process.

  • Rapid

    Rapid three click clustering

    Galleria’s Behavioral Cluster Planning solution utilizes a unique Three Click Clustering approach. The solution exploits the very latest in scientific techniques to rapidly evaluate all available product attributes to gain a true understanding of how each category is being shopped.

  • Transparent & simple

    Transparent & simple

    Three Click Clustering was designed to enable product and category managers to utilize advanced statistics for demand driven consumer groupings - without needing a PhD. What’s more, users have complete visibility at each stage throughout the clustering process to fully understand the logic applied to consumer groupings.

  • Visualization

    Google Earth Visualization

    With the unique visualization feature integrated through Google Earth, users can recognize geographic locations of clusters, identifying key locational trends to suggest why consumers may behave in a certain way.

Flexible Deployment

We have a range of deployment options suitable for every type of business. For Behavioral Cluster Planning, we can distribute the software to the following options:

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Get in touch

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UK: +44 (0)800 121 4492
USA: +1 (866) 397 0546


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  • Coop Denmark - Galleria Client
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  • Giant Eagle - Galleria Client
  • Imperial Tobacco
  • Maxima - Galleria Client
  • Morrisons - Galleria Client
  • M.Video - Galleria Client
  • One Stop - Galleria Client
  • Safeway - Galleria Client
  • Smiths - Galleria Client
  • Tesco - Galleria Client
  • Tomy - Galleria Client
  • Unilever - Galleria Client
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Galleria is the leading supplier of software and services for planning, automation and optimization solutions to both the retailer and supplier community.
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