JV For Retail Data Analysis: Future Group Ties Up With Dunnhumby
JV For Retail Data Analysis: Future Group Ties Up With Dunnhumby
Future Group has just formed a JV with Tesco owned data analysis company Dunnhumby. The aim is to develop and sell customer insights in India for this sector.
UK based firm Dunnhumby has been helping international retailers as well as brands such as P&G, Coca Cola and more to analyse their data to build loyalty and enhance the customer experience. Consumer data generated from the massive retail network of the Biyani owned Future Group will be used by Dunnhumby for leveraging for benefits.
Currently, the Future Group retail network has nearly 300 million consumers at stores located in 100 urban and 40 rural centres, according to media reports.
"It is part of our strategy to bring technology and data at the heart of our business operations and create shopping experiences of the future, today. The ability to understand complete spending patterns provides us with great opportunity to grow the lifetime value of our customers, by being more relevant and providing value to them," Kishore Biyani, Group CEO, Future Group was quoted by the media as having said regarding the JV.
Dunnhumby has indicated that it will employ tools and knowledge for using the data to understand customer insights on spending patterns, what is being sought and the manner in which goods are being shopped for. Says the CEO of Dunnhumby, ”We are excited about the potential for consumer packaged goods companies to grow their categories and brands.”
“For us, delivering relevance is crucial to growing customer enthusiasm. We want to keep those customers coming back for more and more, year after year," Simon Hay, the CEO of Dunnhumby has been quoted as saying. The data analysis firm has similar ventures with other retailers such as Gruppo Pam in Italy, Metro in Canada and Korger Co. in the US.
The Future Group loyalty network provide consumer data to the tune of 25 million members. This includes tracking brand preferences, categories, rates as well as demographic information pertaining to the customers.The financial details of the deal have not been revealed.
Dunnhumby was the firm behind Tesco’s Clubcard and it was soon acquired by Tesco following this. For around 30 million pounds, Tesco purchased a 53% stake in Dunnhumby. Finally the holding rose to 84% in the year 2006. The Future Group has also tied up with Amazon to be part of the e-commerce revolution apart from acquiring new firms in the food and beverage industry.
