Overview
Shopify is huge. At least 20 percent of the world’s eCommerce companies use the online shopping platform. The data Shopify provides its customers is a big part of why so many businesses use the platform to run their online stores. But having data isn’t enough. The real power of data comes from leveraging that information. That’s why a major online retailer reached out to Lovelytics. The eCommerce company had Shopify data that included who its customers are and what they purchased.
But the business needed to get more out of its Shopify data. It wanted to predict who of its customers would make a return purchase and how much they would spend. It was a problem that data engineering could solve. So Lovelytics got to work.
A Pivot to Actionable Insights
Lovelytics started by trying to forecast the retailer’s customers who would make a repeat purchase. The team found they could accurately predict the customers most likely to buy again in the coming year. And Lovelytics was able to give the retailer detailed predictions. The model Lovelytics built could forecast everything from the retailer’s future sales to future purchases by customer and location. Lovelytics was able to show the eCommerce company its top customers and give it valuable insights into their shopping behavior. For example, if someone’s made at least ten purchases within the past year, they’re likely to buy again in the coming year.
Lovelytics used Tableau to design and develop dashboards that gave the marketing team interactive and visual representations of the model. Putting the dashboards on the Tableau Server allowed the marketers to see how to spend their marketing dollars better. It’s a data-driven outcome made possible by reframing the problem. After all, you can’t change the data you have, but you can tweak the question you’re asking. The online retailer had tons of Shopify data. What it needed was a better way to interpret that information.
Through machine learning and by making an essential pivot, Lovelytics gave the eCommerce company updated, actionable insights.
