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GU Big Data Analytics Unsolved Case Study

MegaMart, a large retail chain, aims to leverage big data analytics to enhance customer understanding, personalize experiences, optimize inventory, and boost retention. Utilizing various data sources and technologies, the company has achieved significant improvements, including a 15% increase in cross-sell revenue and a 20% rise in email conversion rates. However, challenges such as data integration, quality assurance, and privacy compliance remain critical as they continue to develop their analytics capabilities.

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8 views2 pages

GU Big Data Analytics Unsolved Case Study

MegaMart, a large retail chain, aims to leverage big data analytics to enhance customer understanding, personalize experiences, optimize inventory, and boost retention. Utilizing various data sources and technologies, the company has achieved significant improvements, including a 15% increase in cross-sell revenue and a 20% rise in email conversion rates. However, challenges such as data integration, quality assurance, and privacy compliance remain critical as they continue to develop their analytics capabilities.

Uploaded by

hrxtdwzzbn
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as DOCX, PDF, TXT or read online on Scribd
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Case Study: Retail – Customer Behavior Analytics

Background:

MegaMart is a large retail chain operating both physical stores and an online platform. Over the
years, it has accumulated a massive volume of customer data through loyalty programs, point-of-
sale (POS) systems, website/app interactions, social media engagement, and customer feedback.

The management now aims to leverage big data analytics to:

 Understand purchasing behavior


 Personalize customer experiences
 Optimize inventory and promotions
 Increase customer retention

Data Sources:

 Transactional data (POS, e-commerce)


 Customer demographic data (from loyalty card registration)
 Web and mobile clickstream data
 Social media mentions and sentiment
 Product reviews and feedback
 Location data from in-store sensors (IoT)
 Third-party data (weather, holidays, events)

Big Data Technologies in Use:

 Hadoop for large-scale data storage


 Spark for fast in-memory processing
 Tableau/Power BI for data visualization
 Python/R for predictive analytics
 NoSQL databases (e.g., MongoDB) for flexible data models
 Machine learning algorithms for clustering, recommendation systems, and churn
prediction

Current Achievements:

 Developed a recommendation engine that increased cross-sell revenue by 15%


 Implemented customer segmentation based on purchase behavior
 Optimized inventory based on predictive demand modeling
 Personalized marketing campaigns with an increase in email conversion rates by 20%

Challenges Faced:

 Integrating data from legacy systems with new big data platforms
 Ensuring data quality and consistency across channels
 Managing real-time data processing at scale
 Maintaining customer data privacy and complying with GDPR and local data laws

Case Study Questions:


1. Data Strategy:
o What data governance strategies should MegaMart implement to ensure high data
quality across sources?
2. Customer Segmentation:
o How would you cluster customers using behavioral data? What variables would
you include?
3. Personalization:
o How can MegaMart balance personalization with privacy concerns? What role
can anonymization play?
4. Predictive Analytics:
o What predictive models can help identify likely churn customers? What features
would be most predictive?
5. Real-Time Analytics:
o Suggest a big data architecture for real-time recommendation generation during a
user’s website session.
6. Data Integration:
o How can MegaMart effectively merge structured (sales data) and unstructured
data (social media)?
7. IoT Integration:
o How can in-store IoT devices (e.g., heatmaps, sensors) be used to improve
customer experience and product placement?
8. Ethical Use of Data:
o Where is the ethical boundary in customer data usage for personalized offers or
targeting?
9. ROI Measurement:
o What key performance indicators (KPIs) would you use to measure the success of
the customer analytics initiative?
10. Scalability & Maintenance:

 How should MegaMart ensure its analytics infrastructure remains scalable and cost-
efficient as data grows?

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