AUTOMATICALLY GENERATING AN OPTIMAL MARKETING STRATEGY FOR IMPROVING CROSS SALES AND UPSALES OF ITEMS

• US 20080249837A1
• Filed: 09/27/2007
• Published: 10/09/2008
• Est. Priority Date: 04/03/2007
• Status: Active Grant

• Current Assignee: Daedalus Blue LLC
• Original Assignee: International Business Machines Corporation
• Inventors: Kraemer, James R., Angell, Robert Lee
• Granted Patent: US 9,685,048 B2
• Time in Patent Office: Days
• US Class Current: 705/10
• CPC Class Codes: G06Q 10/06375 Prediction of business process outcome or impact based on a proposed change
• CPC Class Codes: G06Q 30/02 Marketing; Price estimation or determination; Fundraising
• CPC Class Codes: G06Q 30/0201 Market modelling; Market analysis; Collecting market data
• CPC Class Codes: G06Q 30/0204 Market segmentation
• CPC Class Codes: G07G 1/00 Cash registers alarm indicators G07G3/00

Abstract

A computer implemented method, apparatus, and computer usable program product for generating an optimized marketing strategy for improving sales. The process parses event data to identify patterns of events associated with a selection of a selected item by each customer in a plurality of customers and selection of at least one item in a set of items related to the selected item. The process identifies events in the patterns of events that result in a purchase of at least one item in the set of related items by the customers to form optimized events. The process then generates a marketing strategy using the optimized events. The marketing strategy comprises a set of strategies for increasing purchases of items in the set of related items by the customers.

Claims

1. A computer implemented method for generating an optimized marketing strategy for improving sales, the computer implemented method comprising:

identifying an item in a plurality of items selected for purchase by each customer in a plurality of customers associated with a retail facility to form a selected item;

identifying at least one item in the plurality of items that is related to the selected item to form a set of related items;

parsing event data associated with the plurality of customers to identify patterns of events associated with a selection of the selected item by each customer in the plurality of customers, wherein the event data comprises metadata describing events associated with the plurality of customers and the plurality of items;

parsing the event data associated with the plurality of customers to identify patterns of events associated with a selection of at least one item in the set of related items by customers in the plurality of customers;

identifying events in the patterns of events that result in a purchase of at least one item in the set of related items by the customers to form optimized events, wherein the purchase of the at least one item in the set of related items by the customers results in an increase in profit or an increase in revenue; and

generating a marketing strategy using the optimized events, wherein the marketing strategy comprises a set of strategies for increasing purchases of items in the set of related items by the customers.

2. The computer implemented method of claim 1 wherein at least one item in the set of related items is an upsale item, wherein an upsale item is an item that provides a same basic functionality as the selected item, wherein a sale of the upsale item to the customers produces a greater amount of revenue or a greater amount of profit than a sale of the selected item, and further comprising:

prompting the customers, by the marketing strategy, to purchase the upsale item instead of the selected item.

3. The computer implemented method of claim 2 wherein the upsale item comprises at least one of a different size than a size of the selected item, a different brand than a brand of the selected item, a different number of constituent parts than a number of constituent parts of the selected item, a different price than a price of the selected item, a different packaging than a packaging of the selected item, and an additional feature that is not provided by the selected item.

4. The computer implemented method of claim 1 wherein at least one item in the set of related items is a correlated item, wherein the correlated item provides a different basic functionality than the selected item, and further comprising:

prompting the customers, by the marketing strategy, to purchase the correlated item in addition to a purchase of the selected item.

5. The computer implemented method of claim 1 further comprising:

identifying the plurality of items and the plurality of customers;

analyzing the plurality of items using a set of correlation analysis techniques to identify different items that are purchased in correlation with one or more other items in the plurality of items to form the set of related items.

6. The computer implemented method of claim 1 further comprising:

identifying customers in the plurality of customers;

analyzing customer profiles for the plurality of customers to identify types of customers in the plurality of customers;

associating types of customers with a purchase of each item in the set of related items; and

identifying the events in the patterns of events that result in the purchase of the at least one item in the set of related items by the types of customers to form optimized events, wherein the optimized events are events associated with increasing sales of items in the set of related items by a particular type of customer.

7. The computer implemented method of claim 6 wherein the type of customers comprises at least one of an age range, an occupation type, an income bracket, a family size, an education level, a number of children, a marital status, an average amount of money spent during each transaction at the retail facility, and a demographic group.

8. The computer implemented method of claim 1 further comprising:

receiving biometric data for a set of customers in the plurality of customers from a set of biometric detection devices associated with the retail facility; and

analyzing the biometric data with the event data to generate the marketing strategy.

9. The computer implemented method of claim 8 further comprising:

detecting a change in biometric readings associated with the set of customers that exceeds a threshold change; and

responsive to a determination that the customers were viewing the selected item, an item in the set of related items, a display, or a marketing message when the change in the biometric readings occurred, associating the change in the biometric readings with the selected item, the item in the set of related items, or the marketing message to form the biometric data.

10. The computer implemented method of claim 1 wherein the optimized marketing strategy specifies a placement of a display device, and further comprising:

displaying a marketing message for the at least one item in the set of related items on the display device, wherein the marketing message includes a location of the at least one item in the retail facility.

11. The computer implemented method of claim 1 further comprising:

identifying, by the optimized marketing strategy, a set of locations in the retail facility for placement of items in the set of related items, wherein the set of locations are optimized locations to increase a probability that a customer will purchase the at least one item in the set of related items.

12. The computer implemented method of claim 1 further comprising:

receiving video data in a continuous stream from a set of cameras associated with the retail facility; and

analyzing the video data, by a smart analysis engine, to form the event data, wherein analyzing the video data comprises generating the metadata describing the events.

13. The computer implemented method of claim 6 wherein analyzing the video data further comprising:

receiving detection data from a set of detectors located outside the retail facility;

analyzing the detection data to form external data; and

processing the external data with the video data to form the event data.

14. A computer program product comprising:

computer usable program code for generating an optimized marketing strategy for improving sales, the computer program product comprising;

computer usable program code for identifying an item in a plurality of items selected for purchase by each customer in a plurality of customers associated with a retail facility to form a selected item;

computer usable program code for identifying at least one item in the plurality of items that is related to the selected item to form a set of related items;

computer usable program code for parsing event data associated with the plurality of customers to identify patterns of events associated with a selection of the selected item by each customer in the plurality of customers, wherein the event data comprises metadata describing events associated with the plurality of customers and the plurality of items;

computer usable program code for parsing the event data associated with the plurality of customers to identify patterns of events associated with a selection of at least one item in the set of related items by customers in the plurality of customers;

computer usable program code for identifying events in the patterns of events that result in a purchase of at least one item in the set of related items by the customers to form optimized events, wherein the purchase of the at least one item in the set of related items by the customers results in an increase in profit or an increase in revenue; and

computer usable program code for generating a marketing strategy using the optimized events, wherein the marketing strategy comprises a set of strategies for increasing purchases of items in the set of related items by the customers.

15. The computer program product of claim 14 wherein at least one item in the set of related items is an upsale item, wherein an upsale item is an item that provides a same basic functionality as the selected item, wherein a sale of the upsale item to the customers produces a greater amount of revenue or a greater amount of profit than a sale of the selected item, and further comprising:

computer usable program code for prompting the customers, by the marketing strategy, to purchase the upsale item instead of the selected item.

16. The computer program product of claim 14 wherein at least one item in the set of related items is a correlated item, wherein the correlated item provides a different basic functionality than the selected item, and further comprising:

computer usable program code for prompting the customers, by the marketing strategy, to purchase the correlated item in addition to a purchase of the selected item.

17. The computer program product of claim 14 further comprising:

computer usable program code for identifying the plurality of items and the plurality of customers;

analyzing the plurality of items using a set of correlation analysis techniques to identify different items that are purchased in correlation with one or more other items in the plurality of items to form the set of related items.

18. The computer program product of claim 14 further comprising:

computer usable program code for receiving biometric data for a set of customers in the plurality of customers from a set of biometric detection devices associated with the retail facility; and

computer usable program code for analyzing the biometric data with the event data to generate the marketing strategy.

19. The computer program product of claim 18 further comprising:

computer usable program code for detecting a change in biometric readings associated with the set of customers that exceeds a threshold change; and

computer usable program code for associating the change in the biometric readings with a selected item, an item in the set of related items, a display, or a marketing message to form the biometric data in response to a determination that the customers were viewing the selected item, an item in the set of related items, the display, or the marketing message when the change in the biometric readings occurred.

20. The computer program product of claim 14 wherein the optimized marketing strategy specifies a placement of a display device, and further comprising:

computer usable program code for identifying, by the optimized marketing strategy, a set of locations in the retail facility for placement of items in the set of related items, wherein the set of locations are locations that will increase a probability that a customer will purchase the at least one item in the set of related items.

21. A data processing system for generating an optimized marketing strategy for improving sales, the data processing system comprising:

a bus system;

a communications system connected to the bus system;

a memory connected to the bus system, wherein the memory includes computer usable program code; and

a processing unit connected to the bus system, wherein the processing unit executes the computer usable program code to identifying an item in a plurality of items selected for purchase by each customer in a plurality of customers associated with a retail facility to form a selected item;

identify at least one item in the plurality of items that is related to the selected item to form a set of related items;

parse event data associated with the plurality of customers to identify patterns of events associated with a selection of the selected item by each customer in the plurality of customers, wherein the event data comprises metadata describing events associated with the plurality of customers and the plurality of items;

parse the event data associated with the plurality of customers to identify patterns of events associated with a selection of at least one item in the set of related items by customers in the plurality of customers;

identify events in the patterns of events that result in a purchase of at least one item in the set of related items by the customers to form optimized events, wherein the purchase of the at least one item in the set of related items by the customers results in an increase in profit or an increase in revenue; and

generate a marketing strategy using the optimized events, wherein the marketing strategy comprises a set of strategies for increasing purchases of items in the set of related items by the customers.

22. A system for generating an optimized marketing strategy for improving sales, the system comprising:

an analysis server, wherein the analysis server identifies an item in a plurality of items selected for purchase by each customer in a plurality of customers associated with a retail facility to form a selected item and parses event data associated with the plurality of customers to identify patterns of events associated with a selection of the selected item by each customer in the plurality of customers, wherein the event data comprises metadata describing events associated with the plurality of customers and the plurality of items, wherein the analysis server further comprises;

a correlation engine, wherein the correlation engine identifies at least one item in the plurality of items that is related to the selected item to form a set of related items, wherein the analysis server further parses the event data associated with the plurality of customers to identify patterns of events associated with a selection of at least one item in the set of related items by customers in the plurality of customers; and

a unifying data model, wherein the patterns of events are processes in the unifying data model to identify events in the patterns of events that result in a purchase of at least one item in the set of related items by the customers to form optimized events, wherein the purchase of the at least one item in the set of related items by the customers results in an increase in profit or an increase in revenue and generates a marketing strategy using the optimized events, and wherein the marketing strategy comprises a set of strategies for increasing purchases of items in the set of related items by the customers.

23. The system of claim 22 further comprising:

a set of biometric detection devices associated with the retail facility, wherein the biometric detection devices capture biometric data for a set of customers in the plurality of customers and wherein the analysis server analyzes the biometric data with the event data to generate the marketing strategy.

24. The system of claim 22 further comprising:

a smart detection engine, wherein the smart detection engine receives a continuous video stream from a set of cameras associated with the retail facility and analyzes the video stream to generate the event data.

25. The system of claim 22 further comprising:

a device for dispersing an odor-producing chemical into an area of the retail facility, wherein the odor-producing chemical is at least one of a naturally occurring chemical or an artificially created chemical, and wherein the optimized marketing strategy comprises an identification of a type of odor-producing chemical and a location for dispersing the odor-producing chemical into the area of the retail facility, wherein the odor producing chemical increases a probability the customers will purchase the at least one item in the set of items.