Interview • 09.05.2022

Planning staff and assortment optimally

Interview about technologies for measuring visitor flows and movement patterns

State-of-the-art technologies enable retailers to measure the behavior of visitors in their stores and plan accordingly in terms of both staff and product range.

XPOLI is a provider of such technologies, which use sensors to create and analyze privacy-compliant records of visitor flows. Thomas Pellkofer, CEO of XPOLI, told us how retailers can benefit from these technologies.

Thomas Pellkofer, CEO of XPOLI
Thomas Pellkofer, CEO of XPOLI
Source: XPOLI

Mr. Pellkofer, what interest should retailers have in analysing visitor flows and movement patterns?

Thomas Pellkofer: There are several reasons for this. One of them is the forecasting of checkout utilization. We can currently look up to eleven minutes into the future to better coordinate staff deployment at the checkout and minimize waiting times for customers. By analysing the behaviour of customers in individual departments and aisles, we can identify how well customers find items or are addressed by their placement.

Thanks to our system, it is possible for the first time to identify the frequency with which certain product ranges are frequented, i.e., how often customers visit a particular aisle during their shopping trip, and what the situation is like at comparable stores.

How does the technology work?

Thomas Pellkofer: At the core of the innovation lies the development of a fully privacy-compliant sensor. By not recording characteristics - such as gender, age, skin colour, etc. - it is ensured that the privacy and personal rights of all customers are always respected. 

In addition, we create a 3D scan of the store with the aim of obtaining a digital twin in combination with the movements of the clientele. In this process, all paths of the customers present in the market are identified. By aggregating and identifying specific groups, we can now generate evaluations for retailers.

These differ both in terms of content and time: 

  • Live evaluations (improve service, shopping experience)
  • Post-evaluations (uncovering anomalies - raising potentials)
  • Predictive evaluations (identifying trends, modelling)
  • Future analytics (data driven KPI, enabling informed decisions and ensuring their successes in a timely manner)

What are the spatial requirements for this?

Thomas Pellkofer: There are no special spatial requirements. From small stores to multi-story retail spaces, there are no real limits. At the moment, however, we are still focusing on indoor solutions.

What insights do the collected data provide?

Thomas Pellkofer: Our technology provides data on space allocation (with simple measures, retailers can significantly increase the "conversion rate"), on assortment diversity (by displaying a "turnover" for certain articles and brands, the development of a sustainable assortment is supported) as well as live and post evaluations. Using these evaluations, retailers can make sensible changes to the placement of products (e.g., baked goods in the vicinity of the corresponding ingredients).

What costs should retailers expect for the installation of such a system?

Thomas Pellkofer: Retailers must pay a floor space-based entry fee per square meter. This covers part of the installation and system costs. Since retailers achieve an ROI after just a few months, we see moderate monthly fees as a good way to cover all our costs over the term.

What are the challenges to be considered in the analysis in relation to the GDPR?

Thomas Pellkofer: Given that the entire technology is designed according to the principle of "Privacy by Design", that the data collected does not allow any conclusions to be drawn about any individual characteristics of customers, and that only the data aggregated by the AI is passed on to merchants, XPOLI always ensures compliance with the GDPR.

For which kind of companies is it worthwhile to measure visitor flows?

Thomas Pellkofer: Behaviour measurement is applicable to supermarkets, shopping malls, drugstores, convenience stores, museums and even healthcare facilities. This new trend-setting technology enables brick-and-mortar retailers, just like online retailers, to find out everything relevant about their customers and to use this information not only to secure future sales, but also for proactive growth.

How can retailers quantify the success of the measurements and the investments made?

Thomas Pellkofer: Retailers can recoup their investment after just a few months. The live forecasting feature for the checkout alone leads to fewer aborted purchases and to optimized scheduling for employees, so that breaks, for example, do not have to be interrupted.

Interview: Matthias Groß

related articles:

popular articles:

Thumbnail-Photo: Out of Stock in Retail and innovative solutions to avoid them...
07.11.2023   #brick and mortar retail #customer satisfaction

Out of Stock in Retail and innovative solutions to avoid them

Due to various events, the availability of goods in retail will be increasingly restricted from 2022, with the result that customers cannot find in food retail the products they wish to buy, because those products are sold out, are temporarily ...

Thumbnail-Photo: Unified Commerce Platform in focus
24.10.2023   #omnichannel #software developement

Unified Commerce Platform in focus

Handover at REMIRA: Dirk Bingler supersedes Stephan Unser as CEO

REMIRA is setting the course for future development of the company: On November 1, Dirk Bingler (48) will become the new CEO of the supply chain and omnichannel software expert headquartered in Dortmund. The previous CEO Stephan Unser (62) moves to ...

Thumbnail-Photo: Ask the Bot: generative AI in retail
02.01.2024   #Tech in Retail #food retail

Ask the Bot: generative AI in retail

Revolution in retail: the era of generative AI and AI bots

They are able to analyse data, write product descriptions, answer shoppers’ questions or write codes...

Thumbnail-Photo: First of its kind accessible checkout unveild by Woolworths, creating...
03.01.2024   #Tech in Retail #cashpoints

First of its kind accessible checkout unveild by Woolworths, creating new employment opportunities

Breaking Barriers in Retail: Woolworths' New Checkout Design for Wheelchair Users

In what is believed to be a world first, Woolworths has unveiled an accessible checkout, designed specifically for team members living with a physical disability, including people who use wheelchairs and other mobility aids such as walkers.The first ...

Thumbnail-Photo: Nedap teams with Foot Locker to extend RFID project...
05.10.2023   #omnichannel #software applications

Nedap teams with Foot Locker to extend RFID project

Foot Locker successfully matches supply and demand in newly opened stores in Eastern Europe using RFID technology

Nedap the global leader in RFID solutions, announces that multi-brand sports fashion and apparel retailer Foot Locker has successfully extended Nedap iD Cloud to its new, Eastern European stores. The objective is to offer the best possible ...

Thumbnail-Photo: New German vending partner for ITL
30.11.2023   #Tech in Retail #cash management

New German vending partner for ITL

Innovative Technology (ITL) have recently announced Bernd Boddart as their latest trading partner

Bernd Boddart will be supplying their cash validation and biometric age verification solutions to the German vending market. Bernd Boddart, based in Mönchengladbach, Germany, have 30 years of experience in the field of coffee machines, table ...

Thumbnail-Photo: EuroCIS 2024: Go beyond today!
16.10.2023   #retail #Tech in Retail

EuroCIS 2024: Go beyond today!

27 to 29 February 2024 will see the Who’s Who of Europe’s retail technology sector meet in Düsseldorf

Go beyond today! EuroCIS at the end of February will once again show solutions and products for the retail of the future @Messe DüsseldorfIn late February, numerous companies will again exhibit solutions and products for retailers to shape and ...

Thumbnail-Photo: Toshiba Launches New ELERA™ Security Suite to Address the Industry’s...
22.09.2023   #cashpoints #customer experience

Toshiba Launches New ELERA™ Security Suite to Address the Industry’s Challenges Around Shrink

Toshiba’s A.I.-powered solution empowers retailers across the globe to better manage loss prevention and protect profits

Security Suite from Toshiba Global Commerce Solutions empowers retailers to minimize shrink...

Thumbnail-Photo: The global state of autonomous stores
18.12.2023   #Tech in Retail #self-checkout systems

The global state of autonomous stores

The stores are located in various retail segments such as food retail, fashion, electronics, convenience stores and fast food.

In a highly competitive global retail landscape, autonomous stores are an emerging force that addresses changing consumer behaviors, reduces operational costs, improves profitability, and powers revenue growth strategies. Advancements in autonomous ...

Thumbnail-Photo: MPREIS Transforms Operations with Zebra Workcloud Task Management™...
06.11.2023   #customer experience #software developement

MPREIS Transforms Operations with Zebra Workcloud Task Management™ Software Solution

Austrian food retailer to streamline communication in around 300 stores to improve staff engagement, inventory optimisation, and customer satisfaction

MPREIS has around 300 Austrian stores in regions across Tyrol...

Supplier

Innovative Technology Ltd.
Innovative Technology Ltd.
Innovative Business Park
OL1 4EQ Oldham
Zebra Technologies Germany GmbH
Zebra Technologies Germany GmbH
Ernst-Dietrich-Platz 2
40882 Ratingen
Captana GmbH
Captana GmbH
Bundesstraße 16
77955 Ettenheim
REMIRA Group GmbH
REMIRA Group GmbH
Phoenixplatz 2
44263 Dortmund