The rise of analytics in the jewellery industry
June 10, 2021
In the last few years, the jewellery industry has witnessed a lot of disruptive innovation with advancements in technology. Earlier, the jewellery business was restricted to family owned or proprietor-run entities. However, nowadays, the jewellery industry is transforming by leaps and bounds and aligning itself with the advancing corporate culture. There used to be lesser number of stores, but with rapid growth and consumerism, there is a proliferation in the retail outlets and franchisee stores along with an increase in the presence of online players through e-Commerce websites and applications. Besides, the decision-making by businesses in this sector was purely based on instincts and unverified presumptions. With the availability of data, businesses can now take decisions based on actionable insights and calculated inferences. With the shift in operational structure, humongous amounts of data are being generated which include sales data, customer data, expense data, warehouse data, etc. Analytics tools and methods used earlier such as the MIS are becoming less utile to handle such enormous amount of data, and are failing to analyse it for generation of insights. In order to overcome this technological barrier, advanced analytics tools are being used to provide actionable insights to enable more informed decision-making. The jewellery industry has a lot to benefit from the potential of data driven insights and advanced analytics, something that other players in the retail sector are already leveraging. With an increase in sales and customer base on an ongoing basis, the amount of data being generated is also enormous. It is important for businesses to make sense of this data and generate information that can empower strategy and operations. Data, when processed and analysed effectively, can act as the fuel that drives the engine of transformation for businesses. We are also seeing a sharp rise in predictive analytics techniques that help in anticipating what the customer base is more likely to get attracted to in times to come. This paper focuses on the important aspects of various analytics and predictive techniques that can be leveraged by the jewellery industry to scale the business to greater heights and prevent various risks involved in the business.
