How Arteli Is Reinventing Retail
Thanks to the potent combination of data analytics, AI, and machine learning, retailers can now make informed decisions rooted in real-time data, propelling sales and transactions to heights that guesswork could never achieve. At the forefront of this new retail landscape is Arteli. Unlike many AI applications in retail that primarily focus on customer interactions, Arteli takes a holistic approach to the physical store. It redefines the art of merchandising through groundbreaking data modeling, offering its clients a substantial return on investment. As a predictive analytics platform propelled by artificial intelligence, Arteli surpasses mere consumer experience enhancement, guaranteeing augmented revenue and margins while also addressing operational hurdles in the retail domain. Ultimately, it reinvents the retail landscape as we understand it.
Arteli maintains a multi-faceted strategy, encouraging companies to reimagine their retail spaces and enhance the customer experience. Its primary goal is to leverage technology to transform physical retail environments. The three key facets of Arteli’s platform include providing product assortment recommendations, offering pricing and inventory predictions, and automating store design/layout — all aimed at ushering in a new era of retail innovation.
Efficient product assortment is pivotal in ensuring that retailers stock the right products in their stores. Customizing a store’s assortment requires intricate knowledge of various factors such as purchasing data, size spreads, and other pertinent data points. Achieving a tailored and relevant in-store experience demands a deep understanding of individual store-level dynamics, including factors like popular items, required sizes, and trending colors, which can vary significantly between stores.
Arteli’s second strategy revolves around the intricate realm of pricing and inventory predictions. The challenge lies in tailoring pricing variables to align with the unique pricing dynamics of diverse local markets. Unlike a uniform, one-size-fits-all pricing model, retail spaces often require nuanced adjustments to cater to local goods pricing variations. What may serve as an effective promotional tool in one location might not yield the same impact elsewhere, and different pricing strategies may yield varied results across different areas.
Traditionally, retail stores rely on post-analysis of data, often using last year’s sales data at a regional level to guide inventory decisions. This retrospective approach limits the ability to make timely and informed decisions based on current trends. Arteli, however, stands out with its sophisticated and proprietary data utilization. By employing aggregated predictive modeling specific to individual store locations, Arteli enables more real-time decision-making, moving beyond reliance on outdated data and offering a dynamic approach to inventory management. Arteli’s platform also alerts retailers when inventory is running low, ensuring products are available to customers regardless of size, color, or any other variables.
Arteli’s cutting-edge data models excel at swiftly and precisely computing these crucial considerations to ensure accurate inventory levels. By discerning and extracting these critical data points and pivotal nuances, Arteli empowers retail stores to optimize profits and enhance sales performance, acknowledging the intricate dance of pricing strategies in diverse market landscapes.
Thirdly, Arteli’s data-driven insights offer tailored product placement guidance by optimizing store design and layout. Recognizing that trends can vary across locations, strategic placement of products within a store plays a crucial role in driving sales. Additionally, the diverse climates in different store locations necessitate a nuanced approach to the types of items stocked throughout the year.
Armed with these insights, stores can curate an immersive shopping experience by strategically placing relevant and on-trend items. Arteli’s platform seamlessly provides retailers with recommendations for optimal item placement, enhancing store layout and flow. Its advanced platform also factors in climate and weather variables, ensuring the most relevant items are placed strategically in the retail space. In essence, Arteli harnesses extensive aggregated datasets to deliver comprehensive, real-time suggestions, enabling stores to maximize their space effectively and make timely decisions. These informed decisions not only boost sales but also contribute to a more enjoyable and personalized shopping experience for customers in-store.
Arteli further enhances the efficiency of retail spaces by seamlessly integrating ship-from-store orders, which often constitute a significant portion of retail store transactions. Unfortunately, many retailers face challenges in maximizing the shipping value for the store due to a lack of a comprehensive inventory list. This missed opportunity, stemming from the absence of integrated data, results in heightened overhead costs and diminished profits. Arteli steps in to bridge this gap and optimize the handling of ship-from-store orders.
Rather than relying on outdated data from the previous year for predictions, Arteli’s platform harnesses real-time insights to generate forecasts. This approach involves utilizing aggregated datasets that incorporate insights from various regions, allowing for a comprehensive understanding of market dynamics. The platform employs data scaling techniques across multiple locations and takes into account the nuanced impact of inflation in different areas.
Recognizing the pivotal role of AI in driving sales and profits, more and more retailers are looking for ways to adopt AI solutions to stay competitive with their peers and industry rivals. A forecast for retail industry trends in 2024 indicates a notable surge in the integration of AI within the retail landscape. The data reveals that retailers leveraging AI achieve a remarkable 2.3 times more growth in sales and an impressive 2.5 times more growth in profits compared to their counterparts not utilizing AI data models.
The implementation of AI at retail facilitates the rapid analysis of extensive datasets, resulting in expedited decision-making, heightened operational efficiency, and a notable reduction in human errors. However, Arteli recognizes that humans can never be replaced by AI. While AI can analyze vast amounts of data and provide recommendations, complex decision-making often involves considering various factors, contexts, and ethical considerations. Humans possess intuition, judgment, and contextual understanding that are crucial for making complex decisions that align with business goals and values. Arteli envisions AI in the retail space as a tool to enhance human capabilities rather than replace them.
While AI will not replace humans, the integration of AI does prompt the necessity for upskilling employees in AI-related areas through comprehensive training programs. This approach empowers individuals with the tools needed to leverage AI effectively and navigate the evolving technological landscape. Furthermore, the implementation of AI fosters a collaborative culture that encourages resilience, problem-solving, and continuous learning, enabling businesses to overcome challenges that may arise from its incorporation.
Guided by the National Retail Federation’s Principles for the Use of Artificial Intelligence in the Retail Sector, Arteli has meticulously crafted a sophisticated platform centered around its clients. These principles emphasize stringent risk management protocols, a commitment to fostering customer engagement and trust, leveraging AI for positive workforce applications, and ensuring accountability in business partnerships.
Arteli’s chief goal is to provide retailers with actionable insights that propel businesses forward, improving their bottom line and driving operational efficiency. This poises Arteli’s clients to nimbly adapt to changing markets and economies. By utilizing Arteli’s actionable insights and adaptable interface, retailers can reinvent themselves to be resilient through changes, make informed data-based decisions for their spaces, and firmly plant themselves to ride the wave of the reinvention of retail. The synergistic integration capabilities of Arteli’s software platform, coupled with its demonstrable high ROI, position Arteli as an indispensable catalyst for retail spaces looking to reinvent themselves and chart a revolutionary path for the future.
Access Arteli’s case study and learn how they maximized revenue and margin for a global furniture store chain by utilizing intricate data to optimize product selection through predictive analytics and AI-driven insights.
ABOUT ARTELI
Arteli is the first advanced artificial intelligence and machine learning platform to reinvent retail by transforming analytics, blending the physical with the digital, for brick-and-mortar showrooms. Created to function as the central hub for retail executives, Arteli connects executives with actionable insights, propelling their business toward transformation by improving their bottom line, and driving operational efficiency. Arteli aims to reinvent in-store retail by revitalizing in-store shopping for people’s largest purchases. It’s not merely data; it’s comprehension, informed decision-making, and, ultimately, the catalyst for achieving revolutionary outcomes at retail.
