Understanding consumer behavior hasn’t always been clear-cut. Every CPG brand faces the same conundrum: there’s no surefire way to peer into the shopping carts of customers, uncover the exact products they’re buying, and spot emerging purchasing patterns. That is, until now. Veryfi is changing the game for CPG brands, allowing brands to create strategies for boosting customer acquisition and retention using analytics and modeling. Veryfi developed product matching, an AI-powered capability that performs line-item analysis across UPCs, EANs, and SKUs. Veryfi developed AI models that sift and extract receipt data, recognizing patterns and using machine learning to create educated recommendations. This means that every item in a shopping cart or receipt can be “matched”, revealing exactly what the item’s flavor, quantity and size, batch, store purchased from, strategies on how to sell more of it, and more. Product matching maximizes the value that CPGs can obtain from a receipt, turning zero-party data into actionable insights. Let’s dive into the various use cases for product matching:
Creating Sticky Loyalty
At the heart of product matching lies the ability to see precisely what your customers are buying. This means you can track the items they’re putting in their shopping baskets with pinpoint accuracy. For CPG brands, this is like having a direct line into the minds of consumers. You can identify which products are popular together, detect shifts in buying behavior, and uncover trends that might have remained hidden otherwise. These data points become cross-basket insights. Armed with cross-basket insights, CPG brands can tailor their marketing efforts like never before. By understanding which products are often purchased together, you can create targeted promotions and bundle deals that resonate with your audience. This level of personalization can significantly boost sales and customer loyalty. Veryfi processes documents and creates purchase validation processes specifically for CPGs and loyalty marketing programs. If you’re a curious developer designing for CPGs, read up on the types of receipts and financial documents Veryfi OCR API processes inside Veryfi API Documentation.
Creating Competitive Advantage
Knowing how your products are used in conjunction with others can be invaluable for product development. It helps you identify opportunities for product improvements or new product launches. You can align your product roadmap with real-world consumer behavior, reducing the risk of launching products that don’t resonate with your target audience. In a fiercely competitive market, any edge you can gain is priceless. Product matching provides that edge. CPG brands and retailers can stay ahead of the competition by adapting quickly to changing consumer preferences and trends. This agility can make the difference between success and obscurity.
** Here we have Veryfi pulling up the exact products and details of two items purchased, as shown in the items’ respective receipts.
Creating Sustainable Distribution
As a CPG brand, you are incentivized to sell as much product to as many buyers as you can–everywhere. You are incentivized to equip stores with insights on how they can sell more of your product. This is where insightful inventory movement based on buying patterns comes in handy. By leveraging product matching, CPGs are then able to successfully provide stores with stocking, pricing, and product placement recommendations for optimizing sales. As for the stores themselves that carry a multitude of CPG brands, keeping track of inventory can be a logistical nightmare. Product matching simplifies this process immensely. It allows retailers to maintain optimal stock levels, reduce waste and sitting/unsold inventory, and ensure that popular products are always available to customers. For online retailers and department stores, product matching also means stores can know what complementary products to recommend to customers based on purchase history (from receipts). Lots of CPG industries benefit from this range of capabilities. The relationship between brands and stores is symbiotic. By enhancing distribution using product matching, the overall shopping experience is enhanced and the road to sustainable profits for both brands and stores is better highlighted.
What could your company do with product matching?
Performing product matching utilizing extractions of UPC, EAN, and SKU codes is allowing CPG brands to unlock the treasure trove of cross-basket insights they’ve been searching for. This is invaluable, near infallible data that insights are drawn from because product matching operates on receipts, which are given after a purchase has already been made. CPG brands are able to answer their burning questions, such as: what products are people commonly buying alongside my products in one shopping trip to Trader Joe’s or Target? What are people not purchasing? What specific items from my competitors are my most loyal customers purchasing? From what stores are customers purchasing my products? What combinations of promotions, seasonal discounts, and pricing are not driving sales and why? How do I tweak current loyalty programs to offer more personalized rewards and drive higher sales? These questions scratch only the surface of what product developers, acquisition and retention managers, and loyalty program managers can gain from product matching’s powers to unlock cross-basket insights…Veryfi’s CPG customers have been loving the growth strategies that product matching and cross-basket insights have been revealing for them thus far!
Veryfi continuously builds new products to solve the pressing problems that businesses are experiencing. Check out what you can accomplish with these product expansions!
