StORES Magazine - February 2006 - (Page 70)

DATA WAREHOUSING Marketing Muscle United States feature the printers, and another 6,000 are installed internation- Catalina ups the targeting ante with ally. T Retailers can also use the service to data warehousing appliance determine which shoppers are defecting from the store, Williams says. Then they can directly communicate promo- BY DEENA M. AMATO-McCOY tions to these shoppers to entice them to come back. hanks to its expertise in processing consumer data and providing The marketing possibilities are endless, customer-specific analysis, Catalina Marketing has become a strate- especially with a database filled with ro- g i c marketing partner for the retail industry. When the company bust volumes of data. In fact, there are expanded its trademark analysis program into an interactive model, 425 billion rows of data in one table however, it quickly became evident that Catalina's legacy data warehouse alone. configuration could no longer support detailed queries across its growing vol- Data volume umes of data. As our [retail] partners continue to In an effort to make the program more By transitioning its traditional OLAP grow their businesses and add stores, interactive, Catalina now enables retail configuration to a more cost-effective they also ask us to expand the volume of partners to submit data online. Now re- data warehouse appliance, Catalina data available to them, Williams says. tailers can query data in real time and achieved faster query speeds and im- To date, our retail partners can access drill down to specific information about proved manageability. By delving into up to two years' worth of transaction their stores, says Eric Williams, execu- consumers' purchase behavior, Catalina data. Catalina's legacy OLAP data tive vice president and CIO for the St. Pe- warehouse was having a tough time enables retailers to foster more effec- tersburg, Fla.-based company. Armed meeting the demand, however. tive, cost-efficient promotions than tra- Relational databases can easily be connected to analysis tools and they can process large volumes of data, Williams says. However, where the challenge lay was in its ability to efficiently handle queries across this large volume of data. Some queries could take seconds, while others could take minutes or more. That is not interactive. In addition to speeding up its queries, Catalina needed a solution that could pro- vide a lower total cost of ownership. Clearly, it is a costly endeavor to manage a database's processor, related software and storage disks. There is also a signifi- Catalina Marketing c a n t cost associated retrieves about 250 million to maintain the system, with the people needed transactions from more Williams says. Labor with this data, they ditional marketing approaches. w o r k with us to than 21,000 grocery stores and maintenance costs Catalina upholds this promise with its each week. create promotions add up, making it quite Retail Direct Online RDOL program. and deliver money- expensive. This service enables retailers to transfer saving coupons. their loyalty card and transaction infor- After some evaluation, Catalina real- ized it would be more cost-efficient to mation directly to Catalina which ana- Retailers can deliver these promotions lyzes this data and creates sophisticated in a variety of ways. Some rely on direct migrate its RDOL operations to a data warehouse appliance integrated with the marketing campaigns for its retail part- mail or e-mail messages; others deliver ners. Catalina Marketing retrieves about company's existing solutions, such as its these coupons at the Catalina coupon 250 million transactions from more than MicroStrategy business intelligence machines placed at retail point-of-sale 21,000 grocery stores each week. units. More than 17,500 stores in the front end. 70 S TO R E S / FEBRUARY 2 0 0 6 W W W. S TO R E S . O R G http://WWW.STORES.ORG

Table of Contents for the Digital Edition of StORES Magazine - February 2006

Executive Editor's Page
President's Page
NRF News
Retail People
COVER STORY: Spicing Up Service
In-Store Marketing
Loyalty Programs
Store Redesign
Customer Service
Content Management
Human Resources
Electronic Signage
Supply Chain
Channel Compatibility
Data Warehousing
Workplace Law
Loeb Retail Letter
Point of View
Advertising Index
Company Index
Retail Profit Scoreboard
Retail Industry Calendar

StORES Magazine - February 2006