Using the Retail Interaction Tool

Updated

Retail Interaction quantifies the options available for shoppers to choose between multiple retailers. The trade area for the focus stores overlaps with their competitive stores, and the options available to the shoppers in that overlapping trade area are modelled. This allows for identifying key areas of competitive pressure for a retailer and ranks the dollars at risk. Stores, banners and accounts can be grouped as focus and competitive stores to understand the larger dollars at risk.

This output does not determine where shoppers decide to go, only the options available. Dollars in this report indicate the competitive pressure; the relative share (index, percent) is more important than the specific dollar value.

Use the WalkMe Through below as an on-screen, step-by-step guide for the tool in ENVISION, or refer to the steps below in this article.

WalkMe Through

Inputs required:

  1. Launch the Retail Interaction tool.

    Retail Interaction tool icon

  2. Click Next.

    Reorder report pages and click next

    Tip: Click and drag a page to change their order.

  3. Under Select Stores, click the space next to User Areas to switch to System Areas.

    Note: Retail Interaction only works with System Areas.

    System Areas toggle

  4. Select Spectra Trade Areas from the Select a data source drop-down. 

    Select data source

  5. Select your desired Trade Area level from the next drop-down.

    Select trade area level

    • Stores: The individual Store location.
    • Banners: The chain organization to which the individual Store belongs.
    • Accounts: The parent company that owns the Banner.
    • Aggregate Channel: Channels are categories of stores (e.g., Grocery, Mass Merchandiser, etc.). This trade area level aggregates the values to the Channel level, which is helpful for market share/sizing.
    • Aggregate Geography: This trade area level aggregates the data to various geographies, down to the FSA level, similar to other EA products.

  6. Select one or more focus Stores, Banners, Accounts, Aggregate Channels, or Aggregate Geographies you want to compare to competitors. 

    Select stores

  7. Under Select Competitors, click the space next to User Areas to switch to System Areas. Note: Retail Interaction only works with System Areas.

    System areas toggle

  8. Select Spectra Trade Areas from the Select a data source drop-down. 

    Select data source

  9. Select your desired Trade Area level from the next drop-down. 

    Select trade area level

    • Stores: The individual Store location.
    • Banners: The chain organization to which the individual Store belongs.
    • Accounts: The parent company that owns the Banner.
    • Aggregate Channel: Channels are categories of stores (e.g., Grocery, Mass Merchandiser, etc.). This trade area level aggregates the values to the Channel level, which is helpful for market share/sizing.
    • Aggregate Geography: This trade area level aggregates the data to various geographies, down to the FSA level, similar to other EA products.

  10. Select one or more focus Stores, Banners, Accounts, Aggregate Channels, or Aggregate Geographies you want to include in your analysis as competitors.

    Select competitor stores

  11. Enter a % Risk Cutoff Value.

    Enter risk cutoff value

    Note: % Risk represents the proportion of total focus store All Commodity Volume (ACV) that the competitors could access. The maximum cutoff value that can be assigned is 15% of total focus store ACV. The minimum cutoff value that can be assigned is 2% of total focus store ACV.

  12. Customize the report name and click Create Dashboard. You will see a notification in the bottom-right corner indicating your report is being created.

    Customize name and click create dashboard

    Review our How-to-Read documentation (opens in new tab) to help you interpret this dashboard report.