Layout Optimization and Promotional Strategies Design in a Retail Store based on a Market Basket Analysis

Jonathan Bermúdez, Kevin Apolinario Rodríguez, Andrés G. Abad
2016 Proceedings of the 14th LACCEI International Multi-Conference for Engineering, Education, and Technology: "Engineering Innovations for Global Sustainability"   unpublished
Retail transactional data is a rich source of information offering new dimensions for company's competition. The challenge is to turn data into useful insights with business value. One widely used technique for analyzing transactional data is Market Basket Analysis (MBA), which is a data mining technique that studies what customers' are buying together. Thus, MBA is a contingency study and not a correlation analysis. In this paper we present a case study for analyzing retail transactional data
more » ... sing MBA and use the results as a prescriptive model for sell floor optimal design and for guiding the design of related in-store promotional strategies. Abstract -Retail transactional data is a rich source of information offering new dimensions for company's competition. The challenge is to turn data into useful insights with business value. One widely used technique for analyzing transactional data is Market Basket Analysis (MBA), which is a data mining technique that studies what customers' are buying together. Thus, MBA is a contingency study and not a correlation analysis. In this paper we present a case study for analyzing retail transactional data using MBA and use the results as a prescriptive model for sell floor optimal design and for guiding the design of related in-store promotional strategies.
doi:10.18687/laccei2016.1.1.307 fatcat:z5scjdyxurabpnbkf6alwtnvxm