Data-Driven Retail Strategy: What I Learned From Reading Every Amazon Shareholders Letter

We leverage analysis of information, data analytics, to help our customers make informed, strategic decisions that optimize their business strategies.

Following quote borrowed by this revealing article is a great example of a business strategy that is paying off dividends after decades of optimization.

Think to yourself, how your company can benefit from data-driven decisions?

When Amazon drops their prices, they actually know that this strategy decreases revenue and margin in the short term. And they know the price elasticity well enough to know almost exactly how much money they are losing by doing this, but they are building long term value for their customers. In turn this strategy attracts more customers to Amazon who spends more in the Amazon ecosystem over time and increases the long-term value of the company.

After we grasp an understanding of a client’s business, the first set of questions we ask is regarding the quality, depth, breadth and health of data.   A Data Quality Report (DQR) is the deliverable of this stage and provides a handful of fundamental summaries of the data that may or may not offer insight into your business to date.  Rather, it offers us a view of the foundation of your business data upon which we can begin building analytics.

Take a look at an example of a DQR performed by our collegiate team on the City of New York 2016 Property Tax data during a Fraud Analytics class taught by our current business advisor and then professor, Dr. Stephen Coggeshall, at the Rady School of Management at the University of California San Diego in 2017.

Source: What I Learned From Reading Every Amazon Shareholders Letter

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