Hakkoda recently launched a suite of data modernisation services specifically designed for the retail and consumer packaged goods (CPG) sectors. This initiative aims to empower businesses in these industries to modernise their data practices, ultimately enhancing inventory management, streamlining supply chain processes, and providing real-time consumer insights.
The increasing reliance on digital solutions in the retail sector has underscored the importance of robust data capabilities. Research spearheaded by McKinsey & Company suggests that organisations with advanced technological frameworks consistently outperform their traditional counterparts. Hakkoda’s “2024 State of Data” report further highlights this trend, indicating that a significant percentage—66%—of retail and CPG brands have yet to centralise their data on a primary platform. Moreover, only 20% of these companies are actively monetising their data.
Stephen Barrett, the Vice President of Retail and CPG at Hakkoda, emphasised the strategic necessity of a modern data architecture. He noted, “Building a modern data architecture creates the foundation from which Retail and CPG organisations can gain a competitive edge with more sophisticated marketing capabilities, automated strategies for supply chain management, and faster and more accurate forecasting.” Hakkoda’s understanding of the sector’s specific challenges positions it to create tailored solutions that stimulate data innovation.
Hakkoda’s offering is rich and varied, addressing the distinct hurdles faced by the retail and CPG sectors. Utilizing its profound industry knowledge and certifications within the Snowflake ecosystem, the company provides cutting-edge solutions such as customer data platforms (CDPs), ERP analytics, data clean rooms, and innovative data monetisation strategies. These offerings are designed to furnish businesses with high-quality, accessible data—essential in the fast-paced environment of retail and CPG.
David Porter, Head of Partner Engineering at Sigma Computing, highlighted the advantages of this collaborative effort. “At Sigma, we pride ourselves on going to market for our retail and CPG customers alongside organisations like Hakkoda who are experts and innovators who match our drive to make data more simple,” he explained. “We are excited to see Hakkoda expand their services to this new vertical, where we’ll jointly support organisations to harness data to improve customer experiences.”
The launch of Hakkoda’s data solutions signals a growing recognition among industry leaders of the transformative power of data. Retailers and CPG brands are increasingly turning to sophisticated data-driven solutions to boost competitiveness and operational efficiency. This shift aligns with broader market trends emphasising the digitisation and monetisation of data assets. Companies seeking to enhance their operations and customer engagement strategies must prioritise modern data practices.
For instance, companies implementing CDPs can consolidate customer interactions from various channels, providing a unified view of customer behaviour. This level of insight allows for personalised marketing strategies, which can significantly enhance conversion rates. A well-known example of success in this area is the global beverage brand Coca-Cola, which utilised a CDP to tailor its marketing efforts, thereby improving customer engagement and driving sales.
Moreover, data monetisation strategies can generate new revenue streams for retail and CPG brands. Companies can leverage their data insights not just for their internal processes but also to offer valuable analytics to partners and stakeholders. For example, Walmart has successfully used its consumer data to create value-added products for suppliers, further cementing its relationships within the supply chain while generating new income.
In conclusion, Hakkoda’s initiative to provide modern data solutions tailored specifically for the retail and CPG sectors exemplifies the urgent need for companies to adapt to digital transformations. As the retail landscape becomes increasingly competitive, the ability to harness data effectively could prove crucial. By modernising data practices, retail and CPG businesses can improve their operational efficiency, enhance customer experiences, and ultimately drive profitability.