eCommerce

Segmentation reports and their usage in Magento, Shopify, and BigCommerce eCommerce stores

January 30, 2020

Shane

Online retail is growing at a brisk pace and is leaving no stone unturned. eCommerce has covered almost every single vertical including fashion, jewelry, gadgets & accessories, electronics, home & furniture, pharmacy, food, sports, books & magazines, etc.

A lot of offline brands have also started online as their customers expect this and it also gives them a new channel to attract customers. An omnichannel presence is very much a requirement for retailers today. But the online platform has also increased the competitiveness among the retailers. All the medium and large enterprises are now competing with retail giants like Amazon and Walmart in the same playground.

To strive with this competition, eCommerce retailers need to use effective tools, Online Merchandising solutions, and smart business strategies.

Limitations in Magento, Shopify, and BigCommerce

Most eCommerce platforms provide digital infrastructure to start an online retail store. Think of them as digital brick & mortar to inventory, display & facilitate the sale of products. While digital has access to every minute data point, these platforms do not collect, analyze, and provide insights to data by default. Fortunately, these platforms have an ecosystem of extensions that supplement the platform with tools that fill the gaps that are not solved by the platform. Data, reports & insights are one of the many limitations on these platforms as this is currently not part of the core competency of the platform.

What reports are available in most eCommerce platforms?

eCommerce platforms like Magento, Shopify, and BigCommerce provide only basic reports such as bestsellers, most viewed, wish-listed products, etc. All these are one-dimensional reports that cover over a date range. Also, there are no reports specific to the channels (Site Search / Product Listing Pages / Product Recommendations) through which visitors engage. These channel-specific reports are important to identify the gaps/leaks.

And, all these reports lack a multi-dimensional comparison. This approach is very much important to arrive at substantial-conclusion about product performance.  

magento e-commerce reports

(Magento Advanced report)

Image Source: Magento

What is a Segmentation report in Tagalys?

Tagalys in addition to the advanced e-commerce merchandising solutions also provides detailed and smart insightful reports to its customers.

Product Segmentation reports in Tagalys are one of a kind reports that group products into different performance categories.

Example. Revenue Vs. Product views are one type of segmentation report that buckets products into categories like High-Exposure, High-Potential, Low-Potential. Low-Exposure.

It helps retailers to understand how the products are performing with respect to the visibility it had received.

eCommerce product segmentation reports

(Product Views Vs Revenue)

Advantages of Segmentation reports

The segmentation report offers the following advantages

  • Merchandising and marketing planning

Segmentation reports give a clear picture of the best and worst-performing products with respect to the amount of visibility it received.

Example: A product might be performing well even with the least exposure. This might be a potential product to increase the store revenue if promoted or given more exposure

The products that are not contributing to revenue can also be identified from the report. If such products had been promoted and given more exposure, the merchandising team can decide to reverse them.

eCommerce segmentation reports in Tagalys
  • Product sourcing and Inventory management

eCommerce retailers need substantial data to determine what products to source and what products can be avoided/reduced. Segmentation reports categorize the complete inventory based on its performance and this data can be used by the procurement team to prioritize the purchase order.

  • Shipping planning

Shipping management is an important area in eCommerce that consumes a lot of time as well as human resources. The products that have high potential and high revenue contribution can be identified and prioritized using this report. They can be sent and kept dispatch-ready at the warehouses.

  • Error identification

There may be instances in which a few products get promoted due to misjudgment or skeptical insights. Such products can be identified in the segmentation reports.

Tagalys maximizes conversion rate & gives merchants visual control of products displayed in e-commerce search, Product Listing pages, or Collections & Product Recommendations at e-commerce stores. To know more about our solutions and features, get in touch with us now.

Trusted by retailers worldwide

Vanja S

Sheike

"Tagalys makes merchandising effortless. Their data driven sequencing and sorting drastically improves our effectiveness. Tagalys takes the guesswork out of merchandising and product recommendations."

Ryan R.

Camilla

"I love that Tagalys listens to customer needs and has an innovative + agile team around them which can support addressing those needs and adding improvements to the roadmap."

Rafaelle C.

Blue Bungalow

"Tagalys is the powerful and reliable data-driven solution that we were looking for when it came to search & merchandising for our Shopify Plus store. There is no limit as to how custom you can get with your merchandising, which is exactly what we were after!"

Tiarne Warren

Meshki

"The dedication of Tagalys team is evident from the feature developments. I appreciate their effort in understanding our business needs and feedback. We have saved numerous working hours and achieved great performances."