In retail, weather is both opportunity and risk. Having a good understanding of both, and ensuring accurate scientific guidance and insights are available across the entire retail network, can help ensure the right decisions are made for the forecast conditions.
MetraWeather provides a number of specialised consultancy and weather guidance information services to help retailers make the most of weather risks and opportunities.
Sales and weather correlations
MetraWeather meteorologists and business analysts have proven skills analysing historical sales data and correlating them with weather statistics while correcting anomalies generated by promotions, pay periods, public holidays, and seasonal cycles. These correlations are used to create the weather parameters, thresholds and alerts in managers’ reports and dashboards.
Waste and loss can occur at the core of retail operations or on the side lines. They can be a greater profit opportunity than growing demand. Reducing waste and losses is at the heart of weather guidance. Accurate forecasting can help reduce weather-related mark downs, spoiled and expired goods, lost or poor sales, high-stock levels, remaindered or outlet stock, and disruption to seasonal production on the farm and in the field.
Generic one-size-fits-all forecasts offer little commercial value and are not suitable for complex decision making. Without customisation generic forecasts do not highlight, for example, the weather patterns that trigger shoppers to switch to and from between particular beverages and confectionaries. Sales of new generation cider, for example, tend to be more sensitive to weather patterns.
Supply chains are demand-sensitive networks
Supply chains are now connected, agile, demand-sensitive networks. Weather impacts these networks both positively and negatively. With the right tools and guidance in their hands, forward-thinking retail managers can both exploit weather-inspired shopping decisions (BBQ dinners and parties, alfresco dining furniture, camping supplies, and confectionery) and insulate themselves from changing customer behaviour when the weather turns and disrupts supply and demand.
Business continuity planning
Weather is predictable. The impacts of climate change are less so. Patterns are emerging that point to more severe events posing new risks to doing business. Business continuity planning has embraced the need to know when and where severe weather events are forecast to impact on networks as part deploying continuation and restoration procedures and resources.
Guidance across the entire retail network
MetraWeather knows all about seasonal synchronisations and the sales stimulus that summer brings. We can also accurately predict what will happen if a spell of poor weather intervenes to spoil the fun, and how severe weather events (such as storms, snow and flooding) disrupt buyer behaviour and the supply network. MetraWeather‘s forecasts are designed to support consistent and interconnected decision-making across the entire network.
Localised advertising campaigns initiated by weather forecasts and correlated by sales data are creating exciting new opportunities for agencies and clients. They’re enabling smart agencies to creatively use digital and traditional media to reach out to consumers with perceptive, tailored offers across multiple screens and channels. Weather aligned promotions and supply networks can now be aligned around known buyer behaviours when certain weather parameters occur.
Contact us now to discuss retail weather solutions tailored to your particular needs.