Smart Checkout

Model of service

At the heart of Smart Checkout technology (for October, 2013) – a hardware and software system which allows to define most precisely requirements and preferences of the specific buyer during payment of goods at the checkout of shop, and on the basis of these data to create the offer, unique for it. A system obtains information on structure of the current check and the ID card of the regular customer and compares them with the set criteria of selection on the basis of different parameters:

• presence at the check of certain goods,
• amounts of the check,
• payment type (cash or card),
• floor,
• age,
• history of purchases.

After data analysis a system defines need of printing of the coupon and also what target audience this buyer and of what offer it is necessary to inform it treats. Coupons are printed automatically at payment of purchase at the checkout of shop and only that who corresponds to the set criteria of a specific action. Thus the buyer receives not the abstract advertizing message, and the useful and up-to-date information which is precisely verified in compliance with its interests and requirements.

The Smart Checkout system helps to manage behavior of the buyer in a sales point:

• stimulate trial and encourage repeated purchase,
• switch attention from products of competitors,
• increase loyalty to a brand, etc.

With its help the producer can:

• announce a new product;
• inform buyers on advantages and advantages of products;
• obtain information on consumer activity for specific time frames and also the reporting and to the sales analyst and attendance of outlets.

Each printed coupon is registered in a system at unique number. At activation (receiving a discount, activation of the code of the coupon on web/SMS service) coupons are repaid in a system that excludes a possibility of their reuse and also uses of copies. Practice shows that buyers activate about 30% of coupons.

One of main advantages of Smart Checkout™как of the marketing tool is accurate targeting – only the target audience is informed on an action at the expense of what conversion and return from a promotion company increases. The shop receives the interested buyer with repeated purchase, and a brand which started advertizing - loyal clients who will buy more its goods.

The Smart Checkout™ system allows to collect and save information on the made purchases, to analyze checks. In case of presentation of the card of the client there is an opportunity to consider as well his personal history of purchases. Reaction of buyers for an action is easily measured by the number of the used (shown) coupons. As each coupon is registered in a system at unique number, it is possible to analyze when and where the coupon was issued and shown what structure of a basket of the buyer during the receiving and activation of the coupon was.

2014: Project Development

The project in retail TOP-10

There are negotiations with all largest retailers working in Russia. Potential audience of the Smart Checkout™-50 project of one million people a month.

Advantages of Smart Checkout over world analogs

The Russian retailers use a set of types of cash software. Advantage of Smart Checkout™ is the universality of integration with the retailer, an opportunity to perform integration for choice – hardware or one of three program methods

Wide choice of marketing tools. Smart Checkout can perform:

• information actions,
• discount campaigns,
• generation of unique number and alphabetic codes on the coupon,
• actions with accumulation of points using a series of consecutive coupons,
• the actions allowing to receive a gift for purchase according to the coupon.

System architecture and data warehouses is constructed in such a way that allows to connect set of external services and to enrich data on buyers:

• The equipment on automatic issue of prizes and product samples according to the coupon within the marketing actions
• Mobile operators and services of mobile payments
• Website
• Mobile applications
• RTB exchanges
• Open API

In development only the free software independent of vendor, more flexible is used. Thanks to it the final solution is optimal on a ratio price/quality

Uniqueness of the Smart Checkout project

As the Smart Checkout system is implemented by a large number of retailers, it can collect anonymous consumer data from shops of different location / from different retailers / additional sources. Data analysis and reports on different criteria form very quickly and with rather high accuracy as in their basis a large number of examples. It also has significant effect on cutting of costs for collecting and the analysis of necessary information. The structured data available in a cloud will help to receive more good results, than the unstructured analysis based on a limited number of data.

Franchizing of Smart Checkout

One of the most important advantages of the project – almost neogranichennoyemasshtabirovany. Also the vnedryaetsyafranchayzingovy project which will give the chance to take advantage of Smart Checkout™ to the companies of the most different formats, small networks and even to separate shops is for this purpose developed. In this case the customer buys only the equipment, and the software and processing of coupons of Smart Checkout™ is provided to it as a cloud service.

2013: Project Development

Prostor Capital invests $2 million in Smart Checkout

On October 16, 2013 the Prostor Capital venture fund invested about $2 million in the Smart Checkout project. Learn more: Open Retail.

"This project was pleasant to us at once: the solid team, a real innovation, lack of analogs in Russia moreover and revenue generate since launch — the managing partner of ProstorCapital Alexey Solovyov says. — For a year of joint work we were convinced of correctness of our solution. Smart Checkout solves the most difficult problem of large-scale integration with the largest retail networks of Russia now and does it extremely productively. From brands more and more repeated requests for holding advertizing campaigns arrive that speaks about high cost efficiency of their tools".

2011: Start of the project

Obtaining the patent in Rospatent

In 2010 system development was successfully complete, in April, 2011 on it patent No. 1039048 of Federal Service for Intellectual Property, Patents and Trademarks is taken out (Rospatent).

2009: Beginning of product development

In 2009 the Open group company invested in development of the innovation automated system of marketing communications for Russia – Smart Checkout™ which is intended for management of behavior of the buyer in sales points.

It is essentially new communication channel with buyers of retail stores which is used for promotion of goods and services and allows to inform of the address advertizing message the representative of target audience. Developers set a goal to create the system allowing to perform collecting, storage, processing and data analysis about purchases in retail for identification of target audiences of marketing campaigns using technologies Data Mining and Big Data.

Notes