Advanced data analytics for a better shopping experience:
Telefónica NEXT takes over start-up Minodes
With the takeover of the Berlin-based start-up Minodes, Telefónica NEXT strengthens its competence in intelligent data analysis for offline retail. The core competency of Minodes is the analysis of anonymised customer flows within a shop. This provides offline retailers with the analytical and marketing possibilities of online retail. It allows them to better tailor their offers to the needs of their customers and to provide a better shopping experience. The applications will be integrated into the data security framework of Telefónica Deutschland. “Taking over Minodes enables us to open a new chapter in offline retail”, says Jens Lappoehn, Managing Director of Telefónica NEXT. “Online shops have long been in a position to closely analyse customer requirements and to react quickly to individual requirements. Together with Minodes, we will also offer offline retail the opportunity to better understand customer behaviour based on data. This makes it possible for every retailer to adapt their business to customer needs while at the same time providing a seamless customer experience across all channels.”
Data use and protection go hand in hand
In its takeover of Minodes, Telefónica Deutschland continues to adhere to its requirements for data protection and control. To this end, Minodes applications will in the future be integrated into the data security framework of Telefónica Deutschland. This also includes the possibility for customers to opt out of the use of their data.
New findings on customer behaviour in the shop
Until now, Telefónica NEXT has analysed anonymised mobile network data outside of shops and thereby gained information on movement flows. As an example, the subsidiary of Telefónica Deutschland calculates traffic flows in a city as well as customer flows in the vicinity of a certain shop. Retailers will thus be able to better assess locations based on the findings. As a leading company in the field of in-store analytics, Minodes also provides findings from the shop itself. In order to achieve this, sensors capture the WiFi signals of mobile network devices, which makes it possible to calculate anonymised customer flows in the shop. What routes do customers walk along? What shops or products do they find attractive? How much time do customers spend in a shop, and where? Based on the data, shopping centre operators or retailers can better understand customer flows and optimise factors such as sector mix, product range, shop design, staffing or marketing. Shops can also compare results, identify strengths and develop data-based measures. In addition, the marketing-tech start-up offers so called omni-channel retargeting. This means offline retailers can interact with offline shoppers via various digital channels. This makes it easier to combine the offline with the online world.
Seamless integration of capabilities
“Our mission is to lead offline retail into the digital future,” says Minodes founder Alexander Köth. “In the course of digitalisation it is crucial for offline retailers to interact with different visitor groups in a targeted manner. This only works, however, if they understand their visitors in detail. To do so, we have developed solutions in the past few years. Together with Telefónica NEXT, we are now able to significantly accelerate our growth path.” Jens Lappoehn adds: “The future seamless integration of the capabilities of Telefónica NEXT and Minodes is unique in the market. By doing this, we enable retailers to make data-driven decisions along the entire customer journey.”
The customer shopping experience will improve
For customers, smart technologies used by retailers makes shopping easier and improves the shopping experience. For example, buyers can find favourite products more easily, move through the shop in a more targeted way or receive faster service. “Of course retail is an obvious area for this technological innovation,” says Jens Lappoehn. “However, completely different areas such as airports, amusement parks, soccer stadiums or museums deal with similar issues. Everywhere people move, they have different needs. Our solutions serve to understand and respond to these needs.”
Minodes becomes 100% subsidiary of Telefónica NEXT
Telefónica NEXT takes over the start-up from the existing shareholders for a low double-digit million amount. One of the main shareholders is the venture capital company Project A Ventures from Berlin, which has supported the development of Minodes over the past years. “The exit shows that Minodes’ approach to link online and offline retailing is becoming increasingly relevant and rewarding,” says Thies Sander, partner at Project A. “We consider Telefónica NEXT the ideal partner for Minodes. They have profound competencies beneficial for the further development of the product and provide access to relevant potential customers.”
Minodes co-founder remains on board as managing director
Minodes was founded in 2013 and currently employs over 40 people. After the successful takeover, co-founder Alexander Köth and the employees will remain at Minodes GmbH. The other co-founder Tim Wegner has recently left the company to focus on new start-up projects, but will remain committed to the company as an advisor. Telefónica NEXT is already active in the area of smart retail based on Advanced Data Analytics and the Internet of Things.