Retail analytics firm Euclid has hired Tad Shepperd as senior vice president to build out its New York City office and develop the company’s East Coast client base.
Euclid is based in Palo Alto, Calif.
Shepperd was most recently a consulting partner at Claris Solutions, and before that was the chief executive officer of ShopperTrak, which he cofounded.
In joining Euclid, Shepperd teams up with Scott Crosby, cofounder of Euclid. Crosby cofounded Urchin Software, a Web analytics firm acquired by Google that formed the basis for Google Analytics.
According to Shepperd, Euclid can provide three different key metrics to help brick-and-mortar retailers understand what is happening at the store level: capture rate, engagement and loyalty.
“The technology captures WiFi signals from the smartphone. We don’t know who the person is individually, so there’s no privacy problem,” said Shepperd, who added that each smartphone is given an anonymous ID, which is used to track information every time it is within a coverage range.
Smartphones of consumers who are within the set perimeter range of a storefront can be tracked to see how long they linger in front of a store window, how many enter the store and from what entrance. Once in the store, the WiFi signal from the phones can be used to track what departments the shoppers go to and for how long. “That information gives retailers a better idea on how to merchandise the sales floor and market to consumers,” Shepperd said. He noted by example that retailers can elect to merchandise a particular entrance differently if they know that entry is the one most used by consumers, improving on both capture rate and engagement level.
The phones can also be used to help a retailer know how often the anonymous individual shopper goes to its store in a particular mall, whether he or she goes to the retailer’s store in another mall, or even if the consumer frequents other businesses within a retailer’s umbrella, such as a different nameplate or outlet location.
While the capability can’t drill down into the specifics of what is being bought and how much, it can help retailers make certain conclusions. “A device that is close to the cash register and has been motionless for a certain amount of time can likely lead to the conclusion that the shopper is by the cash wrap area [making a purchase],” Shepperd explained.