Personalization for the biggest children's goods retailer

CHALLENGE
Facing fierce competition and shrinking margins, the retailer needed a growth engine. The promising solution was to leverage the accumulated vast customer data that remained untapped. Inconsistent databases, duplication, and lack of a central system hindered personalized offers and effective customer feedback analysis.

SOLUTION
AlumniHub built a robust customer data platform (CDP) integrating all customer and product information. This empowers us to:

• Craft Personalized Recommendations: Our AI-powered models analyze user behavior and preferences to curate product selections most relevant to each customer. This goes beyond just the homepage and app, maximizing revenue by recommending high-potential purchases.
• Unlock Smart Pricing: AlumniHub leverages a combination of machine learning and reinforcement learning (RL) to dynamically offer personalized discounts for each customer, ensuring maximum value for both the customer and the company.
• Refine Customer Insights: A powerful review classification model, built with transformers and boosting algorithms, automatically analyzes customer reviews, providing valuable insights into customer sentiment and satisfaction.
• Unify Data & Drive Action: Our product/user deduplication system, powered by vectorizers and heuristics, acts as the foundation for all our recommendation algorithms, ensuring data consistency and accuracy.
• Similar Product Discovery: Our "People also buy this" section gets smarter with word2vec models, learning from user purchase history to suggest similar products based on actual customer behavior.

RESULTS
While the project is ongoing, AlumniHub aims to achieve a 5% increase in sales by fostering a deeper understanding of customers.