Target Buys Powered Analytics To Bring In-Store Personalization To the Brand
By Christine Kern, contributing writer
Addition brings an “Amazon-Like shopping experience” into physical stores.
Target has had a rough year, and it had been pulling out all of the stops to overcome the obstacles it has encountered. In its latest move, Target is hoping to capitalize on new technology to improve customer satisfaction by bringing in-store personalization to the brand.
Collin Otis, co-founder and CEO of Pittsburgh-based Powered Analytics, has announced that the company has been acquired by Target Corp., for an undisclosed amount.
Powered Analytics' Fabric product uses mobile technology, location data and machine learning to connect a retailer's app to the in-store shopping experience.
The AlphaLab website describes it like this: “Our machine learning and data mining platform delivers actionable data-driven insight that results in better decisions, more effective targeting, and less waste in business operations and marketing. PoweredAnalytics is simple to use and easy to deploy, providing a window to the future before it happens.”
The system uses the store's layout and product locations to deliver customized recommendations and messaging to customers.
Company co-founder Collin Otis made the announcement during AlphaLab's Demo Day, an event where the South Side-based startup accelerator's latest class of portfolio companies pitch their wares to potential investors. Powered Analytics was part of last year's AlphaLab class.
According to TribLive, “We're incredibly excited to be part of this,” Otis said of the sale at Demo Day recently. His company has developed an in-store personalization platform called Fabric to increase in-store contact and customer loyalty for retailers, which won the 2013 Randall Family Big Idea Competition at the University of Pittsburgh.
The company will continue to be based in Pittsburgh, and will also continue hiring, Otis said.
“We're excited about the talent that will be joining the Target team as we seek to become a leading omni-channel retailer,” said Target spokesman Eric Hausman in confirming the purchase, according to TribLive.