Earnings Intelligence Identifies Growth Strategy for Consumer Discretionary, Discount, Variety Stores

Published Date: 2019/09/07

Businesses driven by advanced analytics are pivoting to new business models in order to keep up with competitions, macro-economic, regulations, supply chains, and consumer preferences. A reliable source for business strategists to find the latest intelligence on business execution is earnings call transcripts. There are over 4800 companies conducting earnings conference calls every quarter. It takes time and resources to transform transcripts into business intelligence.

As a result, business organizations constrain their frame of analysis to a handful of earnings calls.

Furthermore, it is difficult for analytics to process these transcripts based on statistical analysis, as many terms and themes are new and non-repetitive. One plausible approach to solve this problem is adept at cutting edge analytics based on Symbolic Logic. We have successfully implemented a generic solution for machine to understand the context and semantics of natural language documents. Using this technology together with a fully automated end-to-end streaming network, SiteFocus has created a WEB based platform for business strategists to gain insight into these earnings calls transcripts instantly.

Using Earnings Intelligence as a service, a SaaS service available from SiteFocus, business executives can analyze the breadth and depth on earnings call transcripts for insights. The followings are some ideas taken from EI based on recent earnings disclosure from a major business in Consumer Discretionary, Discount Variety Store:

  • Membership attracts retain and upgrade customers
  • Mexico shows growth in traffic and ticket sales
  • Strong growth in fresh and dry grocery.
  • Canada, UK retail environment continue to be soft
  • Growth in online grocery sales
  • Focus on saving customer time and money on grocery and general merchandise
  • The focus on operating efficiently provides the flexibility to invest in growth initiatives
  • Physical stores show up trends
  • Benefitted from challenging weather
  • Online grocery as a meaningful contributor to eCommerce growth
  • Growth strength in grocery, including strong growth in private brands
  • eCommerce sees improvement in key service metrics such as Customer Value Index, net promoter score and on-time delivery
  • Solid growth in important margin-enhancing categories like home and apparel
  • E-commerce sales growth was strong in sales event
  • Productivity improvements in physical stores
  • Customers are responding well to omni-channel initiatives in Mexico
  • Food categories continued to perform well, including strong growth in Fresh, and contributed to market share gains in weekly shop categories
  • This article draws references from Earnings Intelligence, a service provided by SiteFocus