Over the past few months, we’ve seen several companies put effort into unlocking the vast insights of transactional data. Using this type of data, American Express has launched targeted, merchant-funded offers, and Bank of America is piloting a program to provide tailored deals inside online account statements. Both Google and PayPal are exploring ways to use this data to open new advertising channels. Furthermore, PayPal has also begun offering Point of Sale terminals to major US retailers such as Home Depot, in an effort to improve loyalty and expand the breadth of their transaction log data.
The transaction log – commonly referred to as “t-log” – details every transaction conducted by a card, account, or customer. For many, using this data isn’t a new concept. Retailers have had the ability to look at their sales data for several decades and have aggregated it to understand the general behavior of their customers. The richness and size of t-log data has the potential for companies to increase loyalty, expand customer relationships, and increase profits.
There are a couple of recent trends that have brought t-log back into the spotlight. Retailer and financial services companies now sit on aggregated t-log’s for millions of customers. With the rise of computing power, it is extremely valuable to be able to leverage this detailed data in near real-time. (more…)