Dive Brief:

• Most retailers by a wide margin (71%) say they do basic or no analytics reporting, according to research and consulting firm EKN Research’s third annual Analytics in Retail report. Some 80% use enterprise-grade analytics, but find interpreting the information a challenge, the report found.

• Retailers’ investment in analytics will increase from 14% of their IT budget in 2013 to 23% by 2017, on average. But most lack a defined approach; just over half (51%) don’t have a dedicated analytics team.

• EKN surveyed more than 200 retailers for the benchmark study, which was sponsored by analytics firms Manthan and SAS. 

Dive Insight:

Amazon is the standout retailer when it comes to analytics reporting and leveraging data for insights that feed its performance strategy. Retailers have a ways to go in this game of catch up, but when they do they could go far in leveling the so-called Amazon effect.