Pattern-Driven Activation & Notification
Spending patterns are a useful source of data for customers as well as vendors. The following stories illustrate how Lichen can provide an easy-to-use method for generating notifications, and for triggering complementary actions.
Once it’s launched, Lichen will provide a much simpler and cheaper way to know what things are frequently purchased together.
A generic template rule called Xalgo4LinkedThings is being designed to assemble some of the data from purchases into a database where a statistical algorithm can quickly reveal complementary products and services. It is based on the frequency with which items tend to be purchased at the same time, or in close proximity, time-wise, by the same buyer or group of buyers. It assembles data about what is purchased, according to the Standard Products and Services Classification (SPSC), and about the types of vendors selling those things, according to the International Standard Industrial Classification (ISIC). Determined entirely by the statistics, it does not require anyone to logically declare, say, that a hammer (SPSC Code 27111618) is typically used with nails (UNSPSC Code 31162000). Instead, if there happen to be many purchase orders in the whole population that include both hammers and nails, then the data patterns themselves can reveal that the purchase of one is typically correlated to the purchase of the other.
To illustrate, the Xalgo4LinkedThings database would obtain data about items purchased in stores incorporated under ISIC Class G4752 (retail sales of hardware, paints and glass in specialized stores), particularly those incorporated as “retail sales of hardware” and “do-it-yourself material and equipment”. Even when a customer is using Xalgo4LinkedThings while purchasing something from a general department store (G471 – retail sales in non-specialized stores), this algorithm makes use of the linkage insights drawn from data generated by dedicated hardware stores, that’s to say G4752.
Cindy’s Ceramic Tiles:
Once it’s launched, Lichen will provide a quick way for customers to check that they’ve got what they need.
Having placed into her online shopping cart the ceramic wall tiles, tile adhesive, notched trowel, grout, sealer, grout float, caulking, caulking gun and rubber gloves, Cindy clicked “Proceed to Checkout”. Since she already had Lichen set to run in the background, the appearance of the purchase order engaged the Xalgo4LinkedThings rule which she subscribes to. It immediately notified her of three additional items which customers frequently buy together with this set of products: a tile cutter, plastic spacers and a grout sponge. Cindy already had the proper cutter and sponge at home, but she was glad to be reminded about the spacers, which saved her a follow-up trip to the store.
Jorge & the Handimen
Once it’s launched, Lichen will keep distributed team managers informed of purchasing requirements.
Having fourteen employees driving throughout the region on all sorts of jobs, Jorge issues each of them limited authority to purchase ad hoc supplies as needed from any source nearest the job site. They can pay with either their company phone or the company credit card.
Each is subscribed to the Xalgo4LinkedThings rule, so that Lichen automatically checks items purchased against the pattern of all team purchases through time.
Juan has configured the rule to send him an SMS when an item purchased is an anomaly, so that he can ask the employee about it at the weekly meeting.
He also has it set to notify him when a particular class of items has been purchased by the team more than four times per month. This lets him know to discuss whether this item should be maintain as part of routine supplies in the trucks.