How Google's Customer Data Platform Helps Retail Brands Offer Data-driven , Personalized CX - Build What's Next

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Explainer

How Google’s Customer Data Platform Helps Retail Brands Offer Data-driven , Personalized CX

Retail companies need customer insights to deliver personalized experiences that impact revenue generation and cost savings. Watch how Google Cloud’s customer data platform helps brands integrate and build holistic view of data in silos to drive marketing and customer service success.

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Case Study

Skincare Firm Scales 4X in Minutes with SAP on Google Cloud

As the number one skincare brand in the United States, Rodan + Fields must support its team of over 300,000 of independent contractors as well as work to ensure a really personalized experience for customers. To keep pace with the company’s growth, Rodan + Fields realized it needed a more modern, scalable platform for its SAP environment.

After implementing both SAP ERP and SAP Hybris on Google Cloud, Rodan + Fields can focus on its business instead of infrastructure. It can scale four times its size in less than five minutes. Also, BigQuery is now used for data analysis to support critical business decisions.

With SAP on Google Cloud consultants can have 100% confidence that Rodan + Fields systems will provide them the insight, data and tools to succeed.

How-to

Why and How to Migrate to Google BigQuery

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Learn how to transition from an on-premises data warehouse to BigQuery on Google Cloud starting from a schema and data transfer overview, to data governance and data pipelines, and finally to reporting and analysis, and performance optimization.

Over the past few decades, organizations have mastered the science of data warehousing. They have increasingly applied descriptive analytics to large quantities of stored data, gaining insight into their core business operations. Conventional Business Intelligence (BI), which focuses on querying, reporting, and Online Analytical Processing, might have been a differentiating factor in the past, either making or breaking a company, but it’s no longer sufficient.

Today, not only do organizations need to understand past events using descriptive analytics, they need predictive analytics, which often uses machine learning (ML) to extract data patterns and make probabilistic claims about the future. The ultimate goal is to develop prescriptive analytics that combine lessons from the past with predictions about the future to automatically guide real-time actions.

Traditional data warehouse practices capture raw data from various sources, which are often Online Transactional Processing (OLTP) systems. Then, a subset of data is extracted in batches, transformed based on a defined schema, and loaded into the data warehouse. Because traditional data warehouses capture a subset of data in batches and store data based on rigid schemas, they are unsuitable for handling real-time analysis or responding to spontaneous queries. Google designed BigQuery in part in response to these inherent limitations.

Innovative ideas are often slowed by the size and complexity of the IT organization that implements and maintains these traditional data warehouses. It can take years and substantial investment to build a scalable, highly available, and secure data warehouse architecture. BigQuery offers sophisticated software as a service (SaaS) technology that can be used for serverless data warehouse operations. This lets you focus on advancing your core business while delegating infrastructure maintenance and platform development to Google Cloud.

BigQuery offers access to structured data storage, processing, and analytics that’s scalable, flexible, and cost effective. These characteristics are essential when your data volumes are growing exponentially—to make storage and processing resources available as needed, as well as to get value from that data. Furthermore, for organizations that are just starting with big data analytics and machine learning, and that want to avoid the potential complexities of on-premises big data systems, BigQuery offers a pay-as-you-go way to experiment with managed services.

With BigQuery, you can find answers to previously intractable problems, apply machine learning to discover emerging data patterns, and test new hypotheses. As a result, you have timely insight into how your business is performing, which enables you to modify processes for better results. In addition, the end user’s experience is often enriched with relevant insights gleaned from big data analysis, as we explain later in this series.

The migration framework

Undertaking a migration can be a complex and lengthy endeavor. Therefore, we recommend adhering to a framework to organize and structure the migration work in phases:

  1. Prepare and discover: Prepare for your migration with workload and use case discovery.
  2. Assess and plan: Assess and prioritize use cases, define measures of success, and plan your migration.
  3. Execute: Iterate the following steps for each use case:
    1. Migrate (offload): Migrate only your data, schema, and downstream business applications.
    2. Migrate (full): Alternatively, migrate the use case fully end-to-end. The same as Migrate (offload), with the addition of the upstream data pipelines.
    3. Verify and validate: Test and validate the migration to assess return on investment.

The following diagram illustrates the recommended framework and shows how the different phases are connected:

For a deeper understanding, read Migrating data warehouses to BigQuery: Introduction and overview

Blog

HarbourBridge Schema Assistant Allows Quick, Bulk Migration to Cloud Spanner

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Google Cloud announces the open-source HarbourBridge Schema Assistant for a guided schema-design workflow for migrating from MySQL or PostgreSQL to Cloud Spanner. Learn more.

Today we’re announcing the HarbourBridge Schema Assistant, which provides a guided schema-design workflow for migrating from MySQL or PostgreSQL to Spanner. HarbourBridge imports dump files (from mysqldump or pg_dump) or directly connects to your source database, and converts the source database schema to an equivalent Spanner schema. The new Schema Assistant capability displays the source schema and Spanner schema side-by-side, highlights errors and walks you through a series of steps to validate and optimize your Spanner schema. It also produces a browsable assessment report with an overall migration-fitness score for Spanner, a table-by-table detailed analysis of type mappings and a list of features used in the source database that aren’t supported by Spanner. It supports editing of table and column names, column types, primary keys and constraints, as well as dropping of tables, columns, foreign keys and secondary indexes.

The new Schema Assistant complements HarbourBridge’s existing data and schema migration capabilities and is a critical step towards our goal of building a complete open-source migration toolkit. HarbourBridge continues to support command-line schema and data migration and turn-key Spanner evaluation.

Complementing the bulk data migration capabilities of HarbourBridge, we are also announcing the ability to migrate change events from MySQL to Cloud Spanner.

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HarborBridge takes your MySQL or PostgreSQL schema and translates it to a Spanner schema. It will provide you with a detailed report of all the changes and spanner fit scoes.

Supported Features in Schema Assistant

  1. Global type mapping. Users can customize the global mapping for how types should be mapped to Spanner consistently across the schema. For example, mapping large integers in source schema to Spanner’s NUMERIC.
  2. Local type mapping. Users can override the custom type mapping for a given table/column.
  3. Session management. A session keeps track of all the changes made to the schema mapping.
  4. Customization of secondary indexes. Users can add, edit and delete secondary indexes to optimize their Spanner performance.
  5. Customization of foreign keys and interleaved tables. Table interleaving is an important design consideration when migrating to Cloud Spanner as explained in more detail in this blog post.
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Global type mapping from MySQL to Spanner
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tables and columns mapping from source to destination

Features in the pipeline

We are already working to further expand the supported set of schema editing features and welcome your feedback. We are particularly excited to expand the Schema Assistant’s design recommendations for optimizing Spanner schemas e.g. in-depth recommendations for primary key design.

HarbourBridge is open source and we gladly accept contributions from the wider community.

Blog

Home Depot Leverages Google Cloud’s BigQuery and DataFlow to Break Data Silos and Craft Personalized CX

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Home Depot adopted a multi-year strategy to bridge gaps in digital and offline worlds. To elevate customer experiences with an updated website using a hybrid approach and Google Cloud platform, they grasped customer needs while protecting privacy!

The Home Depot, Inc., is the world’s largest home improvement retailer with annual revenue of over $151B. Delighting our customers—whether do-it-yourselfers or professionals—by providing the home improvement products, services, and equipment rentals they need, when they need them, is key to our success.

We operate more than 2,300 stores throughout the United States, Canada, and Mexico. We also have a substantial online presence through HomeDepot.com, which is one of the largest e-commerce platforms in the world in terms of revenue. The site has experienced significant growth both in traffic and revenue since the onset of Covid-19.

Because many of our customers shop at both our brick-and-mortar stores and online, we’ve embarked on a multi-year strategy to offer a shopping experience that seamlessly bridges the physical and digital worlds. To maximize value for the increasing number of online shoppers, we’ve shifted our focus from event marketing to personalized marketing, as we found it to be far more effective in improving the customer experience throughout the sales journey. This led to changing our approach to marketing content, email communications, product recommendations, and the overall website experience.

Challenge: launching a modern marketing strategy using legacy IT


For personalized marketing to be successful, we had to improve our ability to recognize a customer at the point of transaction so we could—among other things—suspend irrelevant and unnecessary advertising. Most of us have experienced the annoyance of receiving ads for something we’ve already purchased, which can degrade our perception of the brand itself. While many online retailers can identify 100% of their customer transactions due to the rich information captured during checkout, most of our transactions flow through physical stores, making this a more difficult problem to solve.

Our old legacy IT system, which ran in an on-premises data center and leveraged Hadoop, also challenged us since maintaining both the hardware and software stack required significant resources. When that system was built, personalized marketing was not a priority, so it took several days to process customer transaction data and several weeks to roll out any system changes. Further, managing and maintaining the large Hadoop cluster base presented its own set of issues in terms of quality control and reliability, as did keeping up with open-source community updates for each data processing layer.

Adopting a hybrid approach


As we worked through the challenges of our legacy system, we started thinking about what we wanted our future system to look like. Like many companies, we began with a “build vs. buy” analysis. We looked at several products on the market and determined that while each of them had their strengths, none was able to offer the complete set of features we needed.

Our project team didn’t think it made sense to build a solution from scratch, nor did we have access to the third-party data we needed. After much consideration, we decided to adopt a solution that combined a complete rewrite of the legacy system with the support of a partner to help with the customer transaction matching process.

Building the foundation on Google Cloud


We chose Google Cloud’s data platform, specifically BigQuery, Dataflow, DataProc, Cloud Storage, and Cloud Composer. Google Cloud platform empowered us to break down data silos and unify each stage of the data lifecycle from ingestion, storage, and processing to analysis and insights. Google Cloud offered best-in-class integration with open-source standards and provided the portability and extensibility we needed to make our hybrid solution work well. The open standards of BigQuery’s BQ Storage API allowed us to leverage fast BQ storage layers to be utilized with other compute platforms, e.g., DataProc.

We used BigQuery combined with Dataflow to integrate our first- and third-party data into an enterprise data and analytics data lake architecture. The system then combined previously siloed data and used BigQuery ML to create complete customer profiles spanning the entire shopping experience, both in-store and online.

Understanding the customer journey with the help of Dataflow and BigQuery


The process of developing customer profiles involves aggregating a number of first- and third-party data sources to create a 360-degree view of the customer based on both their history and intent. It starts with creating a single historical customer profile through data aggregation, deduplication, and enrichment. We used several vendors to help with customer resolution and NCOA (Change of Address) updates, which allows the profile to be house-holded and transactions to be properly reconciled to both the individual and the household. This output is then matched to different customer signals to help create an understanding of where the customer is in their journey—and how we can help.

The initial implementation used Google Dataflow, Google’s streaming analytics solution, to load data from Google Cloud Storage into BigQuery and perform all necessary transformations. The Dataflow process was converted into BQML (BigQuery Machine Learning) since this significantly reduced costs and increased visibility into data jobs. We used Google Cloud Composer, a fully managed workflow orchestration service, to help orchestrate all data operations and DataProc and Google Kubernetes Engine to enable special case data integration so we could quickly pivot and test new campaigns. The architecture diagram below shows the overall structure of our solution.

Taking full advantage of cloud-native technology

In our initial migration to Google Cloud, we moved most of our legacy processes in their original form. However, we quickly learned that this approach didn’t take full advantage of the cloud-native and more improved features Google Cloud offered such as auto scaling of resources, flexibility to decouple storage from the compute layer, and a wide variety of options to choose the best tool for the job. We refactored our Hadoop-based data pipelines written in Java-based Map Reduce and our Pig Latin jobs to Dataflow and BigQuery jobs. This dramatically reduced processing time and made our data pipeline code concise and efficient.

Previously, our legacy system processes ran longer than intended, and data was not used efficiently. Optimizing our code to be cloud-native and leveraging all the capabilities of Google Cloud services resulted in reduced run times. We decreased our data processing window from 3 days to 24 hours, improved resource usage by dramatically reducing the amount of compute we used to possess this data, and built a more streamlined system. This in turn reduced cloud costs and provided better insight. For example, DataFlow offers powerful native features to monitor data pipelines, enabling us to be more agile.

Leveraging the flexibility and speed of the cloud to improve outcomes

Today, using a continuous integration/continuous delivery (CI/CD) approach, we can deploy multiple system changes each week to further improve our ability to recognize in-store transactions. Leveraging the combined capabilities of various Google Cloud systems—BigQuery, DataFlow, Cloud Composer, Dataproc, and Cloud Storage–we drastically increased our ability to recognize transactions and can now connect over 75% of all transactions to an existing household. Further, the flexible Google Cloud environment coupled with our cloud-native application makes our team more nimble and better able to respond to emerging problems or new opportunities.

Increased speed has led to better outcomes in our ability to match transactions across all sales channels to a customer and thereby improve their experience. Before moving to Google Cloud, it took 48 to 72 hours to match customers to their transactions, but now we can do it in less than 24 hours.

Making marketing more personal—and more efficient

The ability to quickly match customers to transactions has huge implications for our downstream marketing efforts in terms of both cost and effectiveness. By knowing what a customer has purchased, we can turn off ads for products they’ve already bought or offer ads for things that support what they’ve bought recently. This helps us use our marketing dollars much more efficiently and offer an improved customer experience.

Additionally, we can now apply the analytical models developed using BQML and Vertex AI to sort customers into audiences. This allows us to more quickly identify a customer’s current project, such as remodeling a kitchen or finishing a basement, and then personalize their journey by offering them information on products and services that matter most at a given point through our various marketing channels. This provides customers with a more relevant and customized shopping journey that mirrors their individual needs.

Protecting a customer’s privacy

With this ability to better understand our customers, we also have the responsibility to ensure we have good oversight and maintain their data privacy. Google’s cloud solutions provide us the security needed to help protect our customers’ data, while also being flexible enough to allow us to support state and federal regulations, like the California Customer Privacy Act. This way we can provide a customer the personalized experience they desire without having to fear how their data is being used.

With flexible Google Cloud technology in place, The Home Depot is well positioned to compete in an industry where customers have many choices. By putting our customers’ needs first, we can stay top of mind whenever the next project comes up.

Explainer

AWS to Google Cloud Translator: Which AWS Database Service Is Equal to Google Cloud Database?

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Here’s an easy way to figure out which Google Cloud database you can use based on the cloud database you are already using.

There are multiple reasons a growing number of database administrators, enterprise architects, application developers and other technology practitioners are moving to Google Cloud’s various database services.

Some are being driven by missing features in offering from other providers such as AWS. In Gartner’s Magic Quadrant for Operational Database Management Systems, the research and advisory firm points out that, “AWS’s surveyed reference customers scored its overall product capabilities one standard deviation (STD) below the mean. Their responses identified missing features such as multiregion writes and autosharding.”

Others are moving to database services on Google Cloud Platform driven by a few benefits. According to Gartner, “Reference customers repeatedly commented on Google’s ease of use and implementation, reliability and integration (with other services and other systems). Reference customers scored Google a full STD above the mean for satisfaction with GCP’s pricing; it received the second-highest satisfaction score of any vendor in this Magic Quadrant.

If you are looking to leverage the power of Google Cloud database offerings—but were unsure of which database services comes closest to the service you are currently using, here’s a handy map to find your way.

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