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How the Weather Report Can Change How You Run Your Business

You probably check the weather to know how to dress in the morning, whether to grab an umbrella for the commute. What if your weather report could help you run a smarter, more efficient business? Relying on weather technology for business is an old practice of commodity traders, but now retailers, restaurants, and service providers can capitalize on development in weather-reporting technology.

Weather patterns determine the price of commodities and also silently dictate your business, whether or not you see it. Now businesses are using more precise weather reporting to more accurately target consumers in real-time advertising. Companies are focusing on local weather reports to push specific digital advertisements. A consumer in Seattle will see an ad for umbrellas during a rainstorm while Miami consumers will see sunblock ads when browsing the web during scorching days. 

Focusing on the effects of weather patterns in micro markets can help your business in unforeseen ways. Campbell’s Soup, for example, has a “Misery Index,” in which radio ads are targeted at markets experiencing bad weather. Your town having a lot of storms lately? Listen for a lot more Campbell’s Soup commercials to ease the cold. Walmart, Kohl’s, Subway, Land’s End, and Perry Ellis are just a few major retailers that are looking to the weather. These trends also affect restaurants, with the National Restaurant Association finding that 90 percent of restaurants report that local weather conditions influence sales.

Panera Bread, for example, uses weather analyzing technology in its POS systems to find out which items sell better in different weather. If a particular salad is in demand on humid, 80-degree days, then that is what Panera will advertise on those days. Using the POS system as a tool allows companies to foresee inventory and supply chain issues, as well. Highly accurate, micro-market weather reports are the best way to literally see into the future and predict the needs and opportunities for your business. 

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