=Paper= {{Paper |id=Vol-2667/paper53 |storemode=property |title=Data exchange platform for digital economy applications |pdfUrl=https://ceur-ws.org/Vol-2667/paper53.pdf |volume=Vol-2667 |authors=Oleg Surnin,Pavel Sitnikov,Anastasia Khorina,Anton Ivaschenko,Anastasia Stolbova,Nataly Ilyasova }} ==Data exchange platform for digital economy applications == https://ceur-ws.org/Vol-2667/paper53.pdf
         Data Exchange Platform for Digital Economy
                        Applications
             Oleg Surnin                                         Pavel Sitnikov                                 Anastasia Khorina
       Data analysis department                           Faculty of infocommunication                     Faculty of infocommunication
       IPSI SEC “Open Code”                                     ITMO University                                  ITMO University
           Samara, Russia                                   Saint-Petersburg, Russia                         Saint-Petersburg, Russia
          surnin@o-code.ru                                    sitnikov@o-code.ru                            anastasiakhorina@mail.ru

         Anton Ivaschenko                                      Anastasia Stolbova                                 Nataly Ilyasova
    Computer science department                       Information systems and technologies            Image Processing Systems Institute of RAS
  Samara State Technical University                                department                          - Branch of the FSRC "Crystallography
           Samara, Russia                             Samara National Research University                       and Photonics" RAS
    anton.ivashenko@gmail.com                                    Samara, Russia                                   Samara, Russia
                                                           anastasiya.stolbova@bk.ru                        ilyasova.nata@gmail.com

    Abstract—This paper describes an experience of the Data                       street retail – organization of retail trade in the most
exchange software platform practical use supporting the                            visited places: on pedestrian streets, ground floors of
modern trends of Digital Economy. The platform was initially                       buildings;
designed for the suppliers and customers of data sources
providing the up-to-date technologies of big data processing as                   non-food retail – organization of trade in non-food
an online service. The platform is also open for software                          products, which in grocery stores, as a rule, are called
developers to upload new algorithms and technologies in order                      related. Such products include clothing, cosmetics,
to help them to find new areas of application. There is                            household chemicals, stationery and other categories
presented architecture and its software implementation for an                      of goods;
intermediary online platform capable of collecting, processing
and analysis of various datasets. Modern companies being the                      food retail – organization of food trade. This category
members of digital economy can use this platform to process                        of goods is the most demanded and relates to
their data and produce business analytics. They can become                         everyday goods;
both suppliers and providers of data, as well as develop and
upload new customized algorithms. First results were achieved                     network retail – organization with several stores of
in the area of retail and social media analysis.                                   the same chain united by one concept;
                                                                                  electronic retail – organization of trade through the
    Keywords—data exchange, digital economy, big data
                                                                                   Internet;
                         I.    INTRODUCTION                                       cellular retail – organization of trade between mobile
    Data exchange platform is a new concept to organize an                         operators.
efficient cooperation between the providers and customers of
                                                                                 Retail industry gains significant benefits of being
various data sets and algorithms based on implementing the
                                                                             adaptive to customer changing demands. Understanding the
software solution of open service provider [1 – 2].
                                                                             trends and prediction of changes helps reducing costs and
Considering the results of open service software providers’
                                                                             increasing competitiveness. Application of modern
practical use [3], there was developed and probated new
                                                                             technologies for data collecting and processing can solve this
software architecture capable of solving the actual problems
                                                                             problem.
of business analytics in the different spheres of digital
economy.                                                                         Retailers use the following mechanisms to successfully
                                                                             organize business processes that form the main requirements
    Such a solution is presented below with an illustration of
                                                                             for a data processing toolset:
Data exchange platform application in network retail. Data
exchange platform implements the modern technologies of                           calculation of the most optimal locations for
big data analysis and capable of providing business analytics                      placement of outlets;
and decision-making support in real time. The proposed
solution architecture and case study intended for processing                      use of modern commercial equipment;
network retail data, predicting the processes, managing the                       work with categories of clients;
placement of big data, and planning the computing load
balancing.                                                                        work with methods of attraction;
               II.    PROBLEM DOMAIN OVERVIEW                                     development of self-service          and reduction of
                                                                                   personnel due to this;
    Retail is a popular way to organize distributive trades.
Modern retail industry becomes a promising area of                                optimization of logistics, work with wholesale
development of network organizations that provide                                  suppliers;
distributed services for a large amount of consumers and
therefore processing the concerned flows of big data.                             automation of all stages of trade.

    The logic of this information processing is mainly                          Depending on the specifics of retail problem domain and
influenced by the processes of retail service. The following                 other factors, a retail development strategy is determined.
areas of retail are distinguished:                                           The strategy operates with critical factors, by solving the


Copyright © 2020 for this paper by its authors.
Use permitted under Creative Commons License Attribution 4.0 International (CC BY 4.0)
Data Science

problems of determining the selling price of goods sold,                           low cost of its application. For example, to sell an
managing the assortment of outlets, and determining their                          expensive product, you need to put it next to an even
location.                                                                          more expensive product. Another fact that has been
                                                                                   studied is that the customer has a high probability that
    A comparison of the most frequently used business                              he or she will not have a single price, so a small
intelligence systems in the retail sector for a number of the                      difference in price should be left for similar products.
most important criteria is shown in Table 1.                                       Psychological techniques include managing delivery
         TABLE I.         PLATFORMS COMPARATIVE ANALYSIS
                                                                                   prices. It is very often necessary to arrange delivery.
                                                                                   Modern research shows that most shoppers leave the
                                                             Data                  store basket. The offer of free delivery or promotional
                    Qlik       Klip      Tab      Power
     Feature                                                  ex                   goods when making delivery positively affects the
                    View       folio     leau      BI
                                                            change
 SQL and
                                                                                   customer;
 software
                      +          -         -         -         +                predictive pricing is a fairly effective approach, the
 develoment
 skills                                                                          main task of which is to determine how price affects
 Own                                                                             demand. The approach allows you to model changes
 programming          +          -         -         -         +                 in demand depending on the price, taking into
 language                                                                        account various factors, including other methods
 Connectivity to                                                                 involved in pricing: psychological pricing, the
 heterogeneous        +         +         +         +          +                 influence of competitors, behavioral models and
 data sources
 Data storage         +         +         +         +          -
                                                                                 categories of current retailer customers, current trends
 Data                                                                            (in the fashion industry or global trends in lifestyle
                      +          -                             +                 changes).
 aggregation
 A variety of
 dashboards for       +         +         +         +          +                              III.   STATE OF THE ART
 visualization
 Graphical
                                                                              The results of [3] show that retailers are moving to more
 programming          -          -         -         -         +          innovative strategies to offer modern consumer solutions
 language                                                                 based on technological advances. The high level of property
 Intelligent                                                              rights, due to the enormous number of patents, forces
 algorithms and       -          -         -         -         +          retailers to invest more in the acquisition of patented
 data processing                                                          technologies to achieve advantages over competitors or to
 Specialization
 in retail            -          -         -         -         +
                                                                          introduce new management methods.
 analytics                                                                    The need to analyze retail data in a highly competitive
 Possibility of
 monetization of
                                                                          environment is shown in [4]. Advances in machine learning
                      -          -         -         -         +          and big data lead to the use of data analytics management
 data, analytics
 and algorithms                                                           systems in many organizations and industries.
                                                                              As a rule, large organizations can devote more resources
   Currently, electronic retail is popular and its popularity is          to this, and the software used is more suitable for large
growing according to the main trends of digital economy                   enterprises. However, the growing business pressure is
development. Electronic retail includes trade in both food                forcing small and medium-sized enterprises to implement
and non-food products, which leads to serious competition                 data analytics, which is new to them and leads to a number of
among retailers. Price is the main factor that allows                     problems considered in [5].
companies to stand out among their competitors and attract
buyers, so pricing strategies should be the most flexible.                    Social networks have become a part of life for most
                                                                          people around the world. Retailers (and not only) are actively
    There are a variety of approaches to pricing:                         using them to share information about their products with
     personalized approach to customers with the                         customers. As a result of the growth of social networks, the
      formation of individual offers: this approach is based              need for monitoring, data mining and analysis is increasing.
      on the analysis of the consumer behavior of each                    So, in determining the tasks and opportunities of network
      specific buyer, the determination of his needs,                     retail, the issues of integration with social networks,
      financial capabilities and, ultimately, the formation of            determining a development strategy and studying the life
      individual price offers for him;                                    cycle of clients are relevant [6, 7]. The study of customer
                                                                          behavior models requires taking into account completely
     promotion management: the approach is aimed at the                  diverse data and improving their analysis.
      formation of special price offers for goods or groups
      of goods according to certain criteria in order to                      In [8], the questions of creating a body of knowledge are
      attract customers. In applying this approach, it is                 considered, the concept and key methods of data analysis are
      important not to create a reputation as a discounter,               studied in the field of retail network, the creation of data
      which can negatively affect the perception of the                   exchange methods [9], such as shopping basket analysis [10]
      retailer by customers, so promotions should be                      and sales analysis in general using business intelligence
      temporary;                                                          tools.

     psychological techniques that affect the perception of                  Analysis of factors of customer satisfaction and loyalty,
      price. This approach is common for the retail industry              the image of retailers and the relationships between them
      as a whole and is quite popular, due to the ease and                lead to the emergence of models for creating a satisfactory
                                                                          experience for consumers, which is a priority for retailers


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[11]. The influence of fluctuations in demand and purchasing                  According to the commission of the Code of good
power on macroeconomic regulation and state control are                   practices, it is known that retailers do not want to share sales
considered in [12].                                                       data of individual outlets with suppliers, which leads to an
                                                                          inaccurate assessment of their activities, loss of productivity,
    Research on the effects of loyalty programs on the                    and, consequently, loss of income.
decision to purchase goods at different periods of time is
relevant, since an important factor for multichannel grocery                             IV.   SOLUTION ARCHITECTURE
retailers is which promotion strategy to choose across all
channels. The tendency of product buyers to continue to visit                 Having considered the tasks and problems of network
an offline store after they start buying in the online store of           retail, strategies for solving them, we can conclude that the
the network means that promotions in one channel can have                 creation of a data exchange platform is a necessary step for
a significant negative impact on the behavior of customers in             the business development, and its intellectualization is an
another channel, especially if promotions differ by channel               integral part of the process.
[13].                                                                         Intellectualization includes the introduction of the
    To solve the above mentioned problems of network retail               following technologies into the data exchange:
there can be used a variety of data sources. For example, it is               1. Face recognition. Biometric assessment systems can
possible to analyze data obtained in the following areas:                 optimize salary costs, allow you to calculate the costs of non-
   1. Acquiring data which includes information about the                 staff employees and minimize the risks of dishonest actions
commission of the acquiring bank, categories of outlets,                  and counteractions. The introduction of face recognition can
payment card options, which allows you to determine the                   also significantly increase understanding of the
dependence of the availability of sales outlets on the                    characteristics of the average buyer. Indeed, many algorithms
availability of POS terminals;                                            allow you to evaluate gender, age, race, and thereby form a
                                                                          portrait of the buyer. To solve such problems, a camera is
    2. Retailer data, which include:                                      used, aimed close-up at incoming visitors, with a face
                                                                          detection function. Additionally, such algorithms in
     information on loyalty programs and promotions to                   combination with the display of advertising can give an
      determine the dependence of demand on the                           understanding of the effectiveness of advertising on visitors.
      availability of various special offers for goods;
                                                                              2. Creating smart baskets. Built-in cameras that can
     information about regular customers and users of                    recognize and scan products, sensors that detect the detection
      loyalty programs to analyze the dependence of the                   of an object in the basket, as well as scales that allow you to
      purchased goods on the categories of customers, to                  get rid of additional weighing of fruits and vegetables. On
      form the most advantageous offers for both the buyer                the trolley screen, the buyer will be able to see all the
      and the retailer. In addition, it is possible to evaluate           products taken, as well as their total amount. The data that
      the customers in terms of how much money they                       carts collect (on routes through stores, on the frequency of
      spend and how often they make purchases in retailers’               purchases of goods from certain shelves, where customers
      stores, which will determine the significance of each               are, etc.) would help company partners optimize their stores.
      customer for the network and more accurately
      formulate personal offers;                                             3. Analysis of social networks. Analysis of data from
                                                                          social networks will allow you to analyze customer
     date of purchase and time of purchase to analyze the                complaints in real time and track user requests and wishes.
      dynamics of demand for certain products depending                   Location and shopping data will allow you to compile the
      on seasonality and time of day. In addition, it is                  most complete portrait of a specific retailer buyer.
      necessary to take into account various holidays and
      ongoing events in the analyzed region;                                  4. Internet of things. When it comes to retail, the IoT
                                                                          infrastructure includes RFID tags, infrared traffic meters in
     the list of goods on the check allows you to analyze                stores, satellite and Wi-Fi tracking systems, digital
      the most frequently purchased goods together;                       signatures, kiosks or even mobile devices of the customers
     the price of the items listed in the check and the total            themselves. The Internet of things makes it possible to
      purchase amount allow the analysis of the turnover of               implement predictive maintenance of equipment,
      the outlet;                                                         transportation, keeping a warehouse on the basis of demand,
                                                                          tracking the activity of buyers, creating a smart store,
     the trajectory of buyers allows you to determine the                behavioral analytics, personalized marketing and real-time
      order of purchases at retail outlets and to identify the            advertising based on location and purchase history.
      optimal location of goods in the store;
                                                                              5. Adaptive Acquiring. The sources of such a data
   3. Social media that help identification of fashion trends             exchange are intelligent systems. Data processing can give
and identify the dependence of purchases as well as the most              conflicting results in different contexts and in the absence of
popular brands and products;                                              data, but the results obtained should provide decision-making
                                                                          support. Technologies without data will not give the desired
    4. Geo data that can be used to determine the dependence
                                                                          result, as well as data without applying the necessary
of consumer activity, demand for goods, payment methods
                                                                          technologies to them. So, the data exchange can be presented
depending on the territorial location of the outlet and the
                                                                          as a platform for interfacing digital intelligent services.
nearby infrastructure, such as the area (sleeping, tourist,
business centers and others), categories of users visiting or                 The proposed software solution for a data exchange
living in the area.                                                       platform is presented in Fig. 1. It was implemented using
                                                                          Java (IntelliJ IDEA 15.0.3 Integrated Software Development



VI International Conference on "Information Technology and Nanotechnology" (ITNT-2020)                                                245
Data Science

Environment (Community Edition)) and supports JavaScript,                     In the considered example, users were searched for the
CoffeeScript, HTML / XHTML / XAML, CSS / SASS /                           following product groups: 3 (energy granola bars), 4 (instant
LESS, XML / XSL / XPath, YAML, ActionScript / MXML,                       foods), 5 (marinades meat preparation). As can be seen from
Python, Ruby, Haxe, Groovy, Scala, SQL, PHP, Kotlin,                      Figure 2, for the buyer with the number 141848112, you can
Clojure, C, C ++.                                                         create an offer for goods from group 3 (energy granola bars),
                                                                          and for the buyer with the number 78310286 – 4 (instant
                                                                          foods).




Fig. 1. Software architecture.

   Additional libraries and frameworks include Apache
Hadoop, Apache Spark, and Django. Apache Hadoop
(HDFS) is a file system designed to store large files, block-
by-block distributed between nodes of a computing cluster.
Apache Spark is an open source framework for
implementing distributed processing of unstructured and
weakly structured data, which is part of the Hadoop project
ecosystem.
    The developed data exchange platform provides the
functionality for pre-processing and analysis of network
retail data. As a part of data pre-processing the system
implements the methods of data structuring, omission
processing, and data dimension reduction, trend highlighting,
and correlation analysis.
    To solve the problems of network retail analysis, there is
a possibility to use the following:
     Apriori, FPG (Frequent-Pattern Tree) methods help                   Fig. 2. Project Results.
      solving the problem of analysing a shopping cart;
                                                                              Another popular task in the field of network retail
     Linear regression methods are used to solve the                     analysis is the sales forecast. The following fields were
      forecasting problem;                                                selected as the initial data of the problem to be solved: store
     The Mean method is used to calculate average values;                identifier, purchase date, purchase amount.
                                                                             To solve the problem, there were combined the basic
     K_means method is used for various kinds of
                                                                          methods powered by the developed data exchange platform:
      clustering.
   Besides, a wide range of methods such as ARIMA, FB                              python_basic_filter – the method allows you to
Prophet and others are used to analyse time series.                                 select sales data for one store from many;
                                                                                   python_basic_resample – the method allows you to
                V.     IMPLEMENTATION AND TESTS                                     aggregate data by day, summing them up;
    The following example illustrates the results of Data
exchange platform development. We create a project for                             python_timeseries_holt_winters – the method allows
personal offers on selected categories of goods formed by a                         forecasting using the Holt-Winters additive model
retailer for users of a social network with loyalty cards.                          (triple exponential smoothing).
Forming this request is useful if you need to increase sales                       python_plotly_forecast – a method for plotting.
for certain categories of goods available to the retailer.
                                                                              The ability to combine methods makes it possible to
    The result of this query is a list of users who are                   choose the most suitable analysis algorithm, taking into
interested in purchasing goods for selected groups of goods               account the specifics of the source data. The project drawn
with an indication of the group. By analyzing the results                 up in the query designer is shown in Fig. 3.
obtained, the retailer can formulate personal offers for the
groups of goods chosen by him for the most suitable
customers.



VI International Conference on "Information Technology and Nanotechnology" (ITNT-2020)                                                246
Data Science

                                                                          Sitnikov), analysis of its perspective for digital economy (A.
                                                                          Ivaschenko) based on implementation of data exchange
                                                                          model (A. Stolbova) and algorithms of semantic (A.
                                                                          Khorina) and statistics (N. Ilyasova) analysis.
                                                                                                   ACKNOWLEDGMENT
                                                                             This work was financially supported by the Russian
                                                                          Foundation for Basic Research under grant # 19-29-01135
                                                                          and by the Ministry of Science and Higher Education within
                                                                          the State assignment to the FSRC “Crystallography and
                                                                          Photonics” RAS.
Fig. 3. Predictive analysis project.
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