Retail and Consumer Goods

Building a Cognitive Transformation Roadmap By Leveraging Data & AI/ML, For Retail & Consumer Goods Industries

The way customers shop keeps evolving, thereby bringing in deep insights to their buying patterns and preferences. This change in customer shopping behavior encourages retailers to transform the way they carry out their business. Retailers need to begin obsessing over trends and technologies impacting the shopping experience in order to stay competitive. The pandemic has accelerated digital transformation therefore, more retailers and consumer goods organizations are turning to Big Data to improve service, implement smart automation, digitize workflows and get a better return on investment (ROI).

As per the recent IDC research, By 2024, 60% of the retailers’ will Implement AI-Enabled software solutions. IDC expects that by 2024, the use of AI solutions will be the norm in retail. However,  only a fraction of those that have implemented AI will have unlocked differentiation-focused use cases (process automation vs process augmentation).

Why do Retail and Consumer Goods invest in Data Science? 

  • To learn and understand customer behavior by leveraging the customer attributes and real-time customer interaction
  • Enrich the customer experience through targeted personalization and offers
  • Understand the segment-specific needs to respond to them better and drive business goals
  • Optimize cost and improve efficiency through Intelligent Automation of business processes
  • Innovate on products and services to increase acceptance, build unique differentiators
  • Deliver better value to the customer by providing unified, personalized, differentiated experience across their point of interaction

Kloud9 is one of the pioneers in enabling retailers on their e-commerce journey since the late 1990s and 2000s. Today, huge data is generated from Digital Commerce and other sources and the Kloud9 team is all set to enable the Retail and Consumer Goods industries with Data+AI/ML solutions. These innovative solutions will help businesses transform into Cognitively Intelligent enterprises.

According to SPD Group, “Retail will lead in global spending on AI systems in 2021, with $5.9 billion invested in automated customer service agents, shopping advisers, and product recommendation platforms.”

Why do Retail and Consumer Goods invest in Data Science? 

  • To learn and understand customer behavior by leveraging the customer attributes and real-time customer interaction
  • Enrich the customer experience through targeted personalization and offers
  • Understand the segment-specific needs to respond to them better and drive business goals
  • Optimize cost and improve efficiency through Intelligent Automation of business processes
  • Innovate on products and services to increase acceptance, build unique differentiators
  • Deliver better value to the customer by providing unified, personalized, differentiated experience across their point of interaction

Kloud9 is one of the pioneers in enabling retailers on their e-commerce journey since the late 1990s and 2000s. Today, huge data is generated from Digital Commerce and other sources and the Kloud9 team is all set to enable the Retail and Consumer Goods industries with Data+AI/ML solutions. These innovative solutions will help businesses transform into Cognitively Intelligent enterprises.

According to SPD Group, “Retail will lead in global spending on AI systems in 2021, with $5.9 billion invested in automated customer service agents, shopping advisers, and product recommendation platforms.”

More than 70 percent of retail and consumer products executives expect their companies to be engaging in intelligent automation across the value chain by 2021

Retail

85%
85%
Supply chain
planning
85%
85%
Demand
forecasting
79%
79%
Customer
intelligence
75%
75%
Marketing, advertising and
campaign management.
73%
73%
Store
operations
73%
73%
Pricing and
promotion

Consumer Products

86%
86%
Product design and
development
81%
81%
Manufacturing
81%
81%
Demand
forecasting
79%
79%
Customer
intelligence
79%
79%
Supply chain
planning
77%
77%
Production
planning

Image Source: The coming AI revolution in retail and consumer products – IBM

Kloud9 helps Retailers build an ecosystem using Data Engineering, Data Science, Artificial Intelligence, Machine Learning and Cloud. We provide a full suite of Cloud services along with Data Science & AI capabilities. Enterprise clients depend on us for customized Cloud Application Migration and Managed Services to accelerate their performance. As trusted digital advisors in Cognitive Transformation, we are determined to build deep partnerships along the way to deliver seamless end-to-end experiences.

The Kloud9 Advantage for Retail and Consumer Goods Enterprises

  • Providing a 360º view of each customer using our proprietary Big Data frameworks
  • Planning and delivering optimized marketing initiatives in real time using deep learning algorithms
  • Maintaining an optimized logistics and supply chain by delivering Cloud-based systems to reduce time to market and help scale the applications
  • Enabling dynamic pricing to maximize sales using AI to increase the basket value
  • Detecting Retail and Consumer Goods related frauds and maintaining transparency across the retail value chain using such emerging technologies

Continuous innovation in Retail & Consumer technology has been our core. Our implementation projects have included process design work, custom enhancements, integration with automation systems and multiple successful infrastructure migrations. Retailers and Consumer Goods companies have leveraged Kloud9 technologies like Data+ AI/ML over the past decade that has enabled them to stay abreast with market trends,understand consumer preferences and shopping behaviors, design products, provide value-added services and engage consumers in new and improved ways. 

Our Innovation Lab in Kraków, Poland leverages Big Data and AI/ML to develop sophisticated self-learning algorithms for delivering tasks autonomously, price optimization, customer sentiment analysis, network anomaly detection and maintaining cost control of the supply chain of some of North America’s largest Retailers.

Some Additional Retail Use Cases

Group 17 (1)

Inventory Availability To
Support Ship From Store

ML solutions can be applied by leveraging historical and real-time data to find the pattern and identify which inputs correlate with the store fulfilment rate, calculate the probability of an item being in demand and successfully picked at a given store during a specific point in time. This predicts the optimal inventory levels to make available for purchase by channel & then presents recommendations to the target systems – such as OMS. ….Read More

Group 36 (1)

Local Delivery
Optimization

ML solutions help to plan an intricate schedule that takes into consideration the individual skill sets of the drivers and delivery associates, vehicle types and capacity, customer-specific pickup and delivery time, and local traffic conditions, to assign the perfect schedule to each trip which would result in on-time deliveries.….Read More

Group 19 (1)

BOPIS Fraud
Curbside Pickup Fraud

Due to Covid, more and more retailers are continuing to adapt curbside pickup with Buy Online, Pickup from Store (BOPIS) orders to support social distancing norms. Fraudsters are likely to exploit BOPIS pickups where retailers may not require anything more than a minimal proof of purchase. ML solutions can identify such anomaly behaviours by looking at the customer’s patterns including previous purchases, on-site interactions, and links across other orders, and prevent fraud before the order is placed.….Read More

Here are some of Kloud9’s Consumer Goods Use Cases

Group 35 (1)

New Product Introduction Demand Forecasting

Leverage ML to predict the baseline forecast and demand profile during initial launch period.

Group 11 (3)

Trade Promotion
Optimization

Plan and execute promotions at a particular time period; predict ROI that can be realized for every upcoming sales promotion and predict the amount of product stockage based on the ongoing sales promotions.

Group 25 (1)

Account Inventory Optimization and Replenishment Forecasting

Determine and deliver optimized inventory levels for key accounts by combining internal data (ex: store data) with external sources to drive revenue. Predict shelf-life of products based on colour or appearance, predict stockpiles and re stocking orders based on marketing campaigns and sales promotions.

Group 23 (1)

Product Portfolio
Optimization

Use online, current and past data to optimize the assortment and size curve of the product portfolio and enable event-based recommendations.

Group 32 (1)

Procurement
Optimization

Understand key procurement incentives (speed, reliability, price) in order to select, negotiate and order from the most efficient supplier.

Group 24 (1)

Sentiment
Analysis

Analyze customer data pertaining to the brand, products, competition and potential needs across different channels such as online, offline, social etc.

Retail and Consumer Goods companies have entered the digital and analytics race, and Kloud9 is enabling them to scale impact with our Cognitive Transformation services and solutions.

Kloud9 provides retailers and consumer goods companies with tremendous potential for transformational growth. Our AI/ML and Cloud experts assist customers in unlocking the value of their data in new ways and accelerate their technology journey.

Kloud9 has also  partnered with RELEX to work together to drive real benefits for Retailers all over the world with the RELEX Living Retail Platform. This cloud-native platform is powered with AI and ML, eradicating siloes, rigidities and inefficiencies along the way and enabling Retailers to make autonomous planning decisions. Kloud9 and RELEX work together from a customer-first mindset with a commitment to delivering measurable results.

Data + AI/ML can transform every aspect of Retail businesses and can help your organization do just that! To know more about how Kloud9 provides the best way to scope, scale, and lead Cognitive Transformation that can deliver financial results, contact us. 

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