Artificial Intelligence and Grocery Technology Can Help Solve Supply Chain Issues
It’s no secret the pandemic disrupted the grocery industry and supply chain entirely. Ever since the infamous toilet paper shortage of 2020, consumers have been more conscious about product availability than ever before. According to an Oracle survey, 45% of subjects didn’t think about the supply chain prior to the pandemic, and now 91% of respondents say they consider product availability and delivery when making purchases.
So, what does this mean for retailers? Industry experts predict these concerns will affect consumers’ shopping habits. In the same Oracle survey, respondents said they will change how they make purchases, whether that be stocking up on items or buying them sooner. In fact, IRI data for the week ending Oct. 17 noted shoppers are already buying items that are typically purchased closer to Thanksgiving.
Regardless of how consumers are buying, grocers must accept that our supply chain reality is the new normal and plan accordingly. In a recent survey, 90% of U.S. companies planned to make changes to their supply chain networks, but only about 40% expected to increase their overall supply chain investment.
While this is a step in the right direction, modern grocery retailers will need to invest in grocery technology and artificial intelligence (AI) to help plan for supply chain disruptions. Smart technology solutions can help grocers by predicting supply shortages, managing on-shelf availability and assisting with category planning. In order to survive in the industry today, many stores are relying on data to inform sales forecasting and understand overall demand better rather than just reacting to a shortage after it happens.
STCR’s omnichannel technology streamlines front and back-end store operations to help you save time and money. Prepare effectively for supply shortages and high-product demands through STCR’s retail solutions. Talk to us to learn how STCR can optimize your store today.