The latest developments in artificial intelligence (AI) have the potential to completely change the retail and Consumer Packaged Goods (CPG) sectors.
We are now closer than ever to delivering genuinely personalized shopping experiences to consumers, and other groundbreaking innovations such as digital avatars and voice-enabled shopping. This new standard of tech is what modern consumers are expecting, and what organizations now have to deliver.
However, while grappling with these newfound expectations, retailers and CPG brands must consider their bottom line. Economic pressures force enterprises worldwide to do more for less by embracing new technology. This means that companies now need to be able to offer personalized services and shorten their supply chain while keeping their operating costs down at the same time.
Achieving sustainability also presents a major challenge for industry players and needs to be taken seriously. Enterprises must be extra cautious about their logistics cycle’s overall carbon footprint. 72% of consumers say that they have become more committed to buying sustainable goods over the past five years.
So, what is the answer to all these issues? At Stratio, we believe that immediately available data that has quality and meaning and accessed via a Generative AI (Gen AI) interface for internal and external use can help enterprises overcome these challenges.
Additionally, digital transformation can allow companies to break into new global markets and tap into new customers, which, in turn, can increase their potential revenue. To illustrate, findings from McKinsey indicate that Gen AI technology in the retail and CPG industry can increase productivity by 1.2% to 2% of annual revenues (worth an estimated $400 billion to $660 billion).
Indeed, over the past year, the possibilities afforded by AI have been a major talking point. Artificial intelligence should now be a key part of any digital transformation strategy. Per the World Economic Forum, AI services in the retail sector are predicted to increase from $5 billion to above $31 billion by 2028.
This article will discuss the benefits of Generative AI for the retail and CPG industries and how Stratio Generative AI Data Fabric can help.
Value of Generative AI for retail
Retailers and CPGs now can access a wealth of valuable product and customer information, most of which is being wasted or is left trapped in data silos. A generative AI-powered data fabric can assist retailers in automating the discovery, classification, categorization, and access to their data.
All this can help these organizations obtain better quality insights into their products and customer information. These insights can then be used to power better business decisions, aiding the company’s growth.
For example, Gen AI-powered chatbots can provide personalized product recommendations based on analyzing previous customer purchases, thus increasing up-selling and cross-selling opportunities.
The advanced AI technologies can also analyze customer and inventory data, helping brands forecast demand and optimize their logistics cycles in accordance with their broader sustainability goals.
Moreover, generative AI solutions can generate data-driven insights to help brands enhance store layouts and point-of-sales displays or even develop new value propositions to help them edge ahead of their competitors.
Overall, 98% of CPG leaders and 99% of retailers polled by Avande believe that Gen AI will increase their annual revenue growth by as much as 20% over the next 18-24 months.
How Stratio Generative AI Data Fabric works
Stratio boasts decades of experience helping CPGs and retailers get the most out of their data. We implicitly understand these businesses’ challenges, and have designed a Generative AI-powered Data Fabric product to answer these needs.
So, how does the Stratio Generative AI Data Fabric solution work, and what features does it employ to help these companies extract more value from their data?
Data discovery
First, we use our AI-assisted data discovery tool to uncover all data locked away in your on-premises and existing cloud data stores.
This will allow brands to access more data than ever before on their products, distribution, customers and supply chain.
Data virtualization
The Stratio Data Virtualization module can then connect the dots between these disparate data sources, and provide real-time updates on the relevant datasets.
It also consolidates all data in one place while eliminating redundant data for more accurate reporting.
Enabling AI
Next, Stratio’s Generative AI can provide further semantic meaning to the data it structures and displays.
For example, users could employ AI to build predictive models that can provide better information about future product demand and market acceptance. These models can be considered throughout the product launch process, allowing companies to market their new offerings more effectively.
Semantic Ontology
Our Generative AI next employs Semantic Ontology and Knowledge Graph to the virtualized data to provide retailers and manufacturers with further nuance.
Stratio Data Fabric can also help drive crucial business decisions by using the provided data to make predictions about the cost and speed of logistics cycles.
Data Insights
Finally, Stratio’s Generative AI engine can clarify its suggestions through its natural language processing interface.
When users type questions into its interface, the live chat screen will provide answers and cover the insights and conclusions of the study in greater detail. This makes it easier for users to interpret the Generative AI’s conclusions when making crucial business decisions.
Customers will also be able to solve doubts about the service, check the status of their orders, or even generate assistants to make online purchases just like the customers who attend physical stores.
Boost your business with Stratio
So, if you’re looking to leverage the power of your untapped data to achieve new highs with your business, Stratio can help you.
By embracing the possibilities of new technology, like our Generative AI Data Fabric, you can harness your siloed data to enhance efficiency, save on costs, streamline your working methods, and make better business decisions down the line.
If you’d like to learn more about what Stratio can do for you, please get in touch for more details.
