To better understand this issue in grocery, Deloitte developed computational models to measure the magnitude and predictability of a store’s repeatable revenue and – by extension – its potential attractiveness as a target for automation and potential disruption. In fact, the process of pattern recognition preceding automation helped originate many of today’s leading digital-first companies. Once machines learn patterns across broad swaths of data, many activities can likely be automated and served up in some new way. Even the development of asking a computer to compose an essay or piece of art (i.e., generative AI) originates with computers learning fundamental patterns relative to various forms of input. Patterns of behavior and catalogs of information are building blocks for today’s intelligent systems. Like “What else would you like to buy from me?” and “What would be the best way to get those products to you?” or “Where should I store those products to best balance customer service with inventory holding costs?” “What do you buy from me on a regular basis, and when do you buy it?” If one can derive and predict these two things, one may be able to make even more important predictions about the consumer’s behavior. In fact, it starts with understanding a couple of important things about your customers and their households. Whereas the journey to this end state may cover many years and investment cycles, the starting point is quite simple. Helping to enable this journey is a comprehensive portfolio of use cases that Deloitte has developed to modernize a grocer’s experiences, operations and interactions while charting the path to “omniscience.” One who cares in new ways by providing a diverse array of services across a broader set of customer needs. An Omniscient Grocer will harness ubiquitous computing, interconnected devices and pervasive intelligence to become a new kind of grocer. Their transformation agenda is so broad and historical that we’ve coined the term “Omniscient Grocer™” to fully reflect its magnitude.
Generative AI might be grabbing headlines of late, but as we’ve been discussing in this blog, the scope of change that traditional grocers face extends beyond individual technologies like chatbots and automated checkout. (Deloitte’s AI Institute has recently completed a thoughtful piece covering generative AI ). Generative AI is the latest example illustrating the “age of with” – a new era where humans and intelligent systems will work side by side to create new experiences, services and business outcomes.
In the month since our last blog, there’s been a growing interest in the new chatbots showcasing a recent breakthrough in artificial intelligence, generative AI.
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