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2021

Benefits of Advanced Technology In Supermarkets


Business
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 Business overview
Every sector is evolving because technology is assisting in the creation of efficiency, cost
savings, as well as better goods and services (Kern, 2018). Technology is also being used to
benefit the retail companies. During the tough times of the Covid-19 crisis, supermarket
businesses have been one of the few winners. They've had to swiftly adapt their business
strategies to keep up with rapidly changing government laws and customer expectations.
Adopting new technology was formerly a long-term strategic choice that might take months
or years before a pandemic. Retailers should now understand that being relevant and
successful requires them to invest in technology. It's not possible to put it off any longer
(Grewal et al., 2020).

The kind of innovation seen in UK supermarkets isn't limited to the supermarket.  Other types
of retailers may use the same or comparable technologies to improve their shops' shopping
experiences and future-proof their businesses.

 Latest technologies that can support a UK supermarket business and their benefits

E-commerce

In terms of the retail sector, electronic commerce is the most significant technical
development. This technology has revolutionized the way people buy by allowing them to
purchase as well as compare goods via the Internet. Due to rapid growing of ecommerce,
consumers no longer need to visit a physical store to buy products or services (Jahanshahi
et al., 2013). Customers may also access the online store of the retail company that offers
the necessary products or services using a device of their choice, such as a laptop, iPad,
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smartphone, or personal computer. Thus, consumers may shop from anywhere with an
Internet connection at any time. Additionally, internet stores give product information so
that customers may educate themselves and compare various offers. Customers may also
search for extra product data, such as facts about a product's production process or its
precise origin. As a result, e-commerce has the potential to substantially improve
customers' purchasing experiences while also increasing convenience. Furthermore, the
payment method is straightforward. The customer's payment details must be provided to
the online store after the desired items have been chosen (Burt and Sparks, 2003, Notomi
et al., 2015).

Additional e-commerce advantages encompass higher profit, sales growth, efficiency,


Return on investment, end-user accessible, vendor effectiveness, end-user adaptability,
consumer loyalty, and better customer support as well as business process flow.
Customers gain from ecommerce as well, since it reduces the time and effort required to
complete transactions, as well as to search for and choose services and products. As a
result, client happiness and loyalty are increased (Jahanshahi et al., 2013).

Overall, e-commerce may assist retailers in becoming more competitive in the worldwide
market. Transaction costs, as well as the costs of communication and information, are
reduced by technology. As a result, e-commerce technology may help retailers to improve
the operating efficiency as well as activities (Chan and Al‐Hawamdeh, 2002).

 Scan pay go 

The portable scanner has been replaced


by a simple app on customers'
cellphones thanks to the most recent
technology. Scan & Go's more
advanced mobile app versions allow
customers to scan goods with their
cellphones and then pay for their
purchases directly in the app,
eliminating the need to wait in a queue
(Grewal et al., 2017). In-store
purchasing made simpler and safer
using ‘scan pay go' technology. Sainsbury's is among the most recent supermarkets in the
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United Kingdom to promote scan-and-go technology. Customers may scan as well as bag
goods while shopping in store using a retailer's mobile device or the Sainsbury's
SmartShop app on their own mobile device. Other supermarkets in the United Kingdom
are adopting the scan-and-go system. M&S has increased the number of shops providing
"Mobile Pay Go" to over 100, while Tesco has "Scan as You Shop" accessible in nearly
600 big supermarkets. The technology is gaining popularity among consumers since it
offers a number of distinct advantages:

 Consumers may shop with little to no contact with employees and a lower danger of
their goods being handled by personnel.
 The purchasing procedure is more efficient.
 It's much simpler to stay away from other shoppers.
 There are less lines at the checkout.

Other factors contribute to increasing use rates as well. The provision of a running total of
the shopping is a common feature of the apps and devices, which helps consumers stick to
their budgets. Several have a shopping list feature that allows customers to upload a
digital shopping list and have it rearranged in the order in which items appear in the aisles
i.e. ideal for easing in-store navigation, managing crowd flows, and improving the overall
experience.

Having a wallet filled of paper is also avoided with automated digital receipts. To
customize the customer experience, Scan and Go systems may integrate AI technologies,
augmented reality, and tailored ads. As consumers approach various beacons around the
store, proximity-based in-store advertising may adjust displays and offers to their unique
tastes. Retailers can get unparalleled insight into their consumers' buying data and
shopping patterns. As a result, real-time upselling and cross-selling to increase sales may
be facilitated.

Furthermore, the purchasing process may be improved. Consumers can even choose the
payment mix that best suits their preferences by combining payment cards, loyalty points,
and offers by combining all of this with digital loyalty schemes and coupons. Finally,
businesses may lower transaction costs by providing consumers with digital store-branded
cards, which can be readily integrated into a Scan and Go system. This means they get to
retain a larger portion of the earnings!

 Self-service checkout as well as mobile wallets


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Working as a cashier may be stressful, especially since they don't have much time to relax
because they're continuously scanning goods and collecting payments, which can lead to
wrist discomfort, back pain, and other ailments. With self-checkout systems, customers
spend less time in supermarkets since items are automatically recognized via in-store
cameras, shopping cart sensors, or users' cellphones (Hassan et al., 2014). It comes as
demand for frictionless checkouts grows, with companies like Tesco vying for first-mover
advantage. In 2018, the business experimented with a fully cashless shop, but has yet to
expand it. A new technology known as "Just Go Out" allows customers to walk inside a
business and pay with their credit card alone. The user's card is automatically charged
once they leave the store, thanks to in-store cameras and shelf sensors that keep track of
what is picked up. For the time being, this is as fast and painless as shopping can get.

 Chatbots technology

Chatbots are one of the most amazing technology that is now adoring a flow due to the
popularity of messaging applications. A chatbot is a computer program that simulates
human-to-human interaction by sending text or voice messages (How and Chan, 2020).
Retailers are using chatbots to bridge the gap between physical and online encounters.
They can perform things like answer
phones, provide customer service, and
upsell to consumers. Chatbot applications
increase customer loyalty by simplifying
interactions among businesses and
consumers (Angeline et al., 2018).

Simultaneously, they offer companies with


new methods to improve customer loyalty
as well as organizational success by
reducing the usual cost of customer
service. Chatbots come in handy when it
comes to pre- and post-purchase questions.
From the standpoint of the consumer, this
technology has a number of benefits.

Chatbots are available 24 hours a day,


7 days a week to address customer
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queries. Customers are no longer compelled to wait for the next available operator
when chatbots are used as part of a company's communication strategy (Angeline et
al., 2018).
 Quick Response: The business may employ chatbots to answer thousands of
customers' queries rapidly as well as simultaneously, decreasing reaction time.
 Multicultural - Chatbots may well be programmed to reply to queries from
customers in their native tongue. Multilingual chatbots could be able to assist
supermarket's business in expanding its reach and branching out into new
sectors.
 Consumers may engage with businesses via various channels as well as
devices like websites, Facebook, and many more, as well as benefit from
chatbots' Omni-channel messaging support feature, which provides better
service and experience.
 Chatbots are capable of maintaining a high level of consistency in their
replies, ensuring that the client engagement is worthwhile. Consistent replies
always improve the customer experience for a company.
 Customization: Customers may be engage as one-on-one conversations using
chatbots. They may also anticipate bots speaking in a natural, casual manner to
provide the sense of a human touch.
 Order without a human - Chatbots enable customers to make orders or conduct
deals without any need for human intervention. Purchasing automation has the
potential to improve the customer experience.
As a result, chatbots may be very beneficial in helping supermarkets in establishing
positive customer connections. By engaging and interacting with website visitors,
they may prove to be a great tool for building strong relationships. Chatbots may be
used by supermarkets to accomplish marketing objectives as well as increase sales
and enhance customer service. The following are some of the ways a chatbot may
help a company to develop.
 Raise Customer Engagement
 Enhance Lead Generation
 Lower Customer Service Charges
 Track Customer Information for Insights
 Develop a Communicative Marketing Plan
 Balance Highly automated system with Human Touch
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 Satisfy Consumer Expectations


 Attain Support Scalability, and Simplify Customer Support. 
 Data Mining

The analysis of huge quantities of data using statistical techniques is characterized as data
mining. Data mining's primary goal is to find patterns in large data sets. By supplying
appropriate data and statistics, this technology may help with decision-making and predicting
future market trends. Data mining is critical in the retail sector since it generates a significant
quantity of data from sales, service and products consumption, and transportation (Ramageri
and Desai, 2013). Furthermore, a retailer's performance depends on timely knowledge
regarding market trends, consumption patterns, and consumer needs. As a result, data mining
may be used in the retail sector to detect shopping trends, consumer behavior, and fraud. This
may assist retailers in improving the quality of their service, resource allocation, and
distribution methods. Data mining techniques, for example, may be used to examine the
impact of advertising (for example, price reductions for a short time) on a retailer's turnover
(Apte et al., 2002).

To create localized and customized choices and offers, retail businesses should utilize data
mining and sophisticated analytics of consumer data. This has to be done in real time.
Customers' product preferences, as well as other factors, may assist merchants in making
such choices and offering such products. Customers' product preferences may be determined
by analyzing data from social media sites. A discount on a particular product that a customer
has "liked" on Facebook, for example, may be offered. Customers' offers may also be tailored
to their geographic area. Customers who reside near a coffee shop, for example, may get
coupons. Additionally, unique discounts and advertising may be tailored to fit certain buying
situations (MacKenzie et al., 2013).

Moreover, sophisticated analytics and data mining technologies may be leveraged to generate
value in many company sectors, not only marketing. Data mining tools help merchants
predict changes in customer traffic patterns, fine-tune product assortments, and determine
optimum inventory levels, delivery routes, and allocations, among other things.
Simultaneously, unit economics and consumer satisfaction increase. For example, a footwear
store might use a data-driven system to connect inventories across all channels. When a
customer buys shoes at full price on the retailer's website, this technology searches the
inventory of all shops to find the shoes that the client bought and are unlikely to be sold at
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full price before the season ends. The system then determines whether selling shoes from the
shop or from the centralized warehouse is more lucrative. As a result, such technologies may
assist retailers in increasing profit margins and improving real-time fulfilment choices
(MacKenzie et al., 2013).

References
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11. MACKENZIE, I., MEYER, C. & NOBLE, S. 2013. How retailers can keep up with
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