We look at how Sweden-based Axfood is driving online efficiencies using digital shelving labels and artificial intelligence (AI).
Technology to drive productivity in in-store picking
Axfood Snabbgross has partnered with label solutions company StrongPoint to improve its picking process. StrongPoint will provide Axfood Snabbgross with technology that enables shelf labels to flash when being picked for an online order.
The technology has helped reduce picking time by six seconds to nine seconds per item, driving efficiencies of up to 30%. The first Axfood Snabbgross store to trial the technology is Årsta, located outside Stockholm. The pilot project will be evaluated in May 2019 with the intention of being rolled out if successful.
Mat.se uses AI to improve accuracy in forecasting
In other news, Axfood's online store Mat.se has reduced its margin of error by half after using AI for forecasting. AI can more accurately measure and account for several parameters that humans cannot. For example, the technology considers approximately 60 factors, including weather, time and past behaviour. This allows Mat.se to become more precise in its ordering and staffing.
Digital marketing specialist, Sofia Norén, explained, “It predicts the sale of products and orders. Earlier we have been forced to make manual assessments. So far, technology has been twice as good as man in his forecasts, and it has never been wrong”.
The technology has been tested in Axfood’s warehouses in Stockholm, Gothenburg and Malmö and is compatible for use in-store.
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