Kroger has partnered with Microsoft to “reinvent the customer experience” at two of its supermarkets through the use of connected store technology.
As part of the collaboration, Kroger has developed a smart technology system, powered by Microsoft Azure, to transform two pilot stores located in Monroe, Ohio, and Redmond, Washington, near each company’s headquarters.
America’s biggest supermarket chain has used the shops to showcase the new technology, featuring digital displays, instead of traditional paper tags, to indicate prices and promotions as well as nutritional and dietary information.
For Kroger employees, a ‘pick-to-light’ productivity solution aims to reduce the time it takes to fulfil curbside pickup orders by using visual cues to help them quickly find items. Additionally, solutions like Microsoft Azure-powered video analytics will help them identify and address out of stock products to ensure customers can locate items on their shopping list.
The digital displays will also enable Kroger to generate new revenue by selling digital advertising space to food and drinks brands. Using video analytics, personalised offers and advertisements can be presented based on customer demographics.
Rodney McMullen, Kroger CEO, said: “Kroger is building a seamless ecosystem driven by data and technology to provide our customers with personalised food inspiration. We are identifying partners through Restock Kroger who will help us reinvent the customer experience and create new profit streams that will also accelerate our core business growth. We are excited to collaborate with Microsoft to redefine grocery retail.”
Microsoft CEO Satya Nadella said: “Our partnership brings together Kroger’s world-class expertise in the grocery industry with the power of Azure and Azure AI. Together, we will redefine the shopping experience for millions of customers at both Kroger and other retailers around the world, setting a new standard for innovation in the industry.”
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