The food and drink sector might be abuzz at all the potential in AI right now, but many brands and retailers remain stuck on fragmented use cases, adding cost and complexity without the promised productivity gains. For the next installment in our series on unlocking value, we explore what needs to change?
From self-checkouts that spot shoplifters, to ‘virtual conversational assistants’ and AI-generated Christmas campaigns, the UK grocery sector is awash with investments being made by brands and retailers into artificial intelligence (AI) right now.
According to KPMG’s Intelligent Retail report, more than half (56%) of retailers say they’ve been leveraging AI across their business for three years, with two thirds (67%) confident that levels of spending on AI-driven initiatives will ‘significantly’ increase within the next 12 months.
But despite high levels of adoption, often investments in AI within food and drink remain focused on piloting flashy use cases, rather than taking the time to understand and unlock the full potential in the tech, say experts.
There are different models that work, but interestingly only a fifth (19%) of retailers have a specialised AI team driving coordinated adoption across the organisation right now, relying instead on fragmented models and applications, according to KPMG. If so, a truly transformative outcome from AI across the enterprise seems challenging.
So, how can businesses build a strategy for AI that does more than attract a bit of short-lived hype?