Technology Companies Serve Retailers and Customers

We’ve rounded up a selection of companies that provide new technology to retailers and consumers. The innovative software and hardware is designed to improve store operations and the customer shopping experience. It can update prices, check inventory, restock produce and other labor- or time-saving efficiencies.

For example, digital solutions, AI technology and data-driven insights assist independent and national grocery stores. QR codes tell shoppers about farm workers who picked their produce. An app allows shoppers to buy surplus retail produce at a discount. An in-store robot traverses store aisles to check inventory.

Electronic Shelf Labels (ESL) reduce paper waste — FMI members estimate the average supermarket changes 7,000 price tags a week by hand — and improve customer checkout, because the register price will match the shelf price. Retail loyalty programs reward customers with points, and special deals via the store’s app.

Let’s get started.

RETAILERS AND THEIR CUSTOMERS

Schnuck Markets, Inc.

At Schnuck Markets Inc., headquartered in Saint Louis, MO, customers can earn 2% back via the Schnuck Rewards app. At checkout, shoppers enter their phone number or scan an in-app barcode to earn points and redeem rewards/digital coupons. The same benefits apply for curbside and delivery orders.

“From personalized, digital coupons to personalized weekly ads, our Schnucks Rewards Program is helping customers build weekly shopping lists, locate items in our stores, and identify savings and promotional offers specific to what they purchase the most,” says Paul Simon, communications lead for Schnuck Markets.

Schnucks offers a range of recipes in the app and on its website. Customers can add favorite recipes to a personal list, with ingredients automatically saved. They can find the ingredients courtesy of Schnuck’s ESL system from Aperion.

“Once in the store, customers can use the search feature in the app to find the exact aisle, 4-foot section, and shelf of products in the recipe. From there, customers can tap ‘Flash Digital Shelf Tag’ that will light up the electronic shelf tag in front of the product,” says Simon.

Customers can join Schnuck’s Healthier Habits program and receive insights, recipes and special offers. Shoppers look for the Dietitian Pick icon (which includes a thumbs-up logo) via shelf tags at the store or the product guide on the app. Spoon Guru, an AI nutrition company, helps Schnucks curate the 5,000 dietitian-approved items in the store.

Northeast Grocery, Inc.

Northeast Grocery, Inc. began a four-month pilot program with Simbe Robotics. The traditional grocery has 300 locations (Tops Friendly Markets, Price Chopper/Market 32). It deployed a Tally robot at 10 New York stores, to traverse the aisles three times a day, using four cameras and superior sensing to scan shelves and process data.

“It will advise what is in stock, whether there are out-of-stocks, whether the price tag is correct,” says Scott Kessler, executive vice president and chief information officer at Northeast Shared Services in Schenectady, NY. “Tally has messaging that says ‘I am checking inventory.’ Kids love it; people take pictures with it.”

Tally sends information to the cloud via Wi-Fi and generates downloadable reports. Based on the data, grocery store staff can replace price tags, change supplier mix and negotiate with vendors. Tally helps with marketing and merchandising, too. Currently, Tally does not scan fresh produce, as the robot only reads vertical refrigerated units, (i.e., in the frozen aisle).

“But in the future, Tally could tell us whether produce needs to be turned or removed based on its aging on the shelf. Using computer vision (CV), we could potentially use Tally robot to correct produce pricing, and for picking optimization for online grocery order fulfillment,” says Kessler.

B&R Stores

B&R Stores Inc. is a regional chain with 30 independent grocery stores in Nebraska, Iowa and Missouri. Its brands are Russ’s Market, C&R and Supersaver. B&R offers customers a loyalty program and a convenient mobile app.

“The more you push people digitally, the less labor you use to get the sale. If they buy online, the sale is done, and you transfer the labor to filling the order,” says Randy Bohaty, director of produce for B&R Stores in Lincoln, NE.

B&R is a developmental partner for EmpowerFresh. The store worked with the produce platform’s software solutions, developing behind-the-scenes engineering for smooth retail operations.

“Over time, this will be a game changer for the industry. It will give independent stores the same opportunities that larger chain stores have.”
—Randy Bohaty, B&R Stores, Lincoln, NE

EmpowerFresh’s Ad Writing projects B&R’s gross mix before an item is placed in an ad. Alert System advises when an item or category will miss its preferred gross margins. AI Ordering suggests what to order, based on data from past sales and current inventor.

“Over time, this will be a game changer for the industry. It will give independent stores the same opportunities that larger chain stores have. It will help the independent retailers be more efficient and will make their job easier,” says Bohaty. The result will be better inventory, higher sales and improved store operations.

Produce is a challenging commodity because it is fresh. Since experienced labor is harder to find, EmpowerFresh offers B&R produce managers digital training (on items, categories, pricing and merchandising), and provides reports to associates (on historical data and competitive prices), so they can do research on an iPad.

“With produce, so many things can change from field to consumer. As the retailer, we are the last line of that chain. The more we can rely on technology, and the more we can do to get the consumer the freshest produce, the better off everyone is,” says Bohaty.

TECHNOLOGY COMPANIES

EmpowerFresh

EmpowerFresh Company in Kansas City, MO, provides AI technology and data-driven insights to independent grocery stores. The software streamlines processes, optimizes fresh operations and improves the customer experience.

The company helps retailers prioritize labor hours, so work is done efficiently. Its training materials are a win for independent grocers who struggle with labor challenges. The alert system, an added feature, gives parameters and margins by category. If a store is dumping a produce item, an alert goes off and educational tips will kick in.

“My favorite is eggplant because I love eggplant,” says Anthony Totta, founder. “Let’s say you buy 88 eggplants a week and only sell 20. So, you are losing a lot of eggplant. Are they under misters? Because they should not be. What is the temperature of the case? If it is a 33-degree case, it is too cold, and that is destroying the eggplant.”

Empower also offers Category Optimization (CAO). Using AI, it suggests orders based on ads and history. This leads to better sales and profits by category, without increasing waste and out of stocks.

Independent Grocers Alliance (IGA) in Chicago, IL, partnered with EmpowerFresh to “provide our members with innovative technology solutions to help them thrive in an increasingly competitive market environment,” says Michael La Kier, vice president brand development.

“We set out to put in the hands of retailers — by notebook, PC and phone — real time actionable data. The end result is they reduce their shrink and increase their turns,” says Totta.

With EmpowerFresh, retailers place supplier orders and manage in-store fresh cuts. The software integrates competitive data, so retailers know they are not priced too high or too low. The company’s ad writing tool helps retailers have the right mix of ads at the right time and shows (sales) lift.

“And for the consumer, the product is fresh and there is less out of stock. The customer is happy because the retailers keep a product in stock that would otherwise be out of stock,” says Totta.

VusionGroup

VusionGroup provides digital solutions that improve retail store performance, manage planogram compliance and optimize inventory performance.

“Our Computer Vision AI monitors shelves for discolored, expired or low-stock inventory. Every 15 minutes, it can send a notification to the cloud to restock,” says Cody Smith, head of marketing, North America for VusionGroup in Chicago, IL.

The company’s ESLs show product information, promotions, QR codes — and prices that can be updated in real time.

“Whether you have one or 50 store locations, you can make updates simultaneously from one single location. This reduces labor cost and increases shop accuracy,” says Smith.

VusionGroup’s electronic tags can withstand water, refrigeration and high heat. They have a 10-year battery life, can be as thin as a credit card, and come in black, white, yellow and red. ESLs range from 1.2 to 7.4 inches wide, and can fit any store rail or stand.

“We have a wide variety of tag sizes that any retailer can use. Say you want to put Bartlett pears on sale, you can use a larger 4.2-inch tag,” says Smith.

VusionGroup can help retailers support companies, such as Wonderful Pistachios and Avocados from Mexico, via larger tags and added sales. Its software enhances the customer experience, too. “We can integrate with store apps and loyalty programs to show deals or discounts. We can customize tags: red if on sale, yellow for loyalty members,” says Smith.

Hy-Vee implemented VusionGroup’s digital solutions at 230 stores. Shifting to ESLs allows it to offer intra-day promotions on perishable items and in-store order fulfillment via flashing LEDs.

“Partnering with VusionGroup helps us streamline multiple operations in our stores, and makes the labeling process significantly better for both our customers and our employees,” says Brian Young, senior vice president and chief information officer of Hy-Vee.

Walmart is testing VusionGroup’s digital labels and LED lights, and plans to expand it to 2,600 stores in two years. The test includes simplified stock replenishment for staff with “Stock to Light,” and faster order picking for Instacart shoppers with “Pick to Light.”

Walmart associate Daniela Boscan says ESLs “allow us to update prices at the shelf using a mobile app, reducing the need to walk around the store to change paper tags by hand and giving us more time to support customers in the store.”

Afresh

Afresh, San Francisco, CA, has software that 2,600 U.S. retailers use to order produce and maximize shelf life. Retail customers include national chains, plus regional chains such as WinCo Foods, Heinen’s and Fresh Thyme Market. The company uses AI to forecast demand and inventory and leverages the store’s past sales data by looking at price, promotion, day of week and holidays.

“The produce manager uses an iPad or Android and goes through a workflow: check inventory on the system, look at items that have higher shrink,” says Matt Schwartz, chief executive and co-founder. “We have 95 to 97% store adherence to what our system recommends.”

Afresh relies on its intuitive software to empower produce managers, but steps in as needed.

The proprietary technology by Afresh makes sense of a plethora of imperfect information. For example, with strawberries, it will consider different suppliers, clamshell vs. kraft containers, various package sizes, 12- versus 16-ounce weights — plus cold chain compliance, new barcodes and more — to make the right decisions on ordering.

Afresh relies on its intuitive software to empower produce managers, but steps in as needed.
“We partner with our customers to be sure they are successful at scale and that their employees are successful at solution,” says Schwartz.

While Afresh uses AI to automate as much as possible, it incorporates boots-on-the-ground learning, too. “Grocers said when SNAP benefits (food stamps) come out, there can be a rise in demand. And the shopping demand pattern is different if Cinco de Mayo falls on a weekday vs. a weekend. So, we believe you need insight from store employees to do the best job possible,” says Schwartz.

The software benefits shoppers, too. “The food is fresher and should have one to two extra days of shelf life through faster inventory turnover. And when you go in the store, you’ll see the item is in stock,” says Schwartz.

Flashfood

Flashfood, based in Toronto, Canada, has an app for consumers to purchase discounted food from U.S. retailers. It has partnered with 2,200 grocery stores in 21 U.S. states, including Lucky, Kroger, Giant, Stop & Shop and Piggly Wiggly. The Flashfood mission is to “feed families, not landfills.”

“Flashfood’s retail partners populate the app daily with high-quality groceries in surplus or near their best-by date, which includes fresh fruits and vegetables,” says Calli Brannan, head of customer success at Flashfood. “The product is uploaded to the app with a photo, a best-by date, and a price, often up to 50% off.”

Shoppers look at a map on the app to find stores near them and browse store items that are posted throughout the day. Flashfood often sends promotions and offers.

“Our ‘Produce Box,’ a 10-pound box of mixed produce, is the most purchased item on Flashfood. All produce boxes are $5 and feature a random assortment of fruits and vegetables depending on each store’s stock,” says Brannan. A photo of the box is posted so the shopper can see whether it’s fruit-heavy, vegetable-heavy, or all avocados, for example.

Flashfood helps grocery stores reduce food waste, recover lost profits (by reducing shrink by an average of 27%), drive in-store foot traffic, and drive incremental sales.

“On average, Flashfood shoppers spend $20 in additional in-store purchases per month,” says Brannan.

Procurant

Watsonville, CA-based Procurant is a strategic platform for perishables that focuses mainly on growers, shippers and warehouses. It offers an integrated solution, so retail grocers can procure produce, and manage costs and quality. Procurant serves retailers, including Albertson’s and Associated Food Stores (AFS).

Online grocery shopping is expected to grow from 17% to 24% of retailer business by 2027, according to a 2022 Wharton School study. As e-commerce grows, more suppliers and retailers need to collaborate on catalog photos. Broccoli can be pictured in someone’s hand or on a white background, but the photo has to come from somewhere and rest somewhere.

“The product name, description, images — that is not our primary business, but it is an offshoot of the inventory we are handling,” says Kevin Brooks, chief revenue and marketing officer at Procurant. “Anecdotally, we are noticing an uptick in our system being a source for that information. Although each retailer has different standards, it is logical for the images to rest in Procurant.”