to harness social and “internet-of-things” technologies to
de;ne faster approaches to innovation, organizing products, services and experiences around how the individual
is behaving in real time.
;. Create an ecosystem and embrace partners.
Convenience is no longer de;ned by the location of a retailer’s
brick-and-mortar store—it now demands an ecosystem
of products, technologies and services that enable easy
interactions for consumers.
Grocers will need to rede;ine their own end-to-end
experiences that make food planning, shopping, delivery
and preparation e;ortless. The winners will be those who
build an ecosystem of suppliers, technology peers, distributors, startups and customers to support the expansion of
the digital value chain. These ecosystem partners will be
key to widening the sources for creating new innovative
products and services.
;. Modernize end-to-end operations. Digital technol-
ogies are enabling organizations to create new levels of
e;ciency, sources of growth and experiences that satisfy
the growing demand among consumers for relevant, con-
venient and cost-e;ective products.
To free up cash to invest, fend o; unwelcome acquisi-
tions and improve asset leverage, traditional grocers need
to modernize operations from supply chain and ;eld oper-
ations to IT. The challenge for organizations is to carefully
balance transforming core businesses while scaling new
ones, which demands reinventing customer value propo-
sitions and business model innovation.
Regardless, efforts will include automation, spend
optimization, inventory rationalization, and entirely new
technology and supplier delivery models.
The Evolving Journey of Tech-Led Transformation
As the food industry continues to undergo seismic
changes, the battle for market supremacy is well under-way, with consumers being the ultimate winners. The
rules of the game have changed, and for grocers to succeed, they must be proactive in building businesses for
the future. This will require traditional food companies
to embark on a moving-to-modern journey of tech-led
transformation that will see them well-placed to respond
to changing consumer tastes and expanding customer
expectation for years to come.