Sainsbury's aims to 'lead' grocery AI with Microsoft tie-up

Sainsbury’s aims to ‘lead’ grocery in AI with new Microsoft tie-up

Sainsbury’s is aiming to become the ‘UK’s leading AI-enabled grocer’ as it signs a new five-year partnership with Microsoft.

The grocer‘s tie-up has already seen it utilise artificial intelligence (AI) and machine learning to boost its ‘Next Level’ strategy, however the next stage of the partnership is expected to improve store operations, drive greater efficiency for staff and provide customers with more efficient and effective service.

Sainsbury’s said it plans to use the tech giant’s products and engineering capabilities to put “the power of AI in the hands of store colleagues and make shopping more engaging and more convenient for millions of customers across the UK – both online and in-store”.

It has divided its future plans into three core areas; first, to use generative AI to create an interactive online shopping experience and improve shoppers’ search experience.


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Secondly, it aims to empower store staff through AI driven real time data for key process such as smart shelf replenishment.

Finally, the partnership is expected to enable the combination its data assets with Microsoft 365 collaboration tools to aid the supermarket giant with running a more efficient business. This would be delivered through Microsoft Azure as part of Sainsbury’s cloud ecosystem, which will make it quicker to market for new services and innovations.

Sainsbury’s chief retail and technology officer Clodagh Moriarty said: “Our collaboration with Microsoft will accelerate our ambition to become the UK’s leading AI-enabled grocer.

“It’s one of the key ways we’re investing in transforming our capabilities over the next three years, enabling us to take another big leap forward in efficiency and productivity, continue to provide leading customer service and deliver returns for our shareholders.”

The new partnership comes as the supermarket giant revealed its  “Next Level Sainsbury’s” strategy in February. It set out how it would bolster profits, through prioritising food, Nectar card and convenience, and unveiled a new set of £1bn cost savings.

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