Tesco is leveraging artificial intelligence to offer its shoppers cost-efficient and healthier product choices, according to CEO Ken Murphy.
- AI technology is aimed at guiding customers towards cheaper product options and healthier alternatives using Tesco’s Clubcard data.
- The supermarket is also focusing on reducing food waste both for customers and within its own operations.
- A new facility dedicated to converting surplus food into animal feed, processing up to 1,000 tonnes weekly, is being introduced.
- These innovations are part of Tesco’s broader strategy to enhance shopping experiences and promote sustainability.
Tesco’s chief executive Ken Murphy recently disclosed the company’s plan to employ artificial intelligence as a tool to offer its customers more budget-friendly and health-conscious product options. During a presentation at the FT’s Future of Retail event, Murphy highlighted how AI could be utilized to interpret data from Tesco’s Clubcard. Such data would enable the system to recommend when to purchase certain items to take advantage of upcoming deals, effectively helping customers save money.
Murphy articulated the potential of AI to act as a subtle guide, helping customers make informed decisions about their purchases. For instance, customers could be advised to delay a purchase by a week to benefit from a deal. This strategic approach leverages Clubcard data insights to nudge shoppers towards more economical choices.
In addition to financial savings, Tesco’s AI initiative aims to promote healthier shopping habits. Murphy elaborated on how the technology might encourage reductions in certain dietary components. As an example given, if a customer’s shopping basket routinely exceeds the recommended sodium levels, the AI could suggest suitable lower-sodium substitutions to foster better health outcomes. This transformative technology empowers shoppers to make thoughtful adjustments to their diets without significant effort.
Ensuring sustainability and minimizing waste are also at the core of Tesco’s operational goals. The company is set to inaugurate a new facility capable of converting surplus food into animal feed, managing up to 1,000 tonnes of excess food per week. This facility signifies Tesco’s commitment not only to customer-centric waste reduction but also to internal operational efficiencies, aligning with broader environmental sustainability objectives.
Overall, these forward-thinking initiatives reflect Tesco’s commitment to evolving the customer experience by integrating cutting-edge technology and promoting a more sustainable and health-conscious shopping environment.
Tesco’s innovative use of AI underscores its commitment to enhancing customer value and sustainability.