Technology Record - Issue 35: Winter 2024

165 AI to start the development and introduction of humanoid robots into its stores. The generalpurpose robots are designed to alleviate tedious tasks in retail stores and distribution centres so that employees can focus on more valuable work. For example, the robots will be able to help with picking and packing items in stores, which will allow employees to spend more time on tasks such as customer service. According to Geordie Rose, CEO of Sanctuary AI, the results were “spectacular”. Generative AI also has the potential to streamline the shopping experience for customers. Tools typically seen online such as conversational product discovery chatbots are being brought into in-store kiosks for services such as digital stylists. These in-store tools have the capacity to collect data on local customers to help retailers get a better understanding of their direct target audience’s needs. “If everyone in town is talking about an upcoming event, stores now have a way to extract those insights and use it to better plan for local assortments, inventory levels and staffing needs,” says Rajagopalan. Whilst economy struggles remain prevalent, physical storefronts can be costly for retailers to maintain. Throw digital transformation investments into the mix and it may be difficult for retailers to identify how they can gain a positive return on their investments. “Retailers have to start thinking about the store as a node in the omnichannel network, and less as a physical space where the investment put in must be offset by the revenue gained,” says Rajagopalan. “The revenue influence and impact from stores reaches far beyond the products physically purchased on that trip and retailers must weigh the value of the store based on customer loyalty, lifetime value, basket size and total revenue for the geography. “This is now more vital than ever as customers learn about products from different sources, gather information from external influences or make purchases outside of the place of discovery through other online marketplaces.” Rajagopalan explains that digital transformation can bring additional benefits that may not be visible at first glance. “Investing in data and technology can help to improve operations from optimising inventory levels to reduce waste to improving energy efficiency and space utilisation,” she explains. “All these things help keep costs in balance while allowing the store to play a unique role in the customer’s omnichannel journey.” RETAIL & CONSUMER GOODS Canadian Tire Corporation is introducing humanoid robots into its stores with Microsoft and Sanctuary AI Photo: Sanctuary AI

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