CASE STUDY

AI Spots Beverage Growth Opportunities Sending Incremental Revenue, Incidence Rates Up

A customized AI solution helped this Fortune 100 beverage leader realize significant growth in the difficult-to-balance Foodservice sector

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Finding Growth, Maintaining Balance

Maintaining a balance between product recommendations for new and existing products is a challenge. And for this Fortune 100 beverage company, finding an optimal tradeoff between the two was paramount for their foodservice division.

They needed to quickly recognize and close on any growth opportunities in this sector. Specifically, this meant being able to identify the potential sales gaps for any given category, brand, or SKU from the regional all the way down to the outlet level.

Delivering Growth, Simplifying Planning

After completing the first phase of their customized recommendation module of NAVIK Sales AI, it’s projected that the client will realize:

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  • A 3% uptick in incremental revenue

  • 2-3% higher incidence rates

  • 4% consumption value growth across categories

Not only has this tool become indispensable to the client’s sales team, who use it to craft tailored pitches for each account, it’s also become a key part of sales leaders’ annual sales planning process.

Deep Neural Nets, Collaborative Filtering, and Ensemble Models Enhance Results

Essentially, this AI-driven analytics solution is tasked with making smarter product and assortment recommendations, which includes:

  • Uncovering optimal assortment by DMA, chain, or outlet.
  • Identifying chain and outlet opportunities by SKU.
  • Maximizing beverage sales opportunities for existing foodservice customers.
  • Being scalable across all channels and use cases.

A typical use case sees a sales team member inputting the geographic location (nation, region, market, postal code), sub-channel, chain or franchise group, and the current assortment into the user-friendly interface. Under the hood, the analytics engine processes multiple data sets, runs segmentation, recommendation, and volume prediction APIs, and then further refines the results by likelihood of purchase and other SKU and category recommendation drivers.

Forging a New Path

Thanks to these advanced AI capabilities, this global beverage company has granular insights into the needs of their foodservice customers. With more information available to them, sales team leaders can make optimized strategic decisions, reps can make more effective pitches, and can simplify their decision-making process. This tool hasn’t just invigorated the foodservice sales division of a major company, it’s increased the technical capabilities available to decision-makers.