NetherlandsRetail and e-commerce2023 – ongoingAlbert Heijn
AI demand forecasting and dynamic markdowns to cut food waste
Albert Heijn's dynamic markdowns save 250,000 kilos of food a year
Problem
The Dutch supermarket chain wants to halve its 2016 food waste levels by 2030. It needs stores to stock just enough.
Approach
AI forecasts demand on Azure for more than 15 million store-item combinations, up to five weeks ahead. Dynamic Markdown raises discounts through the day on electronic shelf labels. The app also offers AI recipe features.
Results
Takeaway
The 250,000 kilos figure is for Dynamic Markdown. The company expects the forecasting work to cut total food waste by more than 10%.
Categories
- Size
- Large enterprise
- Industry
- Retail and e-commerce
- Business function
- Logistics and supply chainProduction and quality
- Innovation type
- Process innovation
- AI technology
- Predictive analytics and MLGenerative AI
- Adoption
- Built in-house
- Evidence
- Vendor's case study
Sources
Source summaries
Microsoft describes Albert Heijn's AI demand forecasting, markdown and recipe tools. It gives the 250,000 kilo saving and an expected waste cut.
Full details are in the original sources.
