SMBs operating in the retail industry need to deal with many different problems on a daily basis — increasing labor costs, considerable rotation of employees, costly human errors and problems with inventory management, just to name a few. Fortunately, retail automation is here to help solve many of these concerns.
In short, retail automation is about using technology to streamline different processes regarding running stores — both online and offline — including marketing, customer relationships, analytics, logistics and returns.
In this article, you will learn:
If you are eager to discover the potential benefits of retail automation, keep reading.
Retail store automation can be helpful in many aspects of running a store, and has become even more important these days because of the increasing number of online orders. Customers demand near-instant service and delivery, and helping them is just one of the areas where automation in the retail industry can be implemented.
With an increasing number of different back office tasks, employees have less time to take care of customers properly. These tasks include manual work that — until recently — needed to be done by humans, like creating reports, issuing invoices and checking on stock levels.
The good news is that most of these tasks can be automated. This means employees can switch their attention to what matters most — making and keeping clients happy.
Examples of implementing workflow automation include:
To automate workflows in your retail company, you can use a tool like Brightpearl. This particular solution helps retail businesses with automating all critical order processes like order fulfillment or invoicing.
Implementing analytics automation can help retail businesses make better decisions in a faster and easier way by automating data collection from different sources and presenting this data in a single dashboard.
Analytics automation also prevents people from making mistakes while making calculations, analyzing data, generating reports or preparing Excel spreadsheets.
Analytics automation helps retailers with:
Running a retail SMB often requires handling hundreds of different invoices both coming from vendors as well as those that need to be sent out to customers. But that’s not all: these invoices need to be processed and matched to the particular orders to verify each transaction. On top of that — and this may be the most important thing regarding invoices — there are payments. Handling invoice processing manually may lead to lost invoices or late payments.
Because of these reasons, retailers can implement automation of the whole invoicing process as the perfect solution to avoid future problems.
Automating invoice processing helps retailers with:
As the Institute of Finance and Management (IOFM) discovered, 84% of time dedicated to handling accounts payable is wasted on manual tasks, including data capture. Most of these tasks can be automated using software.
Generating and distributing different types of reports are crucial for any retail business when making meaningful, strategic decisions. In most cases, it's also a time-consuming task that requires a lot of manual work involving capturing and collecting data from different sources like ERP systems. And it involves the risk of making an honest mistake.
These reports cover things like orders, stock levels, employees’ performance, best/worst selling products, expiring products, etc.
Thanks to automation, reports can be saved and scheduled for delivery without additional involvement from people usually responsible for that task, i.e., monthly reports for stakeholders or daily sales performance reports for particular stores.
Additionally, automation reduces the possibility of making errors and allows analysts to spend most of their time analyzing data instead of collecting it.
Exchanging documents is another aspect of retail businesses that’s often inefficient and usually takes too much time. Additionally, most companies — including the retail industry — still use paper documents, including invoices, instead of available digital versions.
Automation software can help turn these physical documents into digital ones and save them for later use. Such documents are easier to manage and harder to lose. They are searchable and can be used in other areas of retail automation like invoice processing.
However, document digitizing is just one part of document exchange automation.
Other examples include:
The number of available sales channels is growing and therefore it’s getting harder to keep up with all incoming messages from both actual and potential customers alike. Without some software support, it may even seem impossible — just take a look at social media platforms. We have Facebook, Instagram, Twitter, LinkedIn, Pinterest, TikTok, and more, and all of these platforms are brand touchpoints where customers may expect near-instant support. But that’s just the beginning — there is also email, a contact form on a website, and a call center.
Managing all these channels and processes seems overwhelming, but that’s where automation can be implemented. There are different solutions that can help with managing consumer relations, improving customer experience, resolving support tickets and keeping all conversations in one place. There is also the possibility of providing 24/7 support, thanks to chatbots that respond to questions in real-time automatically.
Companies like Staples, ALDI, IQOS and Walmart are already taking advantage of chatbots. Additionally, 38% of customer service representatives state that their organization uses chatbots to automate customer support at least partially.
We also recommend you to check one of our case studies to learn how Edmunds created Conversational Commerce Interface to gather all messages in one place and respond to them automatically.
Contact us to get help from EPAM Anywhere Business.
Claims processing is about receiving and resolving insurance claims from customers. Retail SMBs should be prepared for different types of claims, including:
Each claim should be logged, validated, adjudicated (reviewed) and paid (or denied).
However, doing this manually brings the risk of making an error and simply takes a lot of time.
The whole process can be streamlined using Robotic Process Automation (RPA). It’s a fully integrated, end-to-end automation solution that resolves issues such as changes in the process or the need to input data manually.
Implementing RPA brings various benefits, like shortened turnaround time and lower cost of processing claims. It also increases efficiency, has 100% robotic accuracy and is easy to scale.
The future is here — as Visual Capitalist reports, more than half of retail, management and logistics professionals are convinced that warehouse automation is necessary and have already invested in it. This becomes even more instrumental with the growing share of online sales. In 2020, online purchases accounted for half of everything sold, while the previous year before it was one third of all sales.
Here are some of the logistics and supply chain activities that can be automated:
Warehouse automation — some examples are cobots (robots intended to collaborate with humans), automated guided vehicles or autonomous mobile robots, and supply planning automation.
As an example, Berkshire Grey came up with a robotic parcel sortation system to manage small packages at scale.
You can also check how we helped Burberry with delivery management, helping them operate in the most efficient way possible.
Financial departments have various tasks that may be optimized, like cash flow management, regulatory compliance, or receivables and payables management — all of these could be accessible through a single platform and (almost) fully automated. It’s especially important for retail companies running both offline and online stores so there is perfect synchronization between systems regarding stock levels, sales numbers or which products have near expiration dates.
Finance automation benefits:
Once automating finance processes are implemented, always make sure they are properly integrated with each other and other related services so there are no gaps between different systems and tools.
Having different sales channels brings many challenges regarding product management, like synchronizing and integrating channels, organizing product catalogs or keeping stock levels up-to-date. Doing this manually takes precious time away from your workforce, time that can be better spent performing other activities.
Automation can make product management — and selling in general — much easier and faster. Here are some benefits associated with implementing it:
One of the tools you can use for automating product management is RetailOps. It offers all benefits mentioned above as well as other products for inventory management, order management and other areas of retail.
For retail SMBs, facility management is mostly about taking care of store areas accessible by customers arriving in person, but it doesn’t end there.
Benefits of automating facility management include:
Contact EPAM Anywhere Business team for expert advice on your project.
Let’s summarize all benefits that retail automation offers:
You can follow the checklist below if you want to implement retail technology and automation in your store:
This guide is intended to help you learn about these areas of automation and the possibilities connected to them. There are many areas of retail businesses that can become automated because doing some tasks manually becomes pointless, as it takes too much time and it’s not efficient from the business point of view.
We also encourage you to contact us directly so we can answer any questions regarding retail shop automation and your specific needs.
Discuss your particular case with the EPAM Anywhere Business team.CONTACT US