Thursday, 30 March, 2023

NEXT retail investing in AI

Brief summary

  • UK retail company NEXT are investing in AI for future growth
  • AI being used in many areas, helping increase sales by 22%
  • Tips and insights that can be learned from this

What’s new?

Next, the British clothing and home goods retailer uses AI technology to improve efficiency in its online operations. The system uses machine learning algorithms to predict which items will be combined and with what frequency. As a result, orders per hour increased, and delivery times improved, with many orders now being delivered within 24 hours of being placed. 

Key points

Here are some of the key points:

  • AI is busy being implemented across the company
  • Mainly used in picking/processing to AI to improve efficiency
  • AI has helped sales increase by 22% by analysing sales history and forecasting the product volumes needed.
  • Using AI to help improve delivery times
  • Used to enhance the user experience of customers
  • NEXT has outsourced its AI development to PEAK, a UK AI firm

Key thinking and insights

NEXT has seen the many benefits of implementing AI, and they are focusing on critical savings and services. Many companies start with the low-hanging fruit and then widen their reach to improve all aspects of the enterprise. AI is increasingly used in retail, and many people rightly focus on making responsible and ethical AI. 

Bottom line

  • Do explore the use of AI throughout the organisation and see where it can add value
  • Develop an incremental plan for this
  • The use of AI is central to a growth strategy and best combined with other areas of the business.
  • Consider outsourcing your AI development, as this can get you up and running faster and possibly with reduced costs

Feel free to contact me today

I invest many hours researching the latest AI, technology, and business trends for all my clients. The knowledge is refined, distilled, and combined with many other forms of analysis and expertise to give the best advice possible. 

I can get the best out of AI by:

  • Spotting the latest AI opportunities for your company
  • Pinpointing the best AI experts for your project or company
  • Giving the best advice on AI strategy and approach
  • Helping extract the most value out of  AI
  • …and lots more, please feel free to contact me today

Please note

I have no affiliation with the companies/technology/people mentioned, and it is designed to highlight the thinking. This analysis is 100% independent for the benefit of the data/business community.

Further reading and references

Please feel free to contact me today