AI distribution technology increases sales

By Vincent Tang, Regional VP, Asia, Epicor

Getting something from point A to point B is straightforward work. That's probably why many distributors still rely on human labour and paper tracking. While the distribution industry hasn't always been an early user of new technology, new tools are about to transform operations. And the future is exciting.

Artificial intelligence (AI) makes distribution faster and easier. Tools collect valuable data and suggest actions to streamline operations and boost profits. AI can predict consumer demand. And AI in distribution can give sales reps access to information to help them better serve their customers.

By using AI technology, distributors can grow their businesses in three areas:

Customer service and sales

Customers want to feel valued, and AI can be a distributor's secret weapon to providing great service.

For example, AI arms reps with information while they're on sales calls. Using a mobile device, they can check a customer's recent orders. They know if a product is available. They can get a delivery date. And they can check the current price. This information helps reps so they don't sell items that are out of stock and disappoint customers.

AI reports can also flag customers whose buying habits have changed. Sales reps can stop by their location at just the right time. By rebuilding relationships, they might prevent customers from placing an order with a competitor.

Inventory

Knowing how much inventory to keep is one of the most important decisions for distributors. AI can help companies avoid having to liquidate stale products or run out of a popular item.

AI analyses sales history, order patterns, and returns. It can also check commodity pricing, economic conditions, and even weather situations that might impact delivery. AI can then identify items that are selling well and automatically restock them when inventory is low. AI can also pinpoint items that aren't selling well and suggest a discount.

Operations

Warehouse operations impact sales for distributors by speeding up orders. AI can enable warehouse automation to aid the process. For example, AI makes voice-picking technology* better by improving speech recognition and hands-free operations.

Using robotics technology, in distribution centres can create faster and safer operations—and turn your boring distribution centre into a smart warehouse.

Eliminating the need to enter the same data multiple times has boosted data accuracy and forecasting while delivering a 360-degree view of the business. For example, Crystal Jade, one of the most prominent restaurant chains in Asia Pacific, has dramatically reduced information lead times and improved data availability and accuracy. They are able to derive consolidated financials and granular reporting across multiple stores or legal entities more efficiently and reduced their month-end closing from 12 to seven working days.

AI can help distributors grow and expand their businesses by improving logistics, profits, and customer service. With man and machine working side by side, customers, companies, and employees can all win.

*Voice-picking technology uses voice commands to select (pick) items for an order in a warehouse.

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