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Pricing automation quashes margin erosion in retail

By novembre 24, 2022No Comments

Automate your pricing and promotions on the shelf in real-time by using Danavation’s proprietary Digital Smart Label™ technology. By adopting this technology, retailers across all sectors are driving in-store efficiencies and leading from the front when it comes to digitally transforming their operations. Danavation has developed solutions for retail company owners to transform their business.

Digital Smart Labels™ offer a class-leading high resolution, high contrast, wide viewability and vibrant colour displays designed to enhance the in-store shopping experience. The Digital Smart Label™ solution is integrated into your existing workflow thus allowing price changes to be made from the point-of-sale system and reflected on the price labels on the shelf.

In the retail hardware sector, True Value is universally known as a company who features a comprehensive selection of products. With over 50,000 products in store and given that pricing is updated weekly, you can assume that managing True Value’s pricing changes has always directly correlated to an increase in labour. A shortage in the labour market coupled with the inability to keep up with pricing changes were just a few of the business constraints which directly impacted True Value’s bottom line through margin erosion. When the Digital Smart Labels™ were successfully implemented at the North Fork location in Long Island, New York, the overall beneficial results were immediate. Adopting the technology was the first step to digital transformation and is essentially a turnkey solution to increased in-store efficiencies.

For Store Manager, Jeff Wachenfeld, numerous benefits were noted, but the immediate tangible value was that with this in-store tech evolution, staff were focused on delivering an overall improved customer service experience to every person who walked into the store. The technology was incorporated into workflows, including pricing changes, promotions and product information updates, all from a central location. The task of updating pricing that once took days was done seamlessly in minutes, and with accuracy and confidence. Danavation’s system was an ideal fit for their vast product selection.

Since 1989, the Cataldi family has been part of the ever-evolving grocery business in Canada, opening their first grocery store proudly featuring their family name in 1996. The grocery business and pricing in general is not as straightforward as it once was. “We knew how important keeping updated pricing was, but the paper printed labels we had made this task labour intensive, so when Danavation approached us about a digital price tag, they had our attention,” explained Carlo Mancuso, CFO at Cataldi Fresh Market.

The implementation of the Digital Smart Labels meant that pricing changes could be done on the point-of-sale system and universally reflected immediately on the shelf. With weekly promotions, supplier price changes, and inventory control, increasing operational efficiency and labour effectiveness was top of mind. “We immediately benefited through a decrease in labour costs associated with pricing changes. In fact, pricing label changes were now decoupled from labour costs allowing the employees to focus on other tasks in the store, like assisting customers,” said Carlo.

The four-colour Digital Smart Labels™ displays were integrated into every section of the store, including produce, dry goods, deli and meat counters, freezers and fridges, and the bakery and cake sections. With a fully customized integration into the point-of-sale, the store manager controls pricing and introduces new products on the shelves with far more efficiency.

The LCBO is one of the world’s largest suppliers/distributors of alcoholic beverages, and they pride themselves on providing innovative ways to introduce and expedite new products to market while consistently striving to enhance their customer’s in-store experience. With their interest in Danavation’s proprietary software piqued, the LCBO launched a pilot project and immediately saw multi-level benefits to their in-store operations. The results were outstanding in their two-store pilot and paved the way for future store rollouts including their flagship store in Downtown Toronto.

Danavation built a custom solution for the LCBO using their Digital Smart Labels™ technology. Implementing this method helped pave the way for future innovation and expansion throughout the LCBO’s 600+ stores. Danavation designed the digital shelf labels to include all the pertinent information displayed on the traditional printed label with the added time-saving functionality of automated pricing and product updates.

The LBCO proceeded to implement the Digital Smart Labels™ throughout their stores, including the addition of their Flagship Store in Downtown Toronto. The implementation included Danavation’s latest generation of Digital Smart Labels™ across the store in a black finish to match their in-store decor. Danavation continues to work with LCBO on innovative ways to incorporate the Digital Smart Label™ into other in-store processes such as order picking, promotional displays and more.

Experience the flexibility to change prices and promos for any product, on any shelf, in seconds with Digital Smart Labels™. Retailers from all market segments are connecting with today’s tech-savvy consumers for a true omnichannel experience.

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