Tesco is exploring artificial intelligence (AI) to enhance shopping experiences through better deals and healthier options.
- Chief Executive Ken Murphy shared the vision of using AI to analyse Clubcard data, offering personalised product suggestions.
- The strategy aims to reduce costs for customers by advising on purchases, potentially leading to substantial savings.
- A focus on health is evident, as AI may recommend products with lower sodium for improved well-being.
- Tesco is also addressing food waste with a new facility dedicated to converting surplus food into animal feed.
Tesco, a leading supermarket chain, is innovating by integrating artificial intelligence to improve customer shopping experiences. During a recent presentation at the Financial Times’ Future of Retail event, Chief Executive Ken Murphy outlined how AI might assist shoppers in making more cost-effective and health-conscious choices. By leveraging data from Tesco’s Clubcard, the AI system is designed to ‘nudge’ customers towards cheaper or healthier alternatives. For instance, it could inform a shopper if a desired product will be on sale the following week, enabling them to plan purchases strategically.
In addition to financial benefits, health considerations are a key aspect of this AI initiative. Murphy illustrated this by explaining how the system might track and analyse a customer’s basket over time, identifying areas for health improvements. He mentioned, ‘I can see it nudging you, saying: I’ve noticed your sodium salt content is 250% of your daily recommended allowance.’ The AI could then suggest substitutes to lower sodium levels, directly contributing to better heart health. This approach highlights an effort to encourage more mindful and informed shopping habits among Tesco’s clientele.
Furthermore, the supermarket chain is taking substantial steps to combat food waste, a persistent issue in the industry. As part of its broader sustainability strategy, Tesco plans to open a facility capable of transforming up to 1,000 tonnes of surplus food into animal feed each week. This initiative not only addresses environmental concerns but also ensures that excess food is repurposed efficiently, aligning with the company’s commitment to reducing waste within its operations.
Tesco’s innovative use of AI represents a significant step towards smarter, more sustainable shopping solutions, combining customer savings with health and environmental benefits.