OUT-OF-STOCK DETECTION

Image recognition AI can help CPG brands in out-of-stock detection and cut on losses by providing real-time visibility into store shelf conditions, enabling brands to quickly identify out-of-stock products and take corrective action.

Real-timemonitoring:

Image recognition AI can analyze images of store shelves in real-time to identify out-of-stock products. This enables brands to quickly take action to restock products and avoid lost sales.

Automated alerts:

Image recognition AI can be configured to send automated alerts to brand managers when out-of-stock products are detected. This ensures that brands can quickly take corrective action before lost sales impact their bottom line.

Historical data analysis:

Image recognition AI can be used to analyze historical data on outof-stock occurrences, enabling brands to identify trends and patterns and take proactive steps to prevent future out-ofstock situations.

Improved demand forecasting:

By analyzing historical data and identifying trends, image recognition AI can help brands improve their demand forecasting accuracy, ensuring that they are better prepared for future demand fluctuations

Trivia:

In 2018, Procter & Gamble’s CFO Jon Moeller stated that the company had lost approximately $1 billion in sales due to out-ofstock situations. The company’s stock price also fell by more than 6% in one day due to the announcement.

Another example is Coca-Cola, which lost an estimated $25 million in sales due to out-of-stock situations in 2020. The company’s sales were impacted by disruptions to its supply chain caused by the COVID-19 pandemic.