Case Study
Loblaws Companies, the largest Canadian food retailer with multiple banners, faced challenges in enhancing store execution, measuring adoption, and utilizing big data to increase revenue and reduce waste. Their Fortinos banner, in particular, relied on basic intuition for daily production, resulting in inconsistent merchandising and out-of-stock items. Previous attempts at production planning technology failed due to inaccurate forecasting and the inability to support complex in-store procedures, product cannibalization, various promotion types, and intricate merchandising layouts.
Loblaws tested Invafresh’s Production Planning solution at Fortinos, implementing it by department. The results were impressive, with a 3-5% increase in sales, a 3-4% decrease in shrink, and over 95% store execution. Encouraged by these outcomes, Loblaws expanded the use of Invafresh’s Production Planning module to all their fresh departments and tested it in three additional discount market stores with different layouts.
Invafresh exceeded expectations, leading Loblaws to commit to roll-out of Production Planning across all their banners nationwide. The adoption of Invafresh’s solution enabled experienced and new employees to quickly adopt the software, resulting in immediate returns in both sales and shrink reduction. With the software in place, Loblaws ensures consistent production across all their stores, capturing sales opportunities and maintaining an in-stock position of 95% or higher. Sales across departments continue to increase incrementally year after year, while shrink numbers decline by 1-2% annually.
98% Forecasting
Accuracy
3-4% Decrease in
Shrink
3-5% Increase in
Sales
Be the Best in Fresh with Invafresh
Shrink
reduction
Fresh revenue
transacted daily
Days
shelf life
Reduction in
backroom inventory
Fresh sales
growth
Realized annual
benefits
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