Sainsbury’s has agreed a deal with software firm SAP to “revolutionise” its commercial systems and help drive forward its new ‘Next Level’ strategy.
By consolidating its legacy systems, the retailer said it expects to achieve increased business agility through cloud-based solutions, as well as a “simplified and cost-optimised technology estate”.
SAP has been appointed to lead the design of the new solution in partnership with Accenture and cloud provider Amazon Web Services (AWS).
Sainsbury’s stated that the transformation will enable future system flexibility and allow it to respond to evolving customer needs. By adding new capability and capacity to its commercial systems, the retailer said it will be able to manage products on promotion in increasingly flexible ways, allowing a more “tailored value experience” for its customers.
The project is expected to benefit its customers, suppliers, staff and shareholders by simplifying and integrating Sainsbury’s systems and tools into one cohesive platform and creating a single ecosystem for staff and suppliers to communicate. This is expected to reduce complexity and improve efficiency for suppliers, helping drive returns.
“We’re excited to be working with a brilliant partner network in SAP, Accenture and AWS to completely revolutionise our commercial systems, which are the heart and lungs of our business operations,” said Rhian Bartlett, Chief Food Commercial Officer at Sainsbury’s.
“This is a huge step forward in our Next Level Sainsbury’s plan, as we continue to invest in market-leading technology that allows us to keep growing at pace and maintain our momentum towards becoming first choice for food.”
Leila Romane, Managing Director SAP UK and Ireland, added: “We all appreciate the opportunity in front of us and, with our valued ecosystem partners, match Sainsbury’s ambition to set a gold standard across the food retail industry to drive growth and provide an exceptional customer experience.”
NAM Implications:
- Key is ‘allow it to respond to evolving customer needs’.
- i.e. this will improve the value of first-party data to new and potential Retail Media customers….
- …wishing to optimise aisle behaviour.
- But meanwhile provides a means of optimising existing systems for all stakeholders…