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Nestlé:
Product Recommender

Increasing sales within six months through an enhanced
point-of-sale shopper experience

Driving a 6% increase in sales in the first six months of 2022 while helping 100,000 points of sales provide an enhanced shopping experience.

The Challenge

As consumers get increasingly empowered with digital channels, the demands for retailers to be ubiquitous and understand consumers' needs and desires rise consistently.

In that complex context, the challenge for shopkeepers is to find the optimal level of products in the store to serve those who consume while not mobilizing their capital beyond what is required. Often, the salesperson assists the small retailer in finding this balance while presenting the latest news and insights about the best-performing products.

The data generated by the tool now helps sellers by providing a more scientific argument when suggesting products.

For example, it can show the shopkeeper that products not yet sold in the establishment are performing well at other retailers with a similar profile. It can also suggest adding complementary items to those already selling well, making them even more effective when sold together.

How it works

As part of its internal development by Nestlé, in partnership with CI&T, the system analyzes recurrent purchase patterns, similar acquisition profiles, complementary item purchases, as well as macro data such as sales history, demographics, and more, to make the right recommendations.

"The recommender suggests new products through cross-selling, that is, a product that is new to the customer, but that makes sense according to their buying habits."

Luis Rodrigues, Data Scientist Master at CI&T.

Building a Legacy While Achieving Results

The joint work between several teams from Nestlé and CI&T leaves the company with a legacy of skills development that's useful in other projects, too.

"Perhaps we will even accelerate other projects with some points we learned from this methodology because we had many areas involved working together."

Larissa Frias, director of Data Analytics at Nestlé.

Along with other digital transformation actions that Nestlé Brazil adopted, the artificial intelligence product recommender resulted in a

6% increase in sales in the first six months of 2022,

compared to the past year, in addition to reducing costs and increasing the number of new customers in the digital channel. With a gradual implementation that began in January of 2021,

the recommendation tool is being used at 100,000 points of sale.

This figure is expected to double by the end of 2022 and continue to grow with a team of nearly

3,000
salespeople

until it reaches

300,000 small establishments

served by Nestlé in Brazil,

which will be able to sell more while also providing satisfied and loyal customers with a great shopping experience.


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