Innovation and Technology in the Business DNA

To maintain its market prominence amid the accelerated evolution of Mexico’s retail and e-commerce industries, Grupo Coppel is strategically incorporating emerging technologies at the core of its business DNA to continue driving innovation, explains Ricardo Álvarez, National Manager, Grupo Coppel. This proactive approach has resulted in substantial investments in artificial intelligence and data analytics, with the purpose of gaining a deeper understanding of its vast customer base and informing business decisions.

Grupo Coppel maintains an extensive network of over 1,700 stores and more than 180 distribution centers, catering to approximately 27 million active customers across various segments, including commerce, retirement savings, and banking. In their pursuit of operational optimization, efficiency, and market exploration, the company has embarked on a data-driven journey, expanding beyond traditional transaction and portfolio data to unearth new opportunities. Their strategic initiatives include the implementation of machine learning models and chatbots at various customer touchpoints, aimed at enhancing customer interactions.

"From our fleet of delivery units to our distribution centers and strategic partnerships, we traverse a multifaceted landscape of operations, each of these transactions leaves behind a trail of data, which we are currently harnessing and exploring with the intricate web of our operations," says Álvarez.
 

Grupo Coppel is committed to maintaining competitiveness in a rapidly changing market, where adapting to evolving customer demands and preferences is paramount. What has significantly contributed to the company’s success in its evolving approach, is its transition from a primarily application-centric model to one that prioritizes data science at the forefront, explained Álvarez. This strategic shift entails a dedicated focus on democratizing data tools and fostering a culture of creativity among its workforce. Data science teams have been established, featuring a range of expertise, from editorial to technically specialized roles.

“Coppel actively advises the construction of organizational support structures, including research centers and centers of excellence, to facilitate technological innovation,” says Álvarez. These initiatives enable the company to effectively monitor retail trends and explore various technological domains. Notably, their pursuits extend beyond data science as they venture into the realm of robotics.

Furthermore, the company maintains a dedicated research center, focused on exploring advanced research agendas, which often involve atypical questions, such as inventory balancing and dynamic pricing analysis. Coppel's commitment extends to aligning data exploitation and automated structures with a resolute focus on a customer-centric company strategy. However, interoperability issues, privacy concerns, high implementation costs, and compliance challenges continue to impede a seamless adoption of these technologies.

Despite these challenges, as Grupo Coppel envisions the future, it anticipates the implementation of automated inventory management and personalized product creation through customer terminals. Their ultimate objective is to systematically disseminate knowledge and cultivate creativity, firmly positioning data science and AI as long-term strategies, rather than fleeting trends. 
 

https://mexicobusiness.news/ecommerce/news/how-will-consumers-shape-future-retail 

https://mexicobusiness.news/tech/news/strategic-approach-data-analytics-opens-retail-opportunities