The 3 AI Innovations Driving Growth for Consumer Packaged Goods Brands

Digital transformation is already a reality for many companies, and artificial intelligence (AI) is at the heart of this revolution. From automating tasks to personalizing interactions with customers, AI is helping companies overcome challenges and improve their efficiency. When it comes to consumer goods companies, the challenges are significant: improving coverage, optimizing the product mix, efficiently using trade incentives, and enhancing commercial execution.

In fact, according to a recent study, 65% of global tech industry leaders believe that AI will have a positive impact on their organizations, transforming the way they operate. For companies that have implemented AI, the results are already remarkable: these organizations are estimated to have experienced double-digit sales growth between 2023 and 2024, outpacing competitors who have yet to adopt these technologies.

In this article, we explore three key AI trends that are redefining how companies tackle these challenges and transform their business and sales.

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1. Automation: Boosting Operational Efficiency

Automation through AI is essential for improving the efficiency and productivity of companies. One of the biggest challenges is coverage: up to 25% of stores do not receive regular visits from sales representatives due to time constraints, leading to lost sales and high service costs

This is where AI makes a difference: virtual agents can handle tasks such as order taking and product inquiries automatically, ensuring that even stores that do not receive physical visits get the necessary support. This frees up sales representatives to focus on strategic activities, such as building relationships with customers or identifying new sales opportunities.

It is estimated that automation can reduce operational costs for companies by up to 30%, while also improving agility in responding to market demand.

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2. Interaction: Enhancing Customer Relationships

Real-time interaction with customers is crucial for optimizing relationships and the shopping experience. Through digital channels like WhatsApp, companies can offer quick and personalized support, creating new sales opportunities.

Moreover, AI-powered virtual agents can interact with customers in a natural and fluid manner, assisting from answering questions to completing a purchase. The result is an increase in conversion rates, greater engagement with consumers, and the creation of a direct communication channel with them.

This ability to be where the customer is, without the need for constant physical visits, facilitates communication and helps companies reach new audiences. According to a McKinsey study, this can boost sales by up to 25%.

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3. Personalization: Optimizing the Product Mix

The data generated from interactions with customers allows companies to adjust their strategies in real time, hyper-personalizing every touchpoint with AI. Campaigns, promotions, and discounts can be tailored for each customer, maximizing the effectiveness of trade incentives.

AI also plays a key role in another challenge faced by companies: promoting their product mix. Today, only 20% of the product portfolio is effectively showcased, meaning many sales opportunities are lost.

By identifying the needs of each store, it is possible to personalize product recommendations, promoting those that are more strategic and profitable, optimizing the selection. This ensures that customers are exposed to the most relevant part of the portfolio, maximizing sales opportunities and improving profitability per store.

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Looking to the Future of Sales with AI

These three trends not only optimize operations but also enhance customer relationships, increase efficiency, and boost sales. This clearly indicates that the future of sales is digitalization, and with the use of artificial intelligence, it will become increasingly beneficial for companies.

The future of commerce will be more dynamic, connected, and data-driven, and AI will be a central piece in this shift. At Yalo, we are at the forefront of this transformation, helping companies unlock the full potential of artificial intelligence in their business strategies.