DIGITAL TRANSFORMATION PROJECT – ALBERT HEIJN
TEAM 31
Albert Heijn is the largest supermarket chain in the Netherlands, possessing a market share of 34.1% throughout the entire Dutch retail industry. The AH supermarkets feature 951 stores all around the Netherlands. Also, Albert Heijn operates convenience stores located in various nodes of public transport, like train stations. Albert Heijn supermarkets are operated by the Albert Heijn Holding, shortened into Ahold. The focus of the firm is to offer supermarkets offering high quality service and high quality products.
However, despite the successful operations of Albert Heijn, the supermarket chain has the potential to further enhance its market share and additionally improve customer experience and satisfaction. This can be achieved through a company-wide digital transformation strategy by further investments in information systems and digital apps ultimately improving the overall in-store customer service of Albert Heijn.
This Digital Transformation Project will address the limitations of the current systems and give opportunities to enhance the level of customer service in different ways. The DTP will be an instore device for customer service in the form of a touch screen with various features. It will contain features for the customers as well as for Albert Heijn itself.
Starting with the customer part, one of the potential features will be a search function for products. The customer has the opportunity to enter the name or the category of a product and the device will provide various characteristics and information about the product. The device shall indicate the location of the searched product in the store, the device shall also indicate the fastest route to get there. Another indication the customer shall see is about out of stock products. The device will show three categories: out of stock, almost out of stock and stuffed. The category almost out of stock is added to avoid disappointments. In case of an almost out of stock or an out of stock the device shall indicate some alternative products which may replace the requested product.
Another feature is the integration of the recipe service of Albert Heijn. Many customers use the recipes of Albert Heijn which are provided through the website, application or Allerhande, the magazine of Albert Heijn. The customers get the opportunity to search for recipes on the device and get all up to date information about all ingredients, from location till any out of stock cases. In case of an out of stock product the device shall give some alternative products or additions to the recipe.
For Albert Heijn the devices can provide many useful insights. The search terms employed by users can offer insights the customers’ point of view. When many customers enter the same products and they get the reaction (almost) out of stock, this is an indication for Albert Heijn to change the way they manage their supplies and products offered on the shelves.. When many customers use the search function for the recipes and the in-store search for all required ingredients is difficult, Albert Heijn can think about changing the locations of the products. All these insights will lead to a better understanding of the customer demand and will give Albert Heijn the opportunity to adjust the store layout to demand and preferences of their customers.
