Cognizant Launches AI-Powered Retail Solution In Collaboration With ServiceNow, Lists Big Benefits

The retail industry has undergone significant evolution in recent years due to the digital onslaught. For consumers, the change has been dramatic as online shopping has become much more convenient with faster deliveries, easy returns, data-driven personalised recommendations and tailored experiences. This rapid shift to digital channels, customer experience fuelled by data and generative artificial intelligence, and increasing supply chain costs are dictating a huge change in retail operating models. In fact, a pivot to technology, specifically AI, has become essential for retail to stay relevant.

If done properly, there are many benefits of this new approach, according to research by McKinsey and Co. Retailers investing in advanced technology and mature operating models can provide approximately 2.2x greater returns to shareholders and drive 40-45% higher customer engagement and brand awareness compared to those who do not.

To address the technology needs of the retail sector, Cognizant has announced the launch of Stores 360, a solution designed to streamline store operations and improve employee productivity and customer experiences.

Developed in collaboration with ServiceNow, the solution leverages the Cognizant Neuro AI platform and generative AI-powered Now Assist solution to support different retail touchpoints.

According to Cognizant, Stores 360 can be scaled up in around four weeks and help reduce the time required to open new stores by 10-20%, cut store operating expenses by 30-40%, and enable up to 98% uptime for store systems and assets.

“Our partnership with ServiceNow underscores our commitment to delivering innovative solutions that drive meaningful results, enhance employee productivity and reduce store operating costs, ultimately supporting retailers in navigating the experience economy and reimagining their business capabilities,” said Sushant Warikoo, head of Cognizant’s retail business unit.

The solution creates a store-centric associate experience, automation and workflows to realise cost efficiencies and top-line revenue growth. The solution comprises three sub-offerings designed to enable retailers to adopt and prioritise based on business needs: new store opening, store management, and store asset management.

Stores 360 integrates retailers’ ecosystems for consistency, bringing together store associates, managers, customers, HQ employees, and field technicians on the platform. Additionally, it facilitates new store openings and enhances daily tasks for store associates.

Cognizant Neuro AI plays a role in this process by recommending new store locations based on deep data analysis, including demographics, competition, complementary businesses, operational considerations and buying behaviours. The solution also leverages Cognizant IoT and retail service offering solutions for additional insights, capabilities, and field services management.