PepsiCo Slashes Purchase Validation Timeline With AI- and ML-Powered Receipt Capture, Strengthens Loyalty Strategy
PepsiCo is increasing visibility into cross-basket analytics and cutting down on the time it takes to validate purchases by leveraging artificial intelligence and machine learning.
Multiple regional loyalty marketing teams at the company are tapping into technology that is allowing PepsiCo to implement receipt capture and data extraction on its JOY customer loyalty app.
The validation process, essential to the company’s loyalty efforts, used to take 7 to 11 days, said Edgar Reyes, director, PepsiCo, in a statement, and now requires just a few seconds, “while unlocking unprecedented cross-basket customer data.”
The company is leaning on the tech power of provider Veryfi to power these capabilities, reducing manual efforts from an outside clearing house and instead automating processes with AI and ML and optical character recognition.
How it Works
- Real-time computer vision captures receipt images, incorporating capabilities such as automatic edge and document detection to stitch long receipts into a single image.
- The tech automatically detects blurred images, optimizes compression, and turns on the camera light, when necessary, to obtain the best picture.
- These images can then be translated to data that informs PepsiCo of several details, including when and where customers are purchasing, price and special promotion sensitivity, share of wallet and repeat purchases, and the competitive landscape.
- Extracted data can be delivered in different formats, including 85 currencies, 39 languages, and 110 defined fields like SKU, product description, purchase order and invoice number, etc.
PepsiCo attributes lowered costs and increased fraud prevention since implementing the technology. “PepsiCo is leading the CPG industry with innovations in customer loyalty programs and analytics,” said Reyes.
The loyalty space continues to be an area that is ripe for innovation, especially as consumer goods companies look to capture valuable zero- and first-party data that gets them closer to providing true personalization. According to Forrester’s Marketing Survey, 53% of B2C decision-makers plan to increase their spending on loyalty in 2023.
This is not the only consumer analytics area in which PepsiCo is investing, however. Just last month, the company’s subsidiaries, which include Marias Gamesa and Chokis snack brands, stated they are leveraging tech that elevates consumer marketing targeting and performance to reach audiences across devices without relying on third-party data.
Additionally, earlier this year, the company invested in a solution to wean off its reliance on retailer partnerships and bridge the data gap by accessing brand- and product-level sales results for shopper marketing campaigns.
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