Albertsons, national grocery leader, undergoes Digital Transformation to harness power of first-party data to deliver unique, personalized experiences.
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Seamless Omnichannel Experience Drives Customer Engagement and Operational Efficiency
Albertsons Inc.
Digital Experience Strategy & Design
Personalization
Solution Design and Architecture
Custom Development
Multi-site
Backend Integrations
Data Migration
Omnichannel Strategy
Headless Implementation
Adobe Commerce
Blue Yonder
RECOGNITION
Background
Publicis Sapient’s long-standing partnership with Albertsons is driven by a shared value of innovation and a mutual belief in the possibility in digital transformations.
Albertsons is one of the largest grocery chains in the world with nearly 2500+ stores that strive to deliver quality food at affordable prices in exciting and efficient ways. With such a large customer base, it became more and more apparent that in order to move their business to the next level of success, they would have to use the trove of first-party data available to them to deliver unique and dynamic experiences.
Together, Corra &
Albertsons Inc.
achieved:
Challenge
First-Party Data is the Most Important Ingredient
With third-party cookies providing diminishing returns and privacy moving to the forefront of importance for businesses and customers alike, first-party data’s relevance and value has never been higher. Albertsons has extensive first-party data throughout multiple verticals and because of that an increase in efficiency in how that data is used would provide massive dividends. There were challenges in making developing processes and platforms to harness the power and value of their abundant first-party data including Albertsons outdated and non-scalable digital platforms with poor performing integration architecture making the seamless use of first-party data difficult if not impossible and the lack of internal design systems and standards that delivered inconsistent and inefficient UX.
The overarching goal of the initiative was to develop programs, processes, and platforms to collect and use that first-party data, discovering ways to monetize the incredible amount of data Albertsons has access to, and developing a design system and process to deliver uniform and elegant digital experiences.
Solution
Comprehensive Digital Transformation
The digital transformation Albertsons underwent was guided by five key pillars that worked together to create an ecosystem where customer data was used seamlessly to deliver efficient solutions for Albertsons and create unique experiences for the customers.
Those five pillars were:
- Martech: Optimizing marketing technology to create more effective campaigns.
- Data: Taking advantage of and capitalizing on datas capabilities to deliver insights and embolden decision-making.
- Retail Media: Developing a custom RMN (Retail Media Network) to monetize first-party data.
- Health and Online Prescriptions: Building and scaling health-related digital services.
- Merchandising: Revolutionizing the merchant and supplier experience through advanced portals.
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Solution
Custom Retail Media Network (RMN) to Monetize First-Party Data
A custom omnichannel Retail Media Network that that tracks and maps each customer's journey was designed and implemented. This RMN provides a closed-loop digital platform optimized to deliver real-time actionable insights and transparency in performance metrics of products, advertisements, and other brand initiatives.
With the seamless integration of first-party customer data and the rich ecosystem of relationships Albertsons has with various suppliers and brands, customers are now delivered completely custom and personalized advertisements based on their habits and purchase history. The RMN is integrated with over 15 tools and platforms and delivers a direct path to sales reports which offers transparency into performance so that Albertsons can turn the the information they receive into actions.
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Solution
Business Impacts of Digital Transformation
The implementation of the custom RMN and the broader digital transformation has had a profound impact on the grocer's operations and revenue. Positive changes include: a 15x increase in revenue since launching the RMN, 360 customer insights being seamlessly integrated into various platforms and processes has enabled personalized marketing strategies, a 75% increase in marketing email reusabliity drastically decreasing campaign lead times, 15% increase in open rates of marketing communications, and 30% revenue increase in mobile revenue.
When all was said and done, nearly 190 communication channels were migrated, 2.9 billion marketing communications were delivered in 2023, and internal design systems were implemented that helped launched the RMN CRM, the Albertsons Health Platform, the RMN hub, and various marketing platforms.
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Solution
Enabling Automation, Increasing Efficiency
Publicis Sapient modernized or replaced outdated platforms with best-of-breed third-party packages and custom solutions. Automation and orchestration layers with open APIs were introduced across frontend and backend systems to reduce manual processes. These API layers give Albertsons digital portfolio an agility and scalability, allowing them to adopt new technologies efficiently and respond to industry trends.
With their new technologies ability to automate processes, their go-to-market for new digital services and experiences is exponentially increased.
Crucial in the increase of increasing go-to-market time, was building a high caliber talent pool. Publicis Sapient always adopts a "One Team" mentality, which fosters a collaborative co-creation model involving all stakeholders reach alignment and accomplish shared goals.
Solution
Business Impacts of Digital Transformation
The implementation of the custom RMN and the broader digital transformation has had a profound impact on the grocer's operations and revenue. Positive changes include: a 15x increase in revenue since launching the RMN, 360 customer insights being seamlessly integrated into various platforms and processes has enabled personalized marketing strategies, a 75% increase in marketing email reusabliity drastically decreasing campaign lead times, 15% increase in open rates of marketing communications, and 30% revenue increase in mobile revenue.
When all was said and done, nearly 190 communication channels were migrated, 2.9 billion marketing communications were delivered in 2023, and internal design systems were implemented that helped launched the RMN CRM, the Albertsons Health Platform, the RMN hub, and various marketing platforms.
Results
Through a strategic blend of technology modernization, platform development, and talent enhancement, Publicis Sapient has successfully enabled their client to deliver future-proof digital experiences to their customers. The custom Retail Media Network has provided a new revenue stream and positioned the grocer at the forefront of digital innovation. The transformation has driven significant improvements in operational efficiency, customer engagement, and revenue growth, setting a strong foundation for continued success in the evolving retail environment.
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