How Quantzig’s AI chatbot solutions enable higher transparency with a CPG major’s suppliers

Sep 29, 2022

Highlights of the Case Study: 

Particulars Description 
Client A leading CPG manufacturer in Indonesia wanted to develop an AI-enabled chatbot to address supplier issues and provide preferred information about products and services. 
Business Challenge The client approached Quantzig to help provide solutions for customer analytics. It also wanted to leverage chatbots, messaging, and digital voice assistants to automate retail transactions and payments. 
Impact Quantzig helped the client design a digital platform-based chatbot system that is highly intelligent and scalable and responds to supplier inquiries online using a database of text documents that includes FAQs and case studies. 

Game-Changing Solutions for the CPG Industry   

First, let’s understand the role of AI chatbot solutions in the CPG industry. The most challenging industry, where brands typically run on a razor-thin margin, is consumer packaged goods (CPG). Brands invest substantial money in marketing in this sector to effectively reach consumers with their messaging. Print, TV, billboards, and mobile ads are still used for marketing, although they are less effective now than they were five years ago. Consumers want to converse more and more as Internet usage increases and messaging apps gain popularity. As a result, several CPG companies are quickly embracing chatbots and incorporating them into their messaging strategies across numerous channels, including SMS, WhatsApp, Messenger, Telegram, and Instagram. 

Quantzig’s AI-enabled analytical solutions can efficiently analyze product recommendations, collect customer feedback and reviews to send personalized advice and tips, deliver product information, and push notifications and alerts about products. This will help to increase customer engagement with the brand and thus drive sales.  

The Challenges of the Client 

Our client, a leading CPG manufacturer in Indonesia, wanted Quantzig to develop an AI-enabled chatbot to address supplier issues and help find preferred information about the product and services. The client approached Quantzig for customer analytics solutions and to leverage chatbots for improved communication with its customer base. The client also wanted to implement digital voice assistants to automate retail transactions and payments. 

The client wanted to encourage active supplier participation in processes that were being continuously improved. Additionally, due to geographical variety, the client had little visibility into distribution, sales and inventory, and logistical problems. The client was thus experiencing trouble managing different stock-keeping units (SKUs) across multiple channels. Some of the major problem areas of the client were as follows: 

  • Fluctuating consumer demand 
  • Lower return on capital invested 
  • Inability to venture into new markets 
  • Shrinking margins 
  • Lack of digital transformation in its supply chain 
  • Intense price stress at the retail level 

Through Quantzig’s AI chatbot solutions, the client wanted to increase visibility into distribution, sales, and inventory management.

Quantzig’s AI Chatbot Solutions for the CPG Industry 

Quantzig offered the client a customer analytics solution and supply chain analytics solution to divide the consumer base into small, homogeneous groups, examine trends, and pinpoint the elements influencing customers’ purchasing choices. This will help the business make the best choices to boost marketing return on investment (MROI) and ensure customer happiness. 

Our team also found inconsistencies in the client’s distribution strategy, and our solutions offered a variety of distribution channels. AI-powered chatbots also offered real-time tracking, 24/7 customer assistance and operation, and end-to-end bot support. Our AI system analyzed the following characteristics of the customer and supply chain analytics solution: 

  • It determined the variety and size of trucks that offer the lowest cost per mile while still having the capacity for a full truckload (FTL). 
  • It utilized the most effective mix of market vehicles and captive fleets to lower logistical expenses. 
  • It dissected the fleet’s performance. 

Impact Analysis of Quantzig’s AI Chatbot Solutions 

The client designed a digital platform-based chatbot system that is highly intelligent and scalable and responds to supplier inquiries online using a database of text documents that includes FAQs and case studies. The client automated and self-sufficient chatbot query-answering service helps the suppliers and enhances operational effectiveness. Customers are engaged via a conversational interface with chatbots, which deliver personalization at scale. Chatbot client data is beneficial for creating better products and raising product standards. Our solutions unlocked the following benefits for the client. 

  • Increased process transparency and immediate responses 
  • Planned optimal fleets for current business requirements and anticipated future expansion 
  • Incorporated customer feedback to improve and optimize processes 
  • Used intelligent technologies to respond quickly to shifting market dynamics 

Key Outcomes 

Quantzig’s customer analytics solutions helped the client provide better visibility of its product inventory and streamline its supply chain operations. Implementing AI-enabled chatbots helped provide immediate and relevant information to its suppliers, which, in turn, helped drive business growth. The customer information captured through engagement with chatbots can be used to derive insights into customer needs which can then be used for new product development (NPD). Thus, implementing an automated response system helps create an entire ecosystem of growth and improvement, which will drive cost savings and enhanced sales


Broad Perspective on AI-based Solutions in the CPG Sector 

Retail and CPG companies enable product discovery and deliver goods that comprehend customer needs using conversational AI. Due to fierce rivalry, the CPG and FMCG industries can thus concentrate on niche client development and micro-targeting. Conversational AI will play a crucial part in developing FMCG businesses’ strategies in the coming years. Over the past five years, many customer service executives have started experimenting with chatbots internally and with customers. Because chatbots allow for quick communication with brands, 69% of consumers prefer using them. Quantzig can assist large businesses in rethinking their future sales strategies and channels in the post-pandemic world order using conversational AI and WhatsApp chatbots. 

Key Takeaways 

Our AI-powered customer analytics and chatbots enabled the following benefits:  

  • Automated processes for improved inventory turnovers 
  • Reduced costs and increased margins for the client 
  • Improved safety measures 
  • Increased the accessibility and reliability of the client’s operation 

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