7. Sam’s Club Uses Out of Stock Detection Software

Pain Point: Pain Points: Out-of-stock indicators on the Sam’s Club website do not accurately represent inventory levels in physical stores.

The Director of Innovation mentioned how there is a disconnection between products saying they are in stock online when they are actually out of stock in the store.
Out-of-stock products decrease customer loyalty and customer satisfaction. source

Insights: How Might We decrease the time a product is out of stock on shelves?

Wakefern Food Corp. uses a computer vision system that identifies when products are out of stock. source
Walmart uses technology to track product stock and consumer behavior. source
Microsoft uses Azure Stack Edge and network cameras to detect when products are out of stock. source

Solution: Camera Sensors that Detect and Notify when Products are Out of Stock

Sam’s Club could incorporate cameras and sensors around the store to detect when products are out of stock. When detected, the sensors notify employees of the specific location of the aisle and shelf that needs to be restocked.

This sensor could also track data on the common paths customers take when shopping or how long they stay in a specific area. This data could help Sam’s Club make executive decisions like remodels or store layouts or identifying which products need more exposure.

Who, What, Wow:

If Sam’s Club reduces the time a product is left out of stock, then it could prevent about 4% of lost sales. source

This video showcases how the Out-of-Stock Detection works:

Results:

I had originally placed this idea on my list but then realized that another team had already presented it to the Director of Innovation. When they did present it to the Director, he mentioned how they had already looked down that path and recommended that they take another route.