Amplify Your ROI by Crafting an Electronic Shelf Label Strategy
There is a lot of talk about the Store of the Future. Electronic Shelf Labels are one tool grocery retailers can use to begin building their Store of the Future today. Progressive Grocer asked Mike Flynn, Vice President and General Manager of Aperion, to explain the benefits grocers can realize by implementing ESLs.
Progressive Grocer: What are the most important features and immediate benefits ESLs can deliver for grocery retailers?
Mike Flynn: How much time do you have? (laughs) The truth is that by simply executing pricing and promotion updates, ESLs deliver enhanced operational margin opportunities. But they can be so much more. We like to work with our retail customers on building crawl, walk, run models in how they roll out the more advanced features ESLs can open for them.
ESLs can drive greater engagement with your loyalty apps and promotional programs, compare and saves (to drive Own Brand sales) and share product information to offer details customers want at the shelf edge. Our open platform can integrate with other tools and solutions you are using which allows you to drive greater ROI across your stores.
PG: ESLs have operational savings built in, but their full potential lies in crafting a cohesive strategy to align with other systems and tech. How can stores craft that strategy?
MF: The answer isn’t the same for every retailer. Our first step with
any potential customer is to understand their specific go-to-market strategy. We need to understand their goals and objectives to provide an effective prescription for how ESLs can tie into that. I tell retailers all the time that they should start by thinking of how this replaces the inefficient (and sometimes inaccurate) issues with paper tags because that alone is reason enough to consider ESLs. But they can be a complete transformation of your shelf edge. Our customers utilize a variety of strategies like integrating with e-com providers for ‘Pick-to-light’ functionality, displaying supply chain information, and showing on-hand inventory and other stocking details right on the shelf edge.
Our customers often tell us these products have become the backbone of their digital efforts and have become a natural extension of their Retail Media Networks. Creating and executing on these strategies is how retailers are able to drive ROI faster with ESL technology.
At the end of the day that is what Aperion does. Our service and ongoing support model are foundational to what we provide. We aren’t just going to take an order and ship hardware to your store. Our business is built on working hand-in-hand with retailers to maximize your return and speed to implement.
PG: What should operators look for and what questions should they ask when ready to invest in ESLs?
MF: The truth is ESL adoption has been exploding across many channels recently. This rapid conversion has led to retailers telling us that it’s becoming a requirement to stay competitive in the market. For retailers investigating ESL options, most of my advice would be around focusing on expertise and support. It might come down to asking yourself, ‘Does this provider understand the retail environment? And my individual goals? And does the provider offer ongoing support?’
Working with a vendor that understands how to drive ROI and implement effectively is critical. It’s something we are constantly focused on as a team at Aperion: What else can we provide to help increase the return on investment our customers are making with us? How can we continue to evolve and help meet their needs? We aren’t in the business of just shipping hardware to retailers and wishing them luck.
‘We work with our retail clients’ whether they are single mom-and-pop shops or large retailers with a national footprint. And what we’ve found is that no matter the size of the retailer, when it comes to getting the most out of this technology it is critical to work with a partner who understands how to use the technology to power your business forward.
GROCER WEIGHS IN ON ESLS’ BENEFITS