The Walmart store of the future has been unveiled at its Neighbourhood Market format in Levittown, New York.
The unit, called IRL (Intelligent Retail Lab), is a circa 5,000 sq m store and uses AI to ensure in-stock position and freshness of perishable items like produce and meat.
Mike Hanrahan, CEO of IRL, said that, “customers can be confident about products being there, about freshness of produce and meat” and claimed it will be a more efficient experience for customers who now can be assured that their shopping trip will be successful.
In some ways, it is reminiscent of the Amazon Go store which allows for customers to pick-up and go home with their purchase. However, the technology in use by Walmart resolves issues with product availability, and customers still have to go to a check-out counter to purchase their selection.
IRL is set up to gather information about what is happening inside the store and Hanrahan said that he is excited that he has “50,000 square feet of real retail space to understand so much more in real time”.
The new Lab tests the use of artificial intelligence (AI) and how it can be applied eventually to all stores. The store uses cameras throughout the store. They generate analytics to trigger the need to respond when customers pick up the last item and then track the store’s ability to quickly restock the item.
The move reflects a growing decision by Walmart to concentrate its investment on digital technology rather than expanding its stores base. The company has made a series of purchases of digital businesses over recent years as it looks to partner with specialists in their fields.
RPA Perspective Initially at the Neighbourhood Market, the equipment will help focus on product inventory and availability. The team will then use real time information to explore efficiencies that will tell associates when to restock products. The focus is to test many options and develop practical solutions.
To capture the data, there are cameras and sensors installed throughout the store that transmit information on to a data centre located in the store with 100 servers behind a glass wall that customers can see. There is also an educational screen and displays for customers to interact with.
The development is part of Walmart’s philosophy of servicing customers faster and quicker with the use of new technology. With all of this going on in a real store, it is also an indication that some technological developments are now ready to come out of the incubator at this leading retailer.
According to an INC report, Amazon has 10 Go stores in Seattle, Chicago, and San Francisco. 7-Eleven is experimenting with a cashier-less store in Dallas, and Walmart has opened in its Sam’s Club a cashier-less store.
