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How ITC Harnesses AI to Revolutionize Retail Channels and Drive Product Innovation
ITC leverages AI to accelerate product innovation across retail channels, using consumer insights to launch 100+ products yearly. Their digital supply chain adapts to diverse market needs.
ITC Uses AI to Drive Product Innovation Across Retail Channels
ITC, a major FMCG player based in Kolkata, is integrating artificial intelligence with its digital infrastructure to speed up product development and meet consumer demands across various retail formats. This includes traditional general trade, e-commerce platforms, and quick commerce outlets.
Starting with the Sixth Sense Centre, ITC initially monitored social media to track consumer conversations and trends. Today, their AI tools dig deeper by identifying dietary shifts—such as the rise in millet consumption—and suggesting product ideas based on trending ingredients and recipes.
AI-Driven Insights Fuel Product Development
Sumant Bhargavan, ITC’s executive director, explains that the company’s digital transformation began around six years ago. The AI systems now generate actionable insights that guide new product launches, helping ITC stay ahead of emerging consumer preferences.
These insights enable the launch of over 100 products annually, reflecting how AI supports rapid and relevant innovation in food, personal care, and hygiene categories.
Customized Supply Chain for Diverse Retail Needs
ITC has built a fully integrated digital supply chain that caters to the distinct demands of each retail channel. Differences in inventory management and delivery speed require specific supply chain models supported by demand-sensing tools. This flexibility ensures efficient product availability across all formats.
Physical Retail Remains Key Despite Digital Growth
Damodar Mall, CEO of Reliance Grocery Retail, notes that 72-75% of retail still happens through physical stores, even as digital channels gain traction. This highlights the importance of balancing innovation between online and offline retail strategies.
For product development professionals interested in AI applications for consumer insights and supply chain optimization, exploring specialized AI courses can be valuable. Resources like Complete AI Training’s product development courses offer practical skills to integrate AI into your workflows.