BREWING DIGITAL SUCCESS
Why digital transformation should be high on the agenda for the Tea and Coffee Industry
Words: John Walsh
THE NATURAL BEVERAGES INDUSTRY IS OFTEN SEEN AS SOMEWHAT TRADITIONAL, BUT DOES IT HAVE TO BE?
With a growing market, dynamic product innovation and consumers increasingly demanding high-quality, sustainable products, our industry is ripe for digital transformation that delights consumers and brand owners alike.
So what might this look like not just today, but tomorrow as well? Taking a long-term view, there is a host of ways that we could be using digital innovation to drive our industry forward, increasing value across the supply chain, expanding reach, and enhancing operational efficiency.
Digital solutions open new avenues for B2B businesses to engage brand owners and their consumers in novel ways. For example, a business can use online chat and social media to interact with customers in real time. Mobile applications which can securely connect back to enterprise grade systems (such as ERP or CRM) allow for personalised customer experiences showing for example new product offerings which may be of interest or latest status on a pending delivery. Virtual reality and augmented reality technologies could also be leveraged to allow customers to virtually explore tea and coffee farms, immersing themselves in the production process. Such engagement fosters brand loyalty and generates a sense of connection and trust between passionate growers and conscientious customers.
Digital technology can help beverage businesses to optimise supply chains, ensuring smooth operations from field to cup. From a growing perspective, the integration of Internet of Things devices can allow for real-time monitoring of crop conditions, inventory levels, and quality control. Smart sensors can detect factors such as temperature, humidity, and light, ensuring optimal storage conditions throughout the supply chain. Modern data science approaches coupled with rigorous and auditable governance practices enhance transparency and traceability, assuring customers of the origin, quality, and sustainability of their tea and coffee.
Digital technology bridges geographical barriers, expanding the reach of B2B businesses in the tea and coffee industry by providing access to new customers and partners. They can use e-commerce platforms to sell their products into new global markets. By integrating those e-commerce solutions with relevant internal systems and data, businesses can ensure only those products with the necessary regulatory approvals are offered for sale in each jurisdiction. Online B2B marketplaces provide convenient platforms for buyers and suppliers to connect, streamlining the procurement process and allowing suppliers to personalise content offering to different potential buyers.
As sustainability becomes a greater priority, digital technology empowers B2B businesses to showcase environmentally responsible practices. Across the supply chain, relatively affordable Internet of Things-enabled devices can be used to monitor resource consumption, reducing waste while helping relevant functional leaders to optimise energy usage. Machine learning algorithms can analyse huge volumes of data to identify areas of improvement in cultivation, processing, and packaging, minimising environmental impact. By leveraging digital platforms, businesses can better communicate their commitment to sustainability, educating customers and encouraging responsible consumption. This not only appeals to eco-conscious consumers but strengthens reputation.
Digital transformation can supercharge innovation in the tea and coffee industry, leading to the development of new products and experiences. AI-powered chatbots and virtual assistants provide instant customer support, addressing queries and resolving issues promptly. By leveraging consumer data (for example by better understanding buying patterns of consumers for a given product category), businesses can provide more tailored product recommendations and exclusive offers to their customers. Leveraging the same data set infused with generative AI, highly targeted and personalised marketing campaigns can be developed. By embracing digital innovation, B2B businesses can stay at the forefront of the industry, continuously delighting customers with innovative offerings.
Most of the technology I have mentioned above is already here – the question is how quickly can our industry move to take advantage? In my view, the answer is “as quickly as possible”.
For example, within Finlays we are busy deploying Optical Character Recognition (OCR) technology to automatically scan handwriting on documents, digitise that information and then automatically load the result into relevant internal systems. We have developed a mobile ready application to allow easy reporting and rapid escalation of Health & Safety concerns especially for those employees who are not always office-based.
Leveraging cutting-edge dataware capabilities, we are building out a global data collaboration platform which will ultimately allow our customers to access the data which is most relevant for them, irrespective of where that data is sourced from. Employees across the globe can use the same platform to pull together disparate data sources and so generate new insights which drive increased operational efficiency and ever greater customer value.
The tea and coffee industry might be steeped in heritage, but there are huge benefits for digital transformation. By blending traditional expertise with modern digital solutions, we can create a compelling proposition, enabling the industry to not only survive but to exponentially thrive moving forward. Here is to brewing digital success for the future of beverages.
John Walsh is Finlays’ Global Head of IT
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