Metro Inc. Pressed Ahead with Transformation, Even During the Pandemic
Retail stores are increasingly integrating new technologies and programs to meet the needs of modern customers and stay competitive in the digital age. One major trend is the adoption of omnichannel retail, where customers can shop and interact with a brand across various touchpoints, such as physical stores, websites, and social media.
However, integrated technologies can be applied to almost every department in the retail sector, from customer service to the supply chain. New programs, based on consumer demands, can also be implemented alongside technological changes.
Here’s how Canadian food retailer Metro Inc. stayed the course and transformed during a difficult time in the market, and why other retailers should take note of these investments.
Pressing Ahead with Upgrades During the Pandemic
During a global crisis like the COVID-19 pandemic, it may not make sense to continue with plans to invest millions of dollars into technology upgrades. Many organizations opted to focus on continuity as the economy took a downturn and millions of workers had to stay home.
Metro Inc. instead decided to lock in its technology changes.
The company has spent the past five years investing $400 million to upgrade its Toronto distribution centers, according to a report by Blue Book Services. It planned to spend another $420 million in Quebec to build a new automated distribution center for fresh and frozen products in 2021.
Before that, the company also updated its in-store technologies, adding self-checkout machines and electronic shelf labels, says a 2021 report from the Toronto Star.
According to President and CEO Eric La Fleche, they were part of a multi-year plan the company was going to implement in phases.
"It’s some heavy lifting for sure,” he said. "We’re going to manage through it.”
Creating a New Consumer Nutrition Program
Alongside the technology upgrades, Metro also developed a new customer-facing program that offered customers more transparency in their shopping experience. The "My Health, My Choices” guide was designed to meet customers’ demand for more product information, especially related to health and nutrition concerns.
The guide covers nearly 35 attributes "on 9,000 products,” according to Product Blue Book. Those attributes include health issues like "heart focus, digestion focus, and bone focus,” as well as dietary requirements like gluten- and lactose-free foods, vegetarian foods, and Keto foods. The My Health, My Choices webpage of the Metro website says the program was created in collaboration with nutritionists.
Consumers can use the guide in a variety of ways. For example, they can access information in-store via "green labels,” online through specific search filters, or by simply scanning a product’s bar code using the company’s mobile app.
The webpage even includes healthy recipe options, nutrition advice, and an FAQ section.
What Retailers Can Learn from Metro Inc.’s Example
Other retailers can learn from Metro Inc.'s transformation that investing in technology and programs, even during difficult times, can pay off in the long run. By integrating new technologies like self-checkout machines and electronic shelf labels, combined with consumer-facing programs such as the My Health, My Choices guide, Metro was able to stay competitive while continuing to serve its customers.
The company's investments allowed it to stay ahead of the curve and remain competitive in an ever-changing market. Other retailers should consider Metro Inc.'s example and make similar changes to their operations to stay competitive and meet customer demands in the digital age.
Don’t Miss the Next eTail Canada Event
Transformations can be challenging for retailers in any environment. They can be particularly challenging during an economic downturn. However, difficult periods are often the best time to make substantive changes to the business.
If you’d like to learn more about retail transformation, it’s sure to be an important topic at the next eTail Canada event. It’s happening from September 27th to 28th at the Hyatt Regency Toronto in Toronto, Ontario.
Download the agenda and register for the event today.