Retail automation, or How to turn a business into a perfect mechanism. Interview

Some time ago, our Head of Technical Support gave an interview about automation, which was published in the Equipment for Trade, Cafés, Bars, Restaurants, and Services catalog. We are in a hurry to share it with you.

The opening of the Amazon Go supermarket has drawn global attention to the global information technology of trade automation. For us, this is a good reason to talk about how modern automation systems are integrated into Ukrainian retail, whether Ukraine is lagging behind the level of store automation in Europe and the United States, and what software solutions can be offered to Ukrainian retailers by domestic developers. For this purpose, we contacted Torgsoft, a company that specializes in the comprehensive automation of clothing and footwear stores. Artem Myalo, Head of Technical Support, answered the editorial questions.

Tasks that automation helps to solve in retail

Today, an increasing number of entrepreneurs are resorting to automation, and this is not surprising. Control of all processes in retail creates a perfect mechanism out of the business, which begins to bring more and more profit every minute. Analysis and collection of accurate information on sales, financial and commodity transactions, coordination of warehouse stocks, ranking and planning of the product range, control of the movement of goods and purchases, setting prices and discounts, and, most importantly, checking the actions of their employees - all this can be easily controlled by the business owner. But only after automation.

And, of course, one of the most important tasks of automation is to free up the entrepreneur's time to create something new, to promote their business, and, ultimately, just for personal goals and affairs. So that an entrepreneur can leave his or her business, even for a short time, and devote time to himself or herself and his or her personal affairs, while controlling the process remotely. An entrepreneur creates a business to be free, not a slave to routine tasks.

The level of automation of retailers in Ukraine

About 10–15 years ago, the market was practically untapped - most entrepreneurs managed with a pen and notebook, the most advanced ones customized MS Excel to their needs, and only a few of our countrymen automated their business. Nowadays, about 50-60% of entrepreneurs see this process as a necessity. But, unfortunately, there are still numerous businesses in Ukraine that work the old-fashioned way.

What is the difference between trade automation in Europe and Ukraine?

We work mainly with entrepreneurs from Ukraine, but we also have clients from Europe. We discussed the topic of automation. According to them, the percentage of automated stores is approximately equal to ours.

Basic solutions for automation of a large trading enterprise

Typically, large trading companies need an entire management system: some functions are needed for production, others for financial accounting, others for the sales department to interact with large customers, others for retail stores, and others for management (reporting and analytics). Accordingly, there are solutions on the market, including our product, that allow you to combine these parts of the whole into a working mechanism.

Solutions for automation of the workplace of a cashier/seller of small retail outlets

There are many programs that are suitable for automating both entire trading enterprises (store or sales department) and small shops and kiosks. Take, for example, our program Torgsoft - a great alternative to many accounting programs, suitable for a small shop, a retail chain, and even for wholesale trade and production!

Specifics of IT solutions for grocery retail/ for clothing, footwear, haberdashery stores

Grocery retail is an industry with special business processes. The solution for this area of trade should support various supply chains, the ability to distribute goods to accounting centers, have integration with warehouse management systems, forecast the state of stocks, as well as work with a large database of weight and excise goods, products with expiration dates, conduct mutual settlements with suppliers, and keep records of its own production (cooking or bakery). And all this must comply with the law. Finally, grocery retailers need tools to manage loyalty programs and marketing. It should also be noted that grocery retail requires uninterrupted operation of the system, so when choosing an accounting program, entrepreneurs should pay attention to those complexes that can work offline.

As for clothing, footwear, haberdashery, and other stores, you need to keep track of models and sizes, articles and colors, seasons and collections, brands and suppliers, gender, and other characteristics. As well as the ability to implement various loyalty systems, discount and bonus programs, and organize various marketing activities.

In what direction will information technology develop in retail?

Today, the combination of online and offline sales is not an innovation, but it does not exist in every store. In some countries, solutions have already been implemented when a customer enters a store, picks up their purchases and leaves the store, bypassing the cash register, and the money for the goods taken is debited from their account. In the future, newer forms of online shopping will replace conventional shopping. I'm sure that soon, for example, you will be able to try on a dress or sweater at home online using virtual reality glasses! More and more new payment systems will be introduced using mobile applications. However, this is not such a distant future. The question is how soon these systems will become available to Ukrainian users.

Our company, in turn, develops its products based on the Toyota principle: a customer who uses our product gets what he needs at the right time. We are receptive to daily fluctuations in consumer demand and make the product the way our customers want it to be.