e-Pack Study: How Automated Systems Make or Break Online Grocery Success
Automating Grocery Logistics for Greater Efficiency
eGrocery is the online buying and delivery of groceries to the customer’s doorstep. The trend is booming. Total revenue is expected to surpass $422 billion by 2028 in the US alone. This is a perfect growth opportunity for grocery companies, but without automation and efficient material handling, profitability often falls by the wayside.
Companies offering eGrocery must provide fast delivery to fulfill customer expectations and stay competitive. A seamless handling process with automated order picking robots increases order assembly speed while minimizing errors.
Empirical tests from the study showed that TGW Logistics’ picking robots, equipped with modern grippers and machine learning algorithms, are highly reliable in handling various products.
Automated grocery logistics in the eGrocery process offers several benefits:
- Speed: Automated systems can significantly reduce delivery time by quickly packing and preparing groceries for shipping.
- Error reduction: Automation decreases the chance of human error, which improves customer satisfaction and leads to fewer returns.
- Cost efficiency: Automated systems can work around the clock without breaks, reducing long-term labor costs.
Grocery companies offering online shopping for individual consumers or retailers should harness the benefits of automation to reinforce their supply chains. Meeting consumer demand now and future-proofing grocery logistics systems helps companies align their services with the growing eGrocery industry.
A Focus on Sustainability
Eco-friendly operations are a significant concern for grocery distributors. Customers expect sustainable practices, including the use of environmentally friendly packaging that’s reusable, recyclable, or biodegradable.
The eGrocery industry presents several challenges for companies looking to establish and maintain sustainable practices. These include:
Automation helps grocery companies solve many of these issues. For example, efficient picking and packaging processes reduce material waste by increasing speed and accuracy. AI-driven supply chain management technology provides data insights and pinpoints areas where a company can achieve a more sustainable grocery logistics system.
Our e-Pack study advocates for environmentally friendly packaging and demonstrates how companies can find innovative solutions to meet the demands of the eGrocery industry.
Smart Packaging, Smarter Logistics: How Automation Shapes Grocery Success
Packaging requirements in the grocery industry have evolved. While the focus on supermarket shelves is appearance, packaging for eGrocery must meet the following standards and demands:
- Robustness: Packaging must withstand transport and storage without damaging the products. Shock resistance and stability are crucial.
- Informative design: Since customers cannot physically inspect the products, packaging should clearly display essential information such as contents, ingredients, expiration dates, and storage instructions.
- Space optimization: Packaging should be space-efficient to maximize available storage capacity and reduce shipping costs.
TGW Logistics helps grocery retailers meet the evolving demands of online grocery packaging by integrating advanced automation solutions that ensure efficiency, precision, and flexibility.
Automation in Action: TGW Logistics Case Studies
We provide automated solutions for companies looking to improve their supply chain, provide a better customer experience, and reduce operational costs.
Coop’s Cold Chain Automation
Coop is one of the largest retail and wholesale grocery companies in Switzerland. They partnered with TGW Logistics to consolidate three freezer distribution centers into a new highly automated hub.
We implemented automated palletizing robots to streamline the order preparation and delivery process. The new palletizing system reduces transportation costs and eases the manual effort needed for deliveries.
Automated picking and storage systems inside Coop’s distribution center help maintain product freshness and reduce errors, contributing to an energy-efficient, cost-effective operation.
Heinrichsthaler Improves Product Handling
Heinrichsthaler Milchwerke GmbH provides hard and semi-hard cheeses to wholesale customers and grocery retailers. They partnered with TGW Logistics to speed their delivery time and increase output while preserving their product during the material handling process.
We optimized Heinrichsthaler’s goods-to-person process by implementing automated palletizing, gantry robots, and warehouse management software. Our innovative solutions also reduce the need for manual handling and keep their products safe during shipping.
Heinrichsthaler doubled their palletizing output and enhanced the preservation and quality of their cheeses with the help of automation.
Wiesenhof Improves Material Flow in Two Temperature Zones
When a fire destroyed their warehouse, Wiesenhof looked to TGW Logistics to automate their new poultry distribution facility. Our innovative palletizing stations, gantry robots, and dynamic shuttle warehouse bring flexibility to their material flow.
Streamlining Wiesenhof’s logistics system for refrigerated and frozen goods helps them increase output and ensure their products conform to European standards. Automated technology creates a smooth end-to-end process, from goods receipt to shipping.
Download Our e-Pack Study
Learn more about the future of eGrocery packaging in our white paper. It provides detailed insights and solutions for companies aiming to succeed in this dynamic market. The State of Upper Austria co-financed the study as part of the Excellence Network logistikum.RETAIL.
Automated Systems from TGW Logistics
Automated systems, including picking and packaging processes, are key to
success in the eGrocery industry. Investing in technology and adapting packaging to meet consumer demand is crucial for thriving in this highly competitive market.
Overall, research shows that sustainability and automation will shape the future of eGrocery packaging. Companies that prioritize these elements in their strategy will not only succeed but also contribute positively to sustainable resource management.
TGW Logistics provides state-of-the-art automation for retail grocers and eGrocery operations. Our experts have the knowledge and experience to provide tailored logistics solutions geared toward efficiency, growth, and sustainability.
Contact us to learn more.