Skip to content

How AI and e-commerce tools are transforming emerging market retail

Published:

Unilever’s cloud-based eB2B platform for distributive trade is live in five markets. Discover how it’s connecting distributors, salespeople and retailers via digital tools and real-time AI insights that drive sales and improve on-ground execution.

A person’s hand tapping their mobile phone screen to open an app and place a retail goods order

A bespoke, digitised distributive trade platform that’s transforming the end-to-end management of Unilever orders from micro-retailers will be live in six key emerging markets by May this year.

“Our goal was to create a future-fit platform that could scale and serve our distributive trade business globally, while adapting to local needs and nuances,” says Prashaant Huria, Unilever VP and Chief Digital and Technology Officer for Customer Development.

Digitising orders from demand to delivery

Nearly 500,000 retailers, 600 distributors and over 6,000 sales reps across Indonesia, Vietnam, Pakistan, the Philippines and Thailand now have access to the cloud-based platform and digital tools. These cover the entire value chain – from demand generation to order capture, fulfilment and customer service. Roll-out in Bangladesh is under way.

“Comprehensive training and on-ground support are also being provided to ensure the system is simple, efficient and seamless for people to use,” adds Prashaant.

The platform currently processes 75,000 orders daily, supporting annualised sales of €2.5 billion.

A similar model in India, known as Shikhar, is already delivering tangible results. The platform is also being adapted for Latin America to meet specific route-to-market needs.

Digitised distributive trade in numbers

  • 6markets in Asia
  • 500,000retailers
  • 600distributors
  • 75,000orders processed daily
  • 2.5 billionin annualised sales

Investing in tech to support our mom-and-pop retailers

Despite the rise of big supermarkets, in most emerging markets, mom-and-pop stores remain the primary sales channel for household staples – and numbers are estimated to grow by 7.6% annually to 2030.

These small retail stores typically rely on visits from sales reps to order and replenish stock. In addition, they may struggle with unreliable deliveries and limited access to the best promotions and prices.

As part of Unilever’s digitisation programme, these retailers now have access to the same eB2B app as our sales reps. This means even rural retailers with patchy internet access can use their mobile phones to browse our full product catalogue, access the best discounts and offers, and self-order the stock they need, when they need it, 24/7.

The impact on sales and service convenience has been significant. “The app creates business opportunities and boosts sales for stores in a competitive marketplace,” says one of our distributors in Thailand. Sales staff also feel the app makes their work easier.

What’s more, in Thailand, the Philippines, Indonesia and Vietnam, we’ve seen an increase in our Net Promoter Score – which measures how likely retailers are to recommend our products and services to others – with our retail eB2B app taking the No.1 spot from competitors in each of these countries.

A female retailer in the Shakti programme places an order for Unilever products using her phone app

Leveraging data and AI to drive loyalty and sales

Another significant benefit of digitisation is the insights it provides across our value chain.

At a macro level, these can be used to inform forecasting and channel strategy. At a micro level, the insights at store level can increase loyalty, order value and overall sales.

AI-enabled assortment recommendations can help sales reps make the most of a 15–20 minute retailer visit. For example, by using advanced AI modelling, we have a greater understanding of what a retailer is likely to buy.

By focusing on the most relevant and high-value products, we can evolve the role of a sales rep beyond just an order taker.

With these deeper insights, sales teams can now personalise their engagement strategies, tailor loyalty programmes, and plan more targeted promotions and campaigns to increase relevance with retailers, driving conversions and sales.

It also makes sales calls faster and more efficient, allowing reps to visit more outlets without compromising customer service.

Photos of in-store displays are another key data source. Using AI and image processing technology, sales teams can gain insights into stock levels, allowing them to better advise retailers with product placement and merchandising to promote new products and unlock growth.

Helping distributors work smarter

The platform helps our distributors drive process efficiencies too. When an order is received, our distribution management system checks their current stock levels against the quantity ordered and generates an automated resupply if there’s any shortfall. It then seamlessly manages settlements, credits and returns.

In many markets, a route optimisation tool is also built into the system to help distributors identify the most sustainable and cost-effective options for delivery.

Delivering best-in-class service

By leveraging a global technology platform to provide access to ordering, discounts and online support, Unilever has elevated its service for millions of its mom-and-pop retailers. This has enabled these stores to improve competitiveness, build resilience and drive long-term sustainable growth.

Related articles

Young man with dark short hair and wearing an apron looks at a mobile phone.

90% growth for registered SME app users in the Philippines

Efficient and easy to use, the Tindahan app is boosting growth and income and streamlining operations for SMEs in the Philippines. Dakki Alcantara, Controlled Reach Manager, explains how it is unlocking potential for small retailers and Unilever.

Back to top