Consumer goods companies spend millions – sometimes hundreds of millions – of euros into retail display cabinets for better product placement and improved quality. Cabinets are typically provided to stores free of charge with the promise that they will increase sales to cover the investment. The challenge is that after the cabinets are delivered, the owner has very little visibility and control over these assets.

Key issues

  • Owner doesn't typically know where the cabinets are at any given time due to unauthorized moves or even theft – resulting in reported 5-15% annual loss of assets
  • Cabinets are often switched off to save electricity, resulting in poor product quality e.g. warm beverage – this has a huge impact on product sales
  • Store manager uses the cabinet for competitor products, making the whole investment pointless for the owner – purity is a significant challenge especially for beverage companies
  • Even when assets are working, the ability to measure when stock needs replenishing is limited to 'after the event' reporting. This often means the assets sit idle until new stock arrives
  • The impact of the above is that the return on investment for retail cabinets is far from optimal. Luckily, there is a solution