Farmstead Launches New ‘Fresh AI’ Platform That Applies Artificial Intelligence To Help Food Companies Reduce Waste And Improve Margins
New AI platform that predicts consumer behavior, cuts food waste in half, and boosts overall profitability, now available to all food businesses
SAN FRANCISCO, March 20, 2018 /PRNewswire/ — Farmstead, the nation’s first AI-powered digital micro-grocer that sources and delivers fresh foods from farm to fridge in 60 minutes, today announced the launch of FreshAI, a new B2B platform that opens Farmstead’s successful AI predictive analytics business management model to food industry companies across the $1.4 trillion food sector. Companies that will benefit from FreshAI include supermarkets, cafeterias, food production facilities, restaurants, quick service food chains, and convenience stores seeking to quickly improve their profit margins and achieve waste reduction goals.
“The traditional food model is wildly outdated, with too many businesses still using fragmented pen and paper systems to order products and account for perishability,” said Farmstead CEO and co-founder Pradeep Elankumaran. “This is a source reduction problem that leads supermarkets to discard 35-40% of all perishable foods, which directly contributes to their low profit margins. We are adding FreshAI to our product suite to apply Farmstead’s advanced AI to all food businesses, to optimize their supply, solve for waste and increase overall profitability.”
Farmstead’s self-learning AI models use historical sales and operations data to predict exactly how much food will be sold each day, and how many perishable products to keep in stock, while maintaining high levels of availability for customers. With today’s launch, FreshAI is available to help other businesses aggressively cut down on perishable food waste – one of the primary drivers of historically low margins in the food industry – and improve profits for food businesses.
FreshAI allows food businesses to create an account and upload their operations data securely via a self-serve interface. FreshAI then provides businesses daily and weekly recommendations on exactly how much to order of each SKU based on historical sales and consumer tastes. In addition, FreshAI provides automated reports on the most wasted food products each week, and operational recommendations to improve margins based on business data. At Farmstead, FreshAI’s models reduced perishable food waste to under 10% in just over a year.
Farmstead is a Silicon Valley consumer technology company that builds smart digital products to modernize the grocery supply chain. Farmstead has reinvented the grocery experience by leveraging advancements in AI technology and the gig economy to meet consumers’ everyday grocery needs more sustainably. For more information visit www.farmsteadapp.com/about.