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About

One of the largest food and beverage companies in the world, PepsiCo, generated more than $92 billion in net revenue in 2024. Its iconic brands, such as Pepsi, Lay's, and Gatorade, are enjoyed by consumers a billion times a day.

Region

Global

Categories

Challenge

PepsiCo, a global leader in food and beverages, faced growing challenges in managing its in-store merchandising operations across diverse and often complex markets such as Latin America. Key issues included:
  • Inconsistent product placement and poor adherence to planograms.
  • High operational costs tied to outdated and manual merchandising processes.
  • Limited visibility into shelf conditions, product availability, and pricing in real time.
  • Ineffective tools for managing merchandising across thousands of stores, often without internet connectivity.
  • Lack of a convenient, automatic solution for planogram compliance across multiple stores.

Solution

Shelf Intelligence – powered by SmartLook's On-Device Image Recognition
With Smartlook and Grid Dynamics, PepsiCo introduced a system that not only addresses the challenges of managing shelf inventory but goes beyond, seamlessly integrating cutting-edge computer vision and artificial intelligence technologies with PepsiCo’s in-house AI Platforms and solutions to leverage synergies across the supply chain.

Key Capabilities of the system:
  • On-Device Image Recognition: AI models run directly on mobile devices, enabling offline audits even in remote areas.
  • High-Speed Performance: Shelf recognition is completed up to 100x faster than cloud-based alternatives, with no need to send photos to a server.
  • Realogram vs. Planogram Matching: Real-time comparison of shelf state with planograms to detect gaps or misplacements.
  • Price Tag Recognition: Pricing identification and mapping of prices to products with high accuracy.
  • Actionable Shelf Analytics:
    • share-of-shelf measurement;
    • competitor price tracking;
    • SKU-level availability audits;
    • POSM (point-of-sales material) checks;
    • trend analysis by SKU, location, and time;

What sets this solution apart is its unique ability to execute the entire recognition process directly on a mobile device. By eliminating the need to send photos to servers, this comprehensive solution captures the shelf s state down to the SKU level, compares it with the planogram, and offers real-time instructions to align the layout with current standards.

Results

Cost savings and operational efficiency
  • Eliminating cloud computing and server infrastructure costs, through on-device processing.
  • Reduced network traffic and disk space usage via direct data trasfer.
  • Accelerated results and lowered costs by avoiding extensive processing.
  • Immediate access to audit data and KPIs at point of sale by field team.
  • Increased store visits per day due to efficient image recognition cycle, even on older mobile devices.

Recognition accuracy and performance
  • High recognition accuracy, instilling confidence in obtained data.
  • Swift performance on mobile devices with recognition completed in seconds.

Measurable success and expansiony
  • Substantial financial benefits and sales growth.
  • Successful Latin America pilot led to adoption as a mainstay for retail operations.
  • Ongoing projects in multiple countries.

Integration and security
  • Seamless integration into PepsiCo’s ecosystem.
  • Enhanced security with data and modules residing within Pepsico's ecosystem.
  • Decentralized processing and real-time capabilities, such as daily statistical reports and implementation of business scenarios at point of sale.


Conclusion:

PepsiCo’s collaboration with SmartLook and Grid Dynamics represents a breakthrough in AI-powered retail execution. Shelf Intelligence not only automates and optimizes shelf audits but also enables smarter, faster decisions at scale - helping PepsiCo maintain its competitive edge in global retail markets.

You can learn more reading the full case-study https://smartlook-ai.com/wp-content/uploads/2025/11/SmartLook-PepsiCo-Case-study-1.pdf

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