Establishing a mature MLOps practice to build and operationalize ML systems can take years to get right.  We recently published our MLOps framework to help organizations come up to speed faster in this important domain.  

As you start your MLOps journey, you might not need to implement all of these processes and capabilities. Some will have a higher priority than others, depending on the type of workload and business value that they create for you, balanced against the cost of building or buying processes or capabilities. 

To help ML practitioners translate the framework into actionable steps, this blog post highlights some of the factors that influence where to begin, based on our experience in working with customers. 

The following table shows the recommended capabilities (indicated by check marks) based on the characteristics of your use case, but remember that each use case is unique and might have exceptions. (For definitions of the capabilities, see the MLOps framework.)

Your use case might have multiple characteristics. For example, consider a recommender system that’s retrained frequently and that serves batch predictions. In that case, you need the data processing, model training, model evaluation, ML pipelines, model registry, and metadata and artifact tracking capabilities for frequent retraining. You also need a model serving capability for batch serving.

In the following sections, we provide details about each of the characteristics and the capabilities that we recommend for them.

Pilot

Example: A research project for experimenting with a new natural language model for sentiment analysis.

For testing a proof of concept, your focus is typically on data preparation, feature engineering, model prototyping, and validation. You perform these tasks using the experimentation and data processing capabilities. Data scientists want to set up experiments quickly and easily and track and compare them. Therefore, you need the ML metadata and artifact tracking capability in order to debug, to provide traceability and lineage, to share and track experimentation configurations, and to manage ML artifacts. For large-scale pilots, you might also require dedicated model training and evaluation capabilities.

Mission-critical

Example: An equities trading model where model performance degradation in production can put millions of dollars at stake.

In a mission-critical use case, failure with the training process or production model has a significant negative impact on the business (a legal, ethical, reputational, or financial risk). The model evaluation capability is important to identify bias and fairness, as well as to provide explainability of the model. Additionally, monitoring is essential to assess the quality of the model during training and to assess how it performs in production. Online experimentation lets you test newly trained models against the one in production using a controlled environment before you replace the deployed model. Such use cases also need a robust model governance process to store, evaluate, check, release, and report on models and to protect against risks. You can enable model governance by using the model registry and metadata and artifact tracking capabilities. Additionally, datasets and feature repositories provide you with high-quality data assets that are consistent and versioned.

Reusable and collaborative

Example: Customer Analytic Record (CAR) features that are used across various propensity modeling use cases.

Reusable and collaborative assets allow your organization to share, discover, and reuse AI data, source code, and artifacts. A feature store helps you standardize the processes of registering, storing, and accessing features for training and serving ML models. Once features are curated and stored, they can be discovered and reused by multiple data science teams. Having a feature store helps you avoid reengineering features that already exist, and saves time on experimentation. You can also use tools to unify data annotation and categorization. Finally, by using ML metadata and artifacts tracking, you help provide consistency, testability, security and repeatability of the ML workflows. 

Ad hoc retraining

Example: An object detection model to detect various car parts, which needs to be retrained only when new parts are introduced. 

In ad hoc retraining, models are fairly static and you do not retrain them except when the model performance degrades. In these cases, you need data processing, model training, and model evaluation capabilities to train the models. Additionally, because your models are not updated for long periods, you need model monitoring. Model monitoring detects data skews, including schema anomalies, as well as data and concept drifts and shifts. Monitoring also lets you continuously evaluate your model performance, and it alerts you when performance decreases or when data issues are detected. 

Frequent retraining

Example: A fraud detection model that’s trained daily in order to capture recent fraud patterns.

Use cases for frequent retraining are ones where model performance relies on changes in the training data. The retraining might be based on time intervals (for example, daily or weekly), or it could be triggered based on events like when new training data becomes available. For this scenario, you need ML pipelines to connect multiple steps like data extraction, preprocessing, and model training. You also need the model evaluation capability to ensure that the accuracy of the newly trained model meets your business requirements. As the number of models you train grows, both a model registry and metadata and artifact tracking help you keep track of the training jobs and model versions.

Frequent implementation updates

Example: A promotion model with frequent changes to the architecture to maximize conversion rate.

Frequent implementation updates involve changes to the training process itself. That might mean switching to a different ML framework, such as changing the model architecture (for example, LSTM to Attention) or adding a data transformation step in your training pipeline. Such changes in the foundation of your ML workflow require controls to ensure that the new code is functional and that the new model matches or outperforms the previous one. Additionally, the CI/CD process accelerates the time from ML experimentation to production, as well as reducing the possibility for human error. Because the changes are significant, online experimentation is necessary to ensure that the new release is performing as expected. You also need other capabilities such as experimentation, model evaluation, model registry, and metadata and artifact tracking to help you operationalize and track your implementation updates. 

Batch serving

Example: A model that serves weekly recommendations to a user who has just signed up for a video-streaming service.

For batch predictions, there is no need to score in real time. You precompute the scores and you store them for later consumption, so latency is less of a concern than in online serving. However, because you process a large amount of data at a time, throughput is important. Often batch serving is a step in a larger ETL workflow that extracts, pre-processes, scores, and stores data. Therefore, you need the data processing capability and ML pipelines for orchestration. In addition, a model registry can provide your batch serving process with the latest validated model to use for scoring.

Online serving

Example: A RESTful microservice that uses a model to translate text between multiple languages. 

Online inference requires tooling and systems in order to meet latency requirements. The system often needs to retrieve features, to perform inference, and then to return the results according to your serving configurations. A feature repository lets you retrieve features in near real time, and model serving allows you to easily deploy models as an endpoint. Additionally, online experiments help you test new models with a small sample of the serving traffic before you roll the model out to production (for example, by performing A/B testing).

Get started with MLOps using Vertex AI

We recently announced Vertex AI, our unified machine learning platform that helps you implement MLOps to efficiently build and manage ML projects throughout the development lifecycle. You can get started using the following resources: 

• MLOps: Continuous delivery and automation pipelines in machine learning
• Getting started with Vertex AI
• Best practices for implementing machine learning on Google Cloud

^{Acknowledgements: I’d like to thank all the subject matter experts who contributed,  including Alessio Bagnaresi, Alexander Del Toro, Alexander Shires, Erin Kiernan, Erwin Huizenga, Hamsa Buvaraghan, Jo Maitland, Ivan Nardini, Michael Menzel, Nate Keating, Nathan Faggian, Nitin Aggarwal, Olivia Burgess, Satish Iyer, Tuba Islam, and Turan Bulmus. A special thanks to the team that helped create this, Donna Schut, Khalid Salama, and Lara Suzuki, and Mike Pope for his ongoing support.}

In the United Kingdom, the popularity of online grocery shopping is expected to surge from about 6% of the market today to 9% by 2021, according to market research firm Mintel. One of the pioneers of online-only grocery retailing is Ocado, based in Hatfield, Hertfordshire in the U.K. Since starting commercial deliveries in 2002, the company has grown to 600,000 active customers, 260,000 weekly orders, and £1.39 billion in annual revenue.

Ocado takes supermarket trips out of the equation by enabling shoppers to purchase items online through its convenient web and mobile applications. Items are then picked and packed in automated warehouses and shipped directly to customers in a one-hour time slot of their choosing. Ocado’s delivery punctuality is 95%, order accuracy is 99%, and its service footprint now reaches more than 70% of the U.K. population.

“Google Cloud Platform gives us the flexibility and performance to tackle the large and complex data challenges unique to our business.”

—Paul Clarke, Chief Technology Officer, Ocado

The company achieved its success by building in-house almost all the technology and automation that powers its end-to-end e-commerce, fulfillment, and logistics platform. Ocado also developed a new platform, the Ocado Smart Platform (OSP), which offers large brick-and-mortar grocery retailers around the world access to a best-in-class solution for online grocery.

Democratizing machine learning

The shopping journey for online grocery retailing differs significantly from other e-businesses. Customers often buy dozens of products at once, a single household may have multiple buyers using multiple devices, and product shelf life may only be a couple of days.

“We often say that having built an end-to-end platform that can do online grocery scalably and profitably, we can do other forms of online retail; but the reverse does not necessarily follow,” says Paul Clarke, Chief Technology Officer at Ocado. “Google Cloud Platform gives us the flexibility and performance to tackle the large and complex data challenges unique to our business.”

The Ocado business model takes advantage of consumers’ shifting preferences and the links between digital technology and shopping experiences.

“Google Cloud Machine Learning Engine gives us the agility we need. Our developers were able to try out TensorFlow and see firsthand the benefits of machine learning in the cloud.”

—Paul Clarke, Chief Technology Officer, Ocado

The company has been building machine learning into its systems for over five years. Until recently, Ocado machine learning applications required specialist data scientists, typically with PhDs in machine learning, who would build these solutions from the ground up. It also required the specialist who set up the system and costly on-premises infrastructure to train and run these systems.

However, working with Google as a private alpha testing site for Google Cloud Machine Learning Engine accelerated its adoption of artificial intelligence (AI).

“We’ve been talking about how the cloud could democratize AI for some time,” says Paul. “Google Cloud Machine Learning Engine gives us the agility we need. Our developers were able to try out TensorFlow and see firsthand the benefits of machine learning in the cloud.”

TensorFlow is an open source software library for machine learning developed by the Google Brain team. Ocado developers, engineers, and data scientists now use TensorFlow for many of their machine learning projects. They deploy the models they build on Google Cloud Machine Learning Engine, which lets them train models faster across servers, desktop computers, and mobile devices through a single application program interface (API). Additionally, Google Cloud Machine Learning Engine integrates easily with the other Google Cloud Platform products used widely at Ocado.

What do customers really want?

One of the first TensorFlow models Ocado created was a machine learning algorithm that tags and categorizes customer emails and then prioritizes them for response.

The contact center receives thousands of emails each day and Ocado wanted to automate determining which ones needed to be answered immediately and which ones could wait.

For example, a first-time customer expressing their delight in using Ocado doesn’t need to be responded to with the same urgency as a customer who is missing an item from their order or who won’t be home to receive the delivery.

“Enabling agents to respond without having to sort through less-urgent emails improves Ocado’s responsiveness and customer service.”

—James Donkin, General Manager, Ocado

“We get a lot of emails from customers saying, ‘Our service was great,’ or ‘The driver was very courteous,'” says James Donkin, General Manager, Ocado. “But when issues like weather or road conditions potentially affect delivery, we often get surges of urgent questions. Enabling agents to respond without having to sort through less-urgent emails improves Ocado’s responsiveness and customer service.”

Using Google Cloud Machine Learning Engine, TensorFlow, and a large data set culled from several years’ worth of manually categorized customer emails, Ocado experimented on which kind of neural network architecture would best prioritize emails. After testing its models, Ocado implemented the highest-performing one and has been able to respond to urgent messages four times faster. The company also discovered that 7% of its emails don’t require a response at all, which means call center representatives now have more time to devote to higher priority messages.

“Without Google Cloud Machine Learning Engine, it would have been a lot harder to succeed on a project like email classification,” says Roland Plaszowski, who has recently managed several big data projects and initiatives at Ocado.

“Even if we invested significantly in infrastructure, it would be difficult to manage because of the computational intensity. It’s challenging and expensive to run machine learning projects at the same time without infrastructure that you can scale easily.”

Ocado also uses machine learning to predict customer behavior and improve experiences. By analyzing order data, Ocado makes shopping as frictionless as possible. For example, the ordering system can pre-populate customers’ shopping carts with items they are most likely to purchase, remind customers about items they may have forgotten, and notify them of multi-buy offers they haven’t completed, for example, only buying one of a buy one, get one free offer. Based on machine learning from previous purchase data, the Ocado system can also offer new products that are likely to delight customers.

“You will regularly see items that are more personally relevant to you instead of items that are being promoted more generally,” says James. “I’m a vegetarian, so I’m offered specials for vegetarian products that I normally buy and new ones that I’ve never bought. I’m also less likely to see things that I’m not interested in.”

Machines and machine learning

Within the Internet of Things (IoT), Ocado is looking to enhance its warehouse robots with machine learning. An integral part of the OSP, thousands of robots continually stream data into Google Cloud Storage and Google BigQuery.

Ocado data scientists apply machine learning to create a type of swarm intelligence that enables warehouse robots to work cooperatively to achieve a common goal. Projects include modules to search robot telemetry data, such as whether a battery pack is operating within standard tolerances or whether firmware has been successfully loaded, and use it to optimize maintenance schedules or detect patterns in wear and tear.

“Another challenge we’re looking at is how to embed machine learning directly into robots so they become smarter in terms of self-testing, exception handling, and error recovery,” says Paul. “This is a challenging combination of IoT, data analytics, and machine learning that we believe Google BigQuery and Google Cloud Machine Learning are particularly well suited to helping Ocado achieve.”

Scaling for new business

Scalability is also a major reason behind some of Ocado’s cloud initiatives, including the migration of all its on-premises data to the cloud. Ocado wanted to improve customer experiences, empower business teams with greater insight, and reduce IT overhead, so it consolidated onto Google Cloud Platform.

“The old databases just weren’t fast enough,” says Paul. “We needed a solution that could scale with the amount of data we generate and how we use it. Google Cloud Storage and Google BigQuery now provide the backbone, from a data point of view, for the Ocado Smart Platform.”

Ocado estimates its business, product, and transaction data is approaching two petabytes. Combining customer and supply chain data helps both internal Ocado operations and the company’s ambitions to commercialize OSP.

“When compared with other options for expansion internationally, selling OSP as a managed service lets us turn companies that could have been competitors into customers,” says Paul. “We want to build OSP once and then turn it on for multiple business-to-business customers.”

Each time Ocado adds a new hosting customer to OSP, it will launch a customized instance to fit that customer’s requirements. The capacity and performance of each new OSP instance must be able to scale quickly as the backend platform for established retailers with large numbers of products, customers, and transactions.

Ocado’s first OSP customer, Morrisons, is already benefiting from this first-of-a kind solution. Morrisons is one of the UK’s four largest supermarkets and uses OSP to power its online retail business. Using Google Cloud Platform, Ocado has stored, processed, and analyzed terabytes of Morrisons’ data using a dedicated data lake and Google BigQuery.

In addition to using Google Cloud Platform for OSP, Ocado also adopted it for its own online grocery retail business operation. Ocado originally used the Apache Spark and Apache Hadoop open-source frameworks on Google Compute Engine for its data platform. Moving to Google BigQuery frees Ocado business analysts from the complex query setup and workflows associated with Spark and Hadoop. Plus, it lets Ocado share data analytics with suppliers and partners.

Google BigQuery is well integrated with TensorFlow on Google Cloud Machine Learning Engine and Google Cloud Dataproc, the Apache Spark and Apache Hadoop service that lets Ocado use open source data tools for batch processing, querying, streaming, and machine learning. Google Cloud Dataflow and Google Cloud Dataproc handle cluster management, and provide an easy-to-use framework so developers can spend less time and money on administration and more time on delivering valuable business features.

Switching from Hadoop to Google BigQuery revealed a series of cost and performance improvements. For example, Ocado no longer needed to decide how many instances to bring up in a cluster or wait for the instances to spin up. Google handled everything.

“We simply ran our queries and paid for the resources that we use,” adds Roland. “One big win with Google BigQuery is we don’t have to do maintenance. Best of all, we saw Google BigQuery outperform our Hadoop cluster by over 80 times on our largest dataset, and for only two-thirds the cost.”

Healthcare breakthroughs change the world and bring hope to humanity through scientific rigor, human insight, and compassion. We believe AI can contribute to this, with thoughtful collaboration between researchers, healthcare organizations and the broader ecosystem. 

Today, we’re sharing exciting progress on these initiatives, with the announcement of limited access to Google’s medical large language model, or LLM, called Med-PaLM 2. It will be available in coming weeks to a select group of Google Cloud customers for limited testing, to explore use cases and share feedback as we investigate safe, responsible, and meaningful ways to use this technology. 

Med-PaLM 2 harnesses the power of Google’s LLMs, aligned to the medical domain to more accurately and safely answer medical questions. As a result, Med-PaLM 2 was the first LLM to perform at an “expert” test-taker level performance on the MedQA dataset of US Medical Licensing Examination (USMLE)-style questions, reaching 85%+ accuracy, and it was the first AI system to reach a passing score on the MedMCQA dataset comprising Indian AIIMS and NEET medical examination questions, scoring 72.3%.

Industry-tailored LLMs like Med-PaLM 2 are part of a burgeoning family of generative AI technologies that have the potential to significantly enhance healthcare experiences. We’re looking forward to working with our customers to understand how Med-PaLM 2 might be used to facilitate rich, informative discussions, answer complex medical questions, and find insights in complicated and unstructured medical texts. They might also explore its utility to help draft short- and long-form responses and summarize documentation and insights from internal data sets and bodies of scientific knowledge.

Innovating responsibly with AI

Since last year, we’ve been researching and evaluating Med-PaLM and Med-PaLM 2, assessing it against multiple criteria — including scientific consensus, medical reasoning, knowledge recall, bias, and likelihood of possible harm — which were evaluated by clinicians and non-clinicians from a range of backgrounds and countries. 

Med-PaLM 2’s impressive performance on medical exam-style questions is a promising development, but we need to learn how this can be harnessed to benefit healthcare workers, researchers, administrators, and patients. In building Med-PaLM 2, we’ve been focused on safety, equity, and evaluations of unfair bias. Our limited access for select Google Cloud customers will be an important step in furthering these efforts, bringing in additional expertise across the healthcare and life sciences ecosystem. 

What’s more, when Google Cloud brings new AI advances to our products, our commitment is two-fold: to not only deliver transformative capabilities, but also ensure our technologies include proper protections for our organizations, their users, and society. To this end, our AI Principles, established in 2017, form a living constitution that guides our approach to building advanced technologies, conducting research, and drafting our product development policies. 

From AI to generative AI 

Google’s deep history in AI informs our work in generative AI technologies, which can find complex relationships in large sets of training data, then generalize from what they learn to create new data. Breakthroughs such as the Transformer have enabled LLMs and other large models to scale to billions of parameters, letting generative AI move beyond the limited pattern-spotting of earlier AIs and into the creation of novel expressions of content, from speech to scientific modeling. 

Google Cloud is committed to bringing to market products that are informed by our research efforts across Alphabet. In 2022, we introduced a deep integration between Google Cloud and Alphabet’s AI research organizations, which allows Vertex AI to run DeepMind’s groundbreaking protein structure prediction system, AlphaFold.

Much more is on the way. In one sense, generative AI is revolutionary. In another, it’s the familiar technology story of more and better computing creating new industries, from desktop publishing to the internet, social networks, mobile apps, and now, generative AI.

Building on AI leadership

Additionally, today we’re announcing a new AI-enabled Claims Acceleration Suite, designed to streamline processes for health insurance prior authorization and claims processing. The Claims Acceleration Suite helps both providers of insurance plans and healthcare to create operational efficiencies and reduce administrative burdens and costs by converting unstructured data into structured data that help experts make faster decisions and improve access to timely patient care. 

On the clinical side, last year we announced Medical Imaging Suite, an AI-assisted diagnosis technology being used by Hologic to improve cervical cancer diagnoses and Hackensack Meridian Health to predict metastasis in patients with prostate cancer. Elsewhere, Mayo Clinic and Google have collaborated on an AI algorithm to improve the care of head and neck cancers, and Google Health recently partnered with iCAD to improve breast cancer screening with AI.

From these examples and more, it’s clear that the healthcare industry has moved from testing AI to deploying it to improve workflows, solve business problems, and speed healing. With this in mind, we expect rapid interest in and uptake of generative AI technologies. Healthcare organizations are eager to learn about generative AI and how they can use it to make a real difference.

Looking ahead

The power of AI has reinforced Google Cloud’s commitment to privacy, security, and transparency. Our platforms are designed to be flexible, including data and model lineage capabilities, integrated security and identity management services, support for third-party models, choice and transparency on models and costs, integrated billing and entitlement support, and support across many languages. 

While we’ll have some innovations like Med-PaLM 2 that are tuned for healthcare, we also have products that are relevant across industries. Last month, we announced several generative AI capabilities coming to Google Cloud, including Generative AI support in Vertex AI and Generative AI App Builder, which are already being tested by a number of customers. Developers and businesses already use Vertex AI to build and deploy machine learning models and AI applications at scale, and we recently added Generative AI support in Vertex AI. This gives customers foundation models they can fine-tune with their own data, and the ability to deploy applications with this powerful new technology. We also launched Generative AI App Builder to help organizations build their own AI-powered chat interfaces and digital assistants in minutes or hours by connecting conversational AI flows with out-of-the-box search experiences and foundation models.

As AI proves its value, it’s likely there will be increased focus on high-quality data collection and curation in healthcare and life sciences. Improving the flow and unification of data across health care systems, referred to as data interoperability, is one of the most important building blocks to leveraging AI, and it helps organizations run more effectively, improve patient care, and helps people live healthier lives. We expect to continue our investments in technology, infrastructure, and data governance.

We’re committed to realizing the potential of this technology in healthcare. By working with a handful of trusted healthcare organizations early on, we’ll learn more about what can be achieved, and how this technology can safely advance. For all of us, the prospects are inspiring, humbling, and exciting. 

If you’re interested in exploring generative AI on Cloud, you can sign-up for our Trusted Tester program or reach out to your Google Cloud sales representative.

Whether they meet customers online, offline, or in some combination, retailers share a big problem: How can they offer the right choices, when and how the customer wants, without overwhelming (and often losing) the buyer?

More than anything, this is an information problem. As such, it’s a good candidate for using artificial intelligence (AI) for greater success. Here’s how Richemont tackled the problem.

Richemont owns a portfolio of leading luxury goods brands, recognized for their distinctive heritage, craftsmanship and creativity. It has strengths and specialties in jewelry (Cartier, Van Cleef & Arpels), luxury watches (IWC, Jaeger-LeCoultre, Panerai, Vacheron Constantin), and fashion & accessories (Chloé, Montblanc, dunhill).

People shop for such goods in a number of ways, from online searching to individual meetings in boutiques, and Richemont must be prepared for every context. Understanding which shoppers are likely to buy or repurchase, when to engage directly, and what creation to suggest enables sales associates to spend quality time with clients, engaging at the right time with meaningful advice. Richemont solves these retail challenges with an integrated Client Platform leveraging Google Cloud and its AI/ML capabilities.

Enticing peoples’ desires with Machine Learning

Richemont began by posing two questions:

1. Which prospects or clients need extra attention? Specifically, who is likely to convert or to repurchase?
2. What would be meaningful items to suggest to each client and prospect?

Both questions were addressed with machine learning algorithms. Their challenges included deploying and monitoring algorithms at scale for several brands across the globe, while addressing the specific business needs for each brand. For instance, it may be more relevant to recommend in-season items for fashion brands, while for watchmakers it is more about cross-fertilization across each brand’s iconic creations.

This graph summarizes the prediction process implemented by Richemont:

Engagement data (email opened, clicked, SMS/MMS, website visits…) was found crucial to predict conversion of prospects for whom per definition no transaction history is available. For website interactions Richemont leverages the Google x Salesforce Connector.

To deploy the Machine Learning algorithms and to monitor them, Richemont leveraged Vertex AI, along with BigQuery, Cloud Functions and Google Storage, all orchestrated with Google Cloud Composer.

The role of product recommendation algorithms

Richemont used the deep learning library TensorFlow Recommenders to perform the product recommendation tasks. This library enables companies to build state of the art deep learning algorithms to achieve relevant and robust predictions.

Unlocking client value with integrated technology

Richemont’s innovations show how technology that considers many parts of the customer experience creates more value. In this case, the company used in store applications to invite people with a strong propensity to buy for boutique visits, while others at a different point in the purchasing journey were offered different options more suited to their tastes and inclinations.This solution, now deployed across 11 brands in over 25 countries, shows just one way that AI can improve customer experience, for better customer loyalty.

Key to the process, here and elsewhere, is the way a retailer and its partners put customer understanding at the center of the process. As AI becomes more important not only in retail, but in every industry, this human understanding will become even more important as a fundamental organizing principle. Much is changing, but once again, the winners will be the companies that focus best on their customers.

The increasing adoption of technologies like connected devices, augmented reality, and machine learning has changed the way we shop, and retailers are evolving how they do business to meet the needs of their customers.

Retailers say it’s no longer enough to keep pace with shoppers’ growing expectations—they must get ahead of them. That’s why more and more are turning to the cloud. They’re using it to eliminate data silos and take advantage of cloud-based analytics. They’re tapping into machine learning to improve all aspects of the value chain. And they’re making use of reliable and secure cloud infrastructure to scale their businesses.

Although every retail customer is different, many of them share similar objectives. Here are three major ways retailers take advantage of the cloud.

Storing and Analyzing Data in the Cloud

Data presents both a challenge and an opportunity for retailers. Which is why Ulta Beauty, the largest beauty retailer in the US, is moving to Google Cloud Platform (GCP). Now, with the help of BigQuery, Ulta Beauty will be able to more efficiently predict and analyze outcomes and develop more meaningful data insights that can be leveraged to deliver a more personalized, relevant guest journey.

They are not alone. DSW has also chosen to use GCP to help relaunch their DSW VIP loyalty program for the first time in over 10 years. With more than 90% of transactions running through their loyalty program, DSW needed a flexible and scalable solution to deliver a real-time loyalty program for 26 million active members. They’ve already seen a 9% uptick in new customers and have improved their already strong retention rate.

Improving Customer Experiences with AI and Machine Learning

Once retailers are able to access these insights, they are turning to AI to help personalize the overall shopping experience. At first, retail companies leveraged AI tools such as machine learning for product recommendations.

Now, more retailers use AI to forecast trends, predict inventory needs and prevent stock outs, and provide personalized recommendations to customers to intelligently and efficiently serve them.

Just look at METRO AG, one of the largest B2B wholesalers globally. They’re using AI and machine learning to better serve their customers. For example, many of their customers are restaurant owners. With Google Cloud AI capabilities, they can create tools that identify when a restaurant is out of a particular ingredient and automatically order more.

Ocado is another great example. The world’s largest online-only grocery retailer drove a 3.5% increase in contact center efficiency by using Google Cloud machine learning technology to respond to customer emails four times faster.

To help businesses further accelerate their AI solutions, Google has developed the Advanced Solutions Lab (ASL), which gives businesses the opportunity to work side-by-side with Google’s AI and ML experts to solve high impact challenges.

Fast Retailing, the Japanese retailer behind Uniqlo, is working with Google Cloud and ASL to help them better analyze customer data to forecast demand and deeply understand what their customers want.

Carrefour, one of the world’s leading retailers, also announced last year that its engineers will be working side-by-side with our AI experts to co-create new consumer experiences. This is in addition to deploying G Suite to their employees to support the company’s digital transformation.

Scaling Infrastructure to Meet Demand

Of course, none of this innovation is possible without a reliable infrastructure that can scale instantly to meet surges in traffic.

And many have found the reliability and security they need with the cloud. That’s why global cosmetics brand Lush chose Google Cloud. They migrated their e-commerce platform to GCP to handle increased traffic without compromising stability.

This move that ultimately reduced infrastructure hosting costs by 40 percent.

L.L.Bean also modernized its IT infrastructure by moving capabilities from its on-premises systems to GCP, improving customer satisfaction and IT efficiency across multiple sales channels.