Retailers are becoming more skilled at making individual customers feel heard and valued. This is a necessity given the fact that 66% of respondents to a McKinsey survey stated that they expect email marketing messages to be tailored to their needs. While marketing personalization expertise is growing, it’s still difficult to manage, especially at scale.

Ocado Retail, one of the world’s largest dedicated online grocery retailers, delivering to over 645,000 customers in the U.K., has made personalization integral to its success. 

Let’s look at how Ocado retail worked with Google Cloud and partner Cognizant to develop a new data platform to power its personalization efforts from the ground up. 

Unifying data for more holistic, powerful personalization

To achieve its goals of personalization at scale, Ocado Retail needed a central data warehouse that could turn all forms of merchandising, advertising, business, and customer intelligence data into actionable insights. It wanted a means to accelerate customer segment identification, as well as the ideation and launch of relevant campaigns. 

“We standardized on Google Cloud, including BigQuery, as the foundation for our data platform because we knew it was the right solution for now and the future,” says Kieren Johnson, Head of IT at Ocado Retail. “We have an incredibly lean team and we needed a partner with exceptional expertise to help build an ambitious enterprise data warehouse to provide powerful insights. Cognizant was also the clear choice to help us get there.”

Cognizant worked closely with Ocado Retail to make sure its expertise in Google Cloud and other technologies aligned with Ocado Retail’s vision to drive more advanced personalization at higher scales using machine learning. The partner helped build the foundation on BigQuery, and then incorporated other Google Cloud tools such as Cloud Run, Vertex AI, and Vertex AI Natural Language to provide no-ops, all-code warehousing, and analytics capabilities.

Cognizant also took advantage of the Google Cloud Partner Success Services (PSS) program to ensure best practices were being followed throughout the project. PSS provided advisory services that guided Cognizant through the highly complex process of building the new data warehouse for Ocado Retail on Google Cloud.

Building the enterprise data platform in this way allows Ocado Retail to leverage the full power of cloud-based analytics while maintaining a lean team. It also allows the company to greatly scale up its personalization efforts.

Making customers feel valued at every touch

The work Ocado Retail has done with Google Cloud and Cognizant has positioned it to make its growing customer base feel valued, understood, and supported in every interaction. Before launching the project with Cognizant and Google Cloud, Ocado Retail was only able to run a couple of campaigns per week and knew it lacked optimal insight into each campaign’s efficacy. 

“We now run 10 times the number of campaigns we used to with the help of the data platform Cognizant built on Google Cloud,” says Kieren. “We run multiple campaigns every day for different customer segments, and all of that increased activity is entirely driven by data insights. The positive impacts on our marketing and customer service performance have been clear. We’re now working to expand what we do.”

Ocado Retail has enjoyed solid growth since the new data platform went live, including a 13% rise in active customers during fiscal year 2022, and has also seen a reduction in churn. It attributed these improvements to being better able to tailor products and communications to specific customer preferences.

Throughout the project, Cognizant supported data clean up while maximizing the scalable, flexible, and future-proofed data analytics infrastructure offered by Google Cloud.

Increasing data-driven actions

Ocado Retail plans to provide more data-driven insights to its commercial suppliers through a product called Beet Insights. So far, Beet Insights offers suppliers with intelligence about how their products are performing on the shelves. The result has been improving the role data plays throughout the supply chain, from production to purchase and beyond.

“By putting real-time insights about costs, marketing spend, and supply-funded activities into the hands of our commercial team and buyers, we are better positioned to improve our profits,” says Kieren. “At the same time, building data analytics into every part of our business will allow us to build on our personalization efforts.”

From the project’s inception, Ocado Retail ensured that the platform would be scalable and dynamic. Now, it is working to feed more data sources and streams into the warehouse to accelerate time to insights. Ocado Retail believes this next step in the evolution of the platform will unlock even more opportunities to initiate high-impact programs that transform personalization and every customer interaction.

Learn more about what Google Cloud and partners like Cognizant can do for your customer intelligence and personalization.

Conversational AI is opening up a new world of possibilities in areas like customer experience, user engagement, and access to content. 

In Cloud AI, we’ve taken Google’s groundbreaking machine learning models in speech and natural language processing and applied them to the contact center space, radically improving the customer experience while also driving down operational costs. It’s shifting the focus of contact centers from the backroom, out of sight (and mind) to the boardroom and the strategic heart of the business.

Our solution, called Contact Center AI (CCAI), is an accelerator of digital transformation as organizations all over the world figure out how to support their customers during these challenging times. One customer that’s redefined the possibilities of AI-powered conversation using CCAI, is Verizon.

Whether through voice calls or chat, Verizon customers will no longer need to go through menu prompts or option trees; they simply say or type their question, and CCAI’s natural-language recognition feature finds the best way to assist them. No stilted speech or robot-like commands.

“These customer service enhancements, powered by the Verizon collaboration with Google Cloud, offer a faster and more personalized digital experience for our customers while empowering our customer support agents to provide a higher level of service,” said Shankar Arumugavelu, SVP & CIO at Verizon. 

CCAI is also driving cost savings without cutting corners on customer service. In the past, to improve customer satisfaction (CSAT), you had to hire more agents, increasing operating costs. Conversely, if you reduced the number of agents, your CSAT scores went down. Contact Center AI (CCAI) lets you have both.  

CCAI does this by expediting customer requests using virtual agents, assisting live agents, and providing insights on customer interactions to drive improvements back into the system. The result is a better experience for your customers—they get answers faster—and you get lower operating costs. It allows human agents to focus on higher value tasks in their customer interactions.

New products and features add richer customer experience 

We are continuing to invest in CCAI and today we are excited to announce the following new capabilities:

Dialogflow CX is the latest version of Dialogflow, a development suite used by over a million developers for building natural, rich conversational experiences into mobile and web applications, smart devices, bots, interactive voice response systems, popular messaging platforms and more. This new version of Dialogflow is optimized for large contact centers that deal with complex (multi-turn) conversations and it is truly omnichannel – you build it once and deploy it everywhere – in your contact centers and digital channels. Dialogflow CX features a new visual builder to create, build and manage virtual agents. It’s available now, in beta.

Dialogflow CX brings conversation state management to a whole new level

Lukasz Rewerenda
Principal Solutions Architect, Randstad (Netherlands)

Agent Assist for Chat is a new module for Agent Assist that provides agents with continuous support over “chat” in addition to voice calls, by identifying intent and providing real-time, step-by-step assistance. Agent Assist enables agents to be more agile and efficient and spend more time on difficult conversations, giving both the customer and the agent a better experience. It transcribes calls in real time, identifies customer intent, provides real-time, step by step assistance (recommended articles, workflows, etc.), and automates call dispositions.

For customers in regulated industries, Agent Assist can remove the risk of agents providing inaccurate information (which can happen due to high agent turnover and limited training). Agent Assist can also surface the latest discount information, deals and special offers, which can be hard for agents to keep track of as this information changes frequently. 

Custom Voice, available in beta, is a new capability for CCAI and our Text-to-Speech API that lets you create a unique voice to represent your brand across all your customer touchpoints, instead of using a common voice shared with other organizations. By taking advantage of the custom Text-to-Speech model created with Custom Voice, you can define and choose the voice profile that suits your business and adjust to changes without scheduling studio time with voice actors to record new phrases.

At Google Cloud, we are committed to ensuring that our products and features are in alignment with our AI Principles. If you are interested in Custom Voice, there is a review process to ensure that your use case is aligned with our AI principles. Learn more about Custom Voice and how to sign up here. 

Bring Google’s groundbreaking speech models on-prem

For many customers, an all-in approach to public cloud is not an option, which is why we’re extending our AI capabilities to run on-prem. Last week we announced Speech-to-Text On-Prem, the first of our hybrid AI offerings, now generally available. Speech-to-Text On-Prem gives you full control over speech data and since it runs in your own data center, it’s easy to comply with your data residency and compliance requirements. At the same time, Speech-to-Text On-Prem uses state-of-the-art speech models from Google researchers that are more accurate, smaller, and require less computing resources to run than existing solutions.

Take a look at how businesses saved costs and improved customer experience with CCAI in the new commissioned study conducted by Forrester Consulting: “New Technology: The Projected Total Economic Impact™ Of Google Cloud Contact Center AI.” To learn more about CCAI and conversational AI, see how our customers are using the solution and check out these sessions at Next OnAir:

• CCAI State of the Union (keynote)
• Measuring and Improving Speech-to-Text Accuracy (breakout)
• Transform customer service with CCAI (demo)
• See the next generation of 3-1-1 in action (demo)

There are a number of terms and concepts in cloud computing, and not everyone is familiar with all of them. To help, we’ve put together a list of common questions, and the meanings of a few of those acronyms. You can find all these, and many more, in our learning resources.

What are containers?

Containers are packages of software that contain all of the necessary elements to run in any environment. In this way, containers virtualize the operating system and run anywhere, from a private data center to the public cloud or even on a developer’s personal laptop. Containerization allows development teams to move fast, deploy software efficiently, and operate at an unprecedented scale. Read more.

Containers vs. VMs: What’s the difference?

You might already be familiar with VMs: a guest operating system such as Linux or Windows runs on top of a host operating system with access to the underlying hardware. Containers are often compared to virtual machines (VMs). Like virtual machines, containers allow you to package your application together with libraries and other dependencies, providing isolated environments for running your software services. However, the similarities end here as containers offer a far more lightweight unit for developers and IT Ops teams to work with, carrying a myriad of benefits. Containers are much more lightweight than VMs, virtualize at the OS level while VMs virtualize at the hardware level, and share the OS kernel and use a fraction of the memory VMs require. Read more.

What is Kubernetes?

With the widespread adoption of containers among organizations, Kubernetes, the container-centric management software, has become the de facto standard to deploy and operate containerized applications. Google Cloud is the birthplace of Kubernetes—originally developed at Google and released as open source in 2014. Kubernetes builds on 15 years of running Google’s containerized workloads and the valuable contributions from the open source community. Inspired by Google’s internal cluster management system, Borg, Kubernetes makes everything associated with deploying and managing your application easier. Providing automated container orchestration, Kubernetes improves your reliability and reduces the time and resources attributed to daily operations. Read more.

What is microservices architecture?

Microservices architecture (often shortened to microservices) refers to an architectural style for developing applications. Microservices allow a large application to be separated into smaller independent parts, with each part having its own realm of responsibility. To serve a single user request, a microservices-based application can call on many internal microservices to compose its response. Containers are a well-suited microservices architecture example, since they let you focus on developing the services without worrying about the dependencies. Modern cloud-native applications are usually built as microservices using containers. Read more.

What is ETL?

ETL stands for extract, transform, and load and is a traditionally accepted way for organizations to combine data from multiple systems into a single database, data store, data warehouse, or data lake. ETL can be used to store legacy data, or—as is more typical today—aggregate data to analyze and drive business decisions. Organizations have been using ETL for decades. But what’s new is that both the sources of data, as well as the target databases, are now moving to the cloud. Additionally, we’re seeing the emergence of streaming ETL pipelines, which are now unified alongside batch pipelines—that is, pipelines handling continuous streams of data in real time versus data handled in aggregate batches. Some enterprises run continuous streaming processes with batch backfill or reprocessing pipelines woven into the mix. Read more.

What is a data lake?

A data lake is a centralized repository designed to store, process, and secure large amounts of structured, semistructured, and unstructured data. It can store data in its native format and process any variety of it, ignoring size limits. Read more.

What is a data warehouse?

Data-driven companies require robust solutions for managing and analyzing large quantities of data across their organizations. These systems must be scalable, reliable, and secure enough for regulated industries, as well as flexible enough to support a wide variety of data types and use cases. The requirements go way beyond the capabilities of any traditional database. That’s where the data warehouse comes in. A data warehouse is an enterprise system used for the analysis and reporting of structured and semi-structured data from multiple sources, such as point-of-sale transactions, marketing automation, customer relationship management, and more. A data warehouse is suited for ad hoc analysis as well custom reporting and can store both current and historical data in one place. It is designed to give a long-range view of data over time, making it a primary component of business intelligence. Read more.

What is streaming analytics?

Streaming analytics is the processing and analyzing of data records continuously rather than in batches. Generally, streaming analytics is useful for the types of data sources that send data in small sizes (often in kilobytes) in a continuous flow as the data is generated. Read more.

What is machine learning (ML)?

Today’s enterprises are bombarded with data. To drive better business decisions, they have to make sense of it. But the sheer volume coupled with complexity makes data difficult to analyze using traditional tools. Building, testing, iterating, and deploying analytical models for identifying patterns and insights in data eats up employees’ time. Then after being deployed, such models also have to be monitored and continually adjusted as the market situation or the data itself changes. Machine learning is the solution. Machine learning allows businesses to enable the data to teach the system how to solve the problem at hand with machine learning algorithms—and how to get better over time. Read more.

What is natural language processing (NLP)?

Natural language processing (NLP) uses machine learning to reveal the structure and meaning of text. With natural language processing applications, organizations can analyze text and extract information about people, places, and events to better understand social media sentiment and customer conversations. Read more.

Learn more

This is just a sampling of frequently asked questions about cloud computing. To learn more, visit our resources page at cloud.google.com/learn.