Case Study: Morrisons achieves labor cost savings and higher markdown revenue with Blue Yonder Luminate Pricing Real Time

Morrisons Simplifies Fresh Food Clearance with Blue Yonder

Morrisons, one of the UK’s largest grocers with nearly 500 stores and a strong fresh-food focus via its Market Street counters, faced high labor and waste costs from manually running three daily markdown events on perishable items. Manual pricing often eroded margins or left products unsold, so Morrisons turned to Blue Yonder’s Luminate Pricing Real Time to bring a scientific, automated approach to fresh food clearance.

Blue Yonder deployed an AI/ML-driven, cloud-delivered solution that uses store- and item-specific demand forecasting, price elasticity, inventory and external factors (like weather) to recommend optimal intraday prices in milliseconds via associates’ handhelds. The result: elimination of two markdown cycles per day (reducing labor costs and improving associate productivity), store-optimized markdowns, improved responsiveness and markdown revenue, and faster value realization through a capital-light cloud model.

Morrisons