Presentation of Business case of RotoShelf for dairy products and resulting conclusion
Based on an extensive trial of RotoShelf in two stores the Company has compiled the results in a business case to be found attached.
The case is built on the data collected by the store chain and shared with EasyFill. The results are astonishing and proves that the results the company have been mentioning now can be supported by actual field data. EasyFill has agreed with the store chain to not disclose the country and name of the store chain.
The trial was conducted in two stores in multideck display cases and RotoShelf 1250/2 was the tested product. On the rotating shelves were dairy products places; such as milk and yoghurts in various sizes.
The following results were achieved:
- Refill times cut by 50%
- Waste caused by expired products decreased by more than 40%
- In the region, the waste caused by expired products increased by 18% in the same period of time
- Sales increased more than 7%
- Return on investment is significantly lower than one year
Thanks to the good result of the trial of RotoShelf for dairy the store chain has decided to make a wide spread roll out of RotoShelf in their around 400 stores. Installations will initially be in steps of four stores. When the first four stores are done, another four will follow and so on.
The number of installations per store will vary as the stores are different in size but as a reference, in the first store 62 RotoShelf sections (six are for dairy) for all types of cold products will be installed. If this installation is successful, as the company feels certain about, RotoShelf will be installed for all kinds of cold products, not only for dairy products, in all the stores that follow. Also SwingOut Ambient will be installed in the first store and evaluated. All installations will be paid for in full.
Estimated order value for RotoShelf only for dairy is around 50 MSEK annually for the five years the roll out is expected to take. Not considered in the value above are the EasyFill products for all other cold products and any potential SwingOut sales.
Sollentuna 28 April 2016
Sales and Marketing Director
EasyFill AB (publ)