The ROI of LabelSync - Improved Operational Efficiency
There are 4 key returns on investment (ROI) stories that we help our customers to understand before they make a decision about LabelSync. All can be found here, outlined on the LabelSync solution page. Today we’re going to dive into “Improved Operational Efficiency” to better understand how and why a CPG manufacturer would get a return on their investment in LabelSync.
Who is LabelSync for?
To start with, LabelSync is a best-in-class solution that helps CPG manufacturers and brands manage their product data for digital transparency. The LabelSync solution is for brands who want to finally solve their digital product data challenge, after years of struggling to create, verify, and manage product data that meets all needs. LabelSync is utilized for such use cases as best-in-class SmartLabel product data (there is an option to add on the pages for an all-in-one solution) but can also go beyond SmartLabel to power all digital product data initiatives.
In a world where your digital product data is a considerable asset, verifying and managing your “off-package” claims becomes increasingly critical to success. LabelSync is the leading platform and workflow for ensuring your digital product label meets the increasing transparency demands of consumers.
Improved Operational Efficiency?
One of the best returns on your investment that you can get as a consequence of investing in a product data solution like LabelSync is improved operational efficiency. As an organisation, you will get an increased ratio between the output gained and input costs to execute digital product data properly with LabelSync. To put it another way, there will be a cost to execute LabelSync, which is largely stable year to year, however the results, use cases, and benefits that you will gain as an organisation for your digital product data asset will increase over time.
LabelSync is specifically designed to meet all your product data needs, and therefore will deliver more and more value over time as the data is leveraged by your whole organization to address a myriad of different use cases.
The subtle difference here between “Increased Cost Savings” (also an ROI benefit) and “Improved Operational Efficiency” is that LabelSync doesn’t just reduce your product data costs over time, it increases the opportunities in which product data can be leveraged at no increased marginal cost.
Improved operational efficiency: Automated QA
A large part of the value proposition of Labelsync is that our technology has a lot of built in automated QA. Over the last 15 years we have worked to leverage machine learning and data science to scale quality data at low marginal cost. The result is a system that reduces a significant amount of manual task based quality assurance work that traditionally would need to be performed and repeated every time that product packaging is updated or changed.
If you sell a hundred products and and change your packaging on average once a year, and each time you change the data it takes two to three employees an hour of work each to check the basic data for a product then you would potentially be saving hundreds of hours of basic, human error prone, work that can now be done automatically by the self-learning system.
Aside from cost savings, this allows your team to trade low level task based work for more higher level solution based work therefore increasing productivity and operational efficiency.
Improved operational efficiency: off-package data
When we first launched LabelSync, the core use case at the time was to power digital product data for SmartLabel pages. One of the core challenges was that the new “off-package” information that brands were wanting to display on their limitless digital labels required a new workflow to verify and govern what was going to be claimed.
Solving for this off-pack product data was a significant challenge, but it enabled brands to go beyond the label and to house information such as bioengineering seals, household cleaner digital disclosure information, ingredients and claims descriptions, and supply chain details. Although initially a heavy lift, once mastered it became clear that this had created a new asset for the brand that could now be leveraged across the whole organization to respond to external questions about products, and to address internal questions about product nutritional values, and/or marketing claims or ingredients.
Gone are the days where only the in-house nutritionist could answer detailed questions about your own products. Now, the whole organization has a detailed data set at their fingertips. And this can be leveraged over and over again, and over time it will get increasingly leveraged which will impact the operational efficiency of the organization.
Improved operational efficiency: Harmonizing product data internally
Once brands had created this superset of digital product data that was at the same time fully verified and more current, accurate, and comprehensive than any other digital product data that they had created before, the next question became “Can we import this data?”.
Diving in deeper to truly understand the problem that brands were trying to solve, we learned that each brand had a complicated portfolio of product data platforms that used product data to power a variety of initiatives both internally and externally. It was of interest to the brand to be able to incorporate this new digital product data into their existing systems, such as their PIM and MDM systems.
And so we leveraged our open architecture approach to create an API (basically a pipe for data) that could be plugged into a variety of platforms to ensure that the new digital product data that had been curated and verified could now be incorporated systems-wide. Suddenly, maintaining accuracy of product data across the system for products with frequent reformulations could be achieved through a single solution: LabelSync. This dramatically and immediately improved operational efficiency and created much opportunity for future increased use cases.
Please reach out to talk to one of our Subject Matter Experts to learn more.
About Abbie Bys
Abbie is director of product development at Label Insight, overseeing the optimization of our SaaS platform providing CPG manufacturers and retailers the ability to unlock information and insights around food labels. She manages the planning and strategy of short- and long-term visions of the product based on market needs and user experience.