January 04, 2024

Hello Fresh has been making use of AI for some time already

British firm HelloFresh, a frontrunner in the meal kit delivery sector, is reaping the rewards of 12 years of data from customer orders, menu preferences, and over 10,000 recipes. This comprehensive database has proven invaluable, playing a central role in the production process of the meal kits and enabling the firm to cultivate and implement more than 1500 models weekly.

In recent years, HelloFresh has concentrated on assembling a highly-skilled team of scientists and engineers, tasked with laying the groundwork for their innovative machine learning models. Already, they have implemented numerous AI-led applications across their marketing, operations, and product departments. Current efforts rely on predictive AI, but the company also has sights set on the potential of generative AI models.

A standout use of AI within HelloFresh is the personalisation of customer experience using an intelligent machine learning algorithm. Across the pond, American customers are already reaping the benefits, with preferred meal selections influencing the ranking of preselected options within the menu. This AI solution is designed to showcase the most relevant products to each individual customer.

AI and machine learning also hold significant promise in optimising HelloFresh's marketing costs. The company already harnesses AI to predict customer value, enabling forecasts of both potential and current customers' future behaviour. This allows the firm to tailor marketing to specific customer groups and optimise discount offers. By intelligently distributing their advertising budget across different creatives, audience segments, channels, and markets, they're able to maximise return on marketing initiatives and spur on growth.

Looking to the future, HelloFresh plans to experiment with additional AI and machine learning models to boost efficiency and sustainability even further. Among these is a ground-breaking packaging optimisation algorithm, driven by machine learning, that offers dynamic packaging solutions based on weather forecasts and packaging material data. This ingenious approach has the potential to mitigate both environmental impact and costs throughout the value chain.

Moreover, HelloFresh foresees AI having the ability to elevate productivity across all sectors of the company. Within their tech teams, AI could boost coding productivity whilst generative AI models may aid video and photo production, potentially resulting in substantial cost savings.

In summary, HelloFresh's broad database and committed investment in AI and machine learning are propelling the company towards innovation and bespoke personalisation within the meal kit industry. With the capability to cut marketing costs, boost productivity, and champion sustainability, HelloFresh is leading the way in harnessing AI to enhance the customer experience.

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