Independents lead the way on synchronisation of data

Britain's independent retail and foodservice groups are storming ahead with global data synchronisation (GDS), threatening to leave the major supermarkets standing, according to data pool provider GXS.

GDS is an automated global IT system that allows users to share consistent data at the same time.

The UK's biggest independent buying consortium, Nisa Today's, had 14,000 active product lines listed, said GXS. Foodservice specialists 3663 and Brakes, pub chain Mitchells & Butlers and pharmacy group Boots were all active in GDS, it added.

In the past two months GXS had signed up convenience retailer Spar, which is consolidating some of its purchasing operations. "We are building a pilot for the frozen category," said Sean Wilkins, director of product data quality solutions at GXS. "That will be rolling into other categories next year." Other wins for GXS included electrical retailer Comet.

One obstacle to the progress of GDS was the poor quality of shared data, said Wilkins. "Studies have shown that 88% of the data contained one or more errors."

GXS was working closely with foodservice group 3663 on collecting information such as ingredients' allergenic properties from its suppliers, including ice cream manufacturer R&R. So far GXS had involved 600 of 3663's suppliers and had coded about 65% of the distributor's back catalogue, said Wilkins.

"Historically 3663 never had a method to get that information from its suppliers," said Wilkins. "So we work through those attributes and cross reference those product features." As a result, if a product contained an unwanted allergen, such as gluten, GXS was able to flag it back to the supplier, he said.

One of the problems with GDS was that many manufacturers, including large consumer packaged goods (CPG) firms, did not capture such ingredient information electronically, said Wilkins. However, he said he knew three big CPG companies that were now in a position to share that information and expected others to follow by the middle of next year.

Another development likely to drive interest in GDS data quality was the growth in internet shopping, said Wilkins. "Consumers are demanding more information online," he said. "They are researching products and if they can't get that info about those products they will go to competitors."