Grab That Nutella (and the Future): How SAP, Intel, and Lenovo Are Building Tomorrow’s Retail

The retail landscape is changing swiftly. Shifting consumer behaviors, persistent economic pressures, and an urgent mandate for operational efficiency are compelling retailers to transform their businesses fundamentally. Navigating these challenges requires a strategic embrace of digital innovation, particularly leveraging technologies like Artificial Intelligence (AI) to enhance decision-making, personalize customer journeys, and create seamless omnichannel experiences.

Powering Smart Retail

Partners like Intel and Lenovo are leading this technological change. They are collaborating to equip retailers with the tools needed to build the Store of the Future. Their shared vision focuses on creating interconnected, consumer-centric environments where digital capabilities are woven into the fabric of the physical space, all aimed at optimizing every facet of retail operations.

Lenovo, powered by Intel technology, is advancing AI adoption in retail through a versatile, hybrid approach. It offers specialized solutions addressing critical areas from smart shelving and streamlined checkout processes to efficient warehouse management and robust store infrastructure. This partnership harnesses the power of AI, edge computing, and automation to help retailers tackle current industry headwinds and position themselves for long-term growth.

AI-Powered Computer Vision

A cornerstone technology enabling this shift is AI-Powered Computer Vision. Retailers are increasingly deploying computer vision systems to gain insights into customer behavior, refine merchandise placement, and bolster loss prevention efforts. Devices like the Lenovo ThinkEdge, equipped with high-performance Intel processors, provide the necessary computing power for real-time data processing at a retail store’s front and back end.

This enables quicker, more informed decisions. For instance, Sensormatic Solutions utilizes Lenovo ThinkEdge servers powered by Intel Xeon processors for AI-driven computer vision and machine learning applications, helping fine-tune the shopper experience and address critical issues.

Edge-To-Cloud Transformation

Many retailers have completed their core cloud migration, and their attention is now shifting to ensuring seamless, resilient store operations. This highlights the importance of Edge-to-Cloud Transformation. Lenovo ThinkEdge solutions, underpinned by powerful Intel processors, are designed to optimize in-store infrastructure, supporting scalable and efficient retail AI deployments. This allows retailers flexibility in determining which processes run locally at the edge versus in the cloud, balancing performance, cost, and connectivity.

Even the supply chain benefits from this technological synergy. Lenovo offers solutions leveraging Lenovo ThinkStation P Series workstations, powered by Intel Core Ultra processors, specifically for AI-driven supply chain analytics. This helps improve inventory accuracy and reduce operational costs by applying intelligence to complex logistics data.

S.Mart: A New Frontier in Retail Technology

One of the most compelling examples of the evolution in retail showcases how SAP collaborates with technology partners like Lenovo and Intel on innovative retail formats: the new S.Mart store. This fully automated, 24/7 concept store, a joint project by SAP and Aramark, was developed in four months and is located on the SAP campus in Walldorf, Germany. The roster of technology partners involved prominently features both Lenovo and Intel Corporation.

The S.Mart store integrates technologies such as:

• RFID for swift checkout and inventory management
• Computer vision for personalized customer experiences and theft prevention
• Digital temperature monitoring
• Cameras detecting stockouts

The checkout is designed for speed and convenience. For instance, a customer can grab an item, like a jar of Nutella, and complete the transaction in under 50 seconds using RFID and Payfree. The receipt is automatically generated in the background via SAP Customer Checkout.

Thus, this project offers a tangible demonstration of collaborative innovation in retail technology directly within the SAP ecosystem.

What This Means for SAPinsiders

Intel and Lenovo’s partnership underscores the evolving demands of the retail sector. By leveraging the power of AI, computer vision, and robust edge-to-cloud infrastructure, they provide retailers with the foundation to achieve greater efficiency, elevate customer experiences, and pave the way for the future of shopping. Autonomous store concepts like S.Mart are becoming key benchmarks for future retail technology innovation. SAPinsiders, particularly in retail, must understand these advancements as they offer concrete pathways to modernize operations, enhance customer engagement, and derive tangible business benefits that can integrate with and extend existing SAP solutions.

Leverage Intel’s Edge Power for real-time retail intelligence. Intel processors powering edge devices like Lenovo ThinkEdge directly bring AI and computer vision capabilities into your stores and distribution centers. This enables critical real-time insights and actions – from dynamic merchandising adjustments based on shopper behavior to instant loss prevention alerts. SAPinsider research indicates that improved product availability enabled by AI can reduce revenue loss due to stockouts by 30% and slash inventory costs by up to 25%. Thus, having robust, reliable processing at the edge powered by Intel is fundamental to achieving these gains.

SAP’s innovation ecosystem is building your future store. The S.Mart store demonstrates SAP’s proactive approach in collaborating with leading hardware and AI partners like Intel and Lenovo to build and test next-generation retail concepts. Functionalities like the rapid checkout via SAP Customer Checkout, integrated with RFID and computer vision, show that SAP’s platform is evolving to support highly automated environments. With roughly 32% of respondents to an SAPinsider survey already transitioned to SAP S/4HANA by early 2025, a significant portion of the SAP retail user base is on a modern platform capable of integrating these advanced, partner-driven innovations for greater efficiency and insight.