Twenty million goes towards automated grocery fulfilment centres

Ordering fresh groceries online is still lagging behind traditional eCommerce business, but CommonSense, an Israeli robotics company, sees this is an opportunity for improvement via digital transformation.

Recently, the company has managed to raise $20 million in funding. The funds will go towards developing robotics and AI technology for micro-fulfilment centres. In practical terms, these are places where robots will store, manage, sort and process inventory that’s fit for storing in small warehouses.

Elram Goren, the co-founder and CEO of CommonSense, reports that little has changed in the grocery industry for decades, and the time for innovation is now. Soon, consumers will be able to have fresh food delivered to their doorstep at competitive prices.

The company has a goal to allow automated delivery of groceries faster than pizza.

According to Nielsen, 23 per cent of Americans order their groceries online. However, that is expected to more than triple in the next ten years or less. Even though there is clearly a demand for this, grocers are still trying to figure out how to go about it. Right now, they tend to be fulfilling orders manually.

Goren has made it his mission to revolutionise grocery logistics. He is planning to develop fulfilment centres that can easily fit inside small city properties and will use technologies such as robotics and AI to achieve it. This, he believes, will allow for faster delivery times and enable a profitable business model.

The first fulfilment centre is already being deployed and more are coming later this year to the UK, US and Israel.