US Foods, one of the leading food distributors in the United States, is on track to achieve nearly 100% customer adoption of its e-commerce platform, MOXē, thanks to its innovative approach to utilizing customer feedback. With annual sales exceeding $35 billion, the Rosemont, Illinois-based company is leveraging digital tools to streamline how chefs and kitchen operators acquire ingredients and manage their operations.
Gene Carbonara, US Foods' vice president of e-commerce and digital, emphasizes the importance of customer insights in shaping their technology. "We have a comprehensive customer feedback program integrated within our agile development methodologies," Carbonara stated. This proactive engagement has enabled the company to gather over 10,000 pieces of feedback just this year. By using this valuable data, US Foods aims to drive innovation and continuously evolve its services to meet the pressing needs of its customers.
One major challenge identified by over 72% of food establishment operators is managing food costs. Addressing this concern, US Foods has developed a digital food cost calculator integrated within its MOXē platform. This tool utilizes existing data on customer purchase activity along with their inventory management systems to help them understand food costs alongside profitability. "We have real-time information on prices, invoices, and order volume, which allows us to provide meaningful insights to our customers," said Carbonara.
The MOXē platform, which stands for "Making Operators’ Experience Easy," empowers customers to perform various tasks such as track deliveries, calculate menu item costs, and access invoices seamlessly through their mobile devices. The commitment to customer service is one of the four core pillars of US Foods' strategy, as highlighted by CEO David Flitman during recent earnings calls.
Flitman noted, "We continue to improve the user experience of our proprietary leading digital platform MOXē." This consistent focus on user experience has not only enhanced customer satisfaction but has also resulted in increased order volumes. For example, online merchandising efforts have reportedly added 1.5 cases of products to every order.
With the recent advancements, US Foods has introduced other digital tools such as the AI-backed "Where’s My Truck?" feature. This tool provides customers with real-time updates on delivery statuses, factoring conditions like weather and road accidents to deliver precise estimated delivery times. According to Carbonara, the implementation of this technology has improved delivery accuracy by 20%.
Currently, 84% of US Foods' customers use the MOXē platform for ordering, showing the effectiveness of their digital strategy. The company maintains over 70 distribution centers and operates more than 6,500 trucks, making it well-positioned to reach its goal of 100% online adoption. Carbonara mentioned, "It’s not 100%, but we still see opportunity as we continue to innovate. You’re going to see more and more features focused on mobile and text-based interactions, which align with what our customers value."
By embedding customer feedback so thoroughly within their operational framework, US Foods not only enhances its service offerings but also drives greater customer loyalty and satisfaction. The systematic approach to integrating comments and suggestions from customers positions US Foods not just as a distributor but as a partner to its clients, aiding them every step of the way toward operational excellence.
Looking forward, the integration of customer insights will undeniably shape the future of US Foods' business model. With the increasing reliance on digital platforms, the feedback mechanism serves as both the foundation for innovation and the compass guiding the company toward meeting its customers' ever-evolving needs.