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HomeNewsAnalyticsAdhithi Aji, of Adrich, on realtime consumption tracking for DTC brands

Adhithi Aji, of Adrich, on realtime consumption tracking for DTC brands

Adhithi Aji is Founder and President of Adrich, a Pittsburgh-based company whose technology delivers a closed loop ordering/monitoring system powered by data provided by sensors on or in the package.

A system like Adrich’s is especially timely given the need for CPG/DTC brands to meet sustainability goals by reducing package waste. It also gives brands something they’ve never had before: real-time insights about actual product usage. Consumers benefit from the convenience of auto-refilling and from better, more personalized messaging from the brands, thus increasing consumer loyalty.

“The good thing about our technology is that it really works across categories,” said Adhithi. “So you can take anything from food or beverage to beauty segments, personal care, as well. It’s the same smart label that works across all the products, so it brings us scalability built for that connected home scenario where you have a connected kitchen, a connected bathroom. All of these products talk to one single entity, and Amazon fulfills the orders.”

Will customers be willing to pay a bit more for a “smart container” that knows enough about itself to re-order whatever is inside it? Adhithi thinks so: any technology costs involved in smart-labeling containers will be offset by improved fulfillment efficiencies.

“Think of it as subscription 2.0, which we a call consumption-based subscription for fulfillment,” said Adhithi. “Consumers get the right amount of product and brands don’t lose the consumer. We see consumer lifetime value increasing up to 23 percent.” That’s great because customer churn among traditional “subscribe and save” programs is up to 40 percent because customers are so unhappy with the way that products are refilled.

Right now, Adrich’s system is being used in Europe in the liquid food and liquid cleaner categories, vacuum cleaner bags, and cosmetics. Adrich is a member of the U.S. Plastics Pact — a pro-sustainability organization serving as a hub for businesses, not-for-profit organizations, government agencies, and research institutions seeking to advance what it calls “a circular economy for plastics.” Adhiti is optimistic about the future of her technology and expects that Adrich’s installed base of smart containers will expand in 2023 and beyond.

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