Celebrating International Consumer Rights Day 2024: Promoting Fair and Responsible AI for Consumers

As we celebrate International Consumer Rights Day on March 15, 2024, under the theme "Fair and Responsible AI for Consumers," consumer co-operatives in the food retail sector are poised to address the intersection of technology and consumer rights. At Euro Coop, representing consumer co-operatives across Europe, we recognize the profound impact of Artificial Intelligence (AI) on food retail and the importance of ensuring fairness and responsibility in its integration.

Consumer co-operatives have long been at the forefront of advocating for consumer rights, emphasizing fairness, transparency, and community well-being. Now, as AI reshapes the landscape of food retail, it is imperative to keep these values and ensure that technology serves the best interests of consumers. Used properly, generative AI could enhance consumer care and improve channels of redress. However, it will also have serious implications for consumer safety and digital fairness. With developments rapidly taking place, we must move quickly to ensure a fair and responsible AI future.

Within challenges, like privacy violations and misinformation, lie opportunities for innovation and progress. AI holds immense potential to revolutionize the food retail sector, offering personalized shopping experiences, optimizing supply chains, and enhancing food safety measures.

One of the primary innovations is the introduction of transparent product labeling, made possible by advanced QR code technology enhanced with AI capabilities. These QR codes not only serve as gateways to product information but also take advantage of the power of AI to analyze consumer preferences, offering personalized recommendations and fostering informed decision-making. Take, for instance, the initiative undertaken by Coop Italia, where QR codes on their own-branded wines provide consumers with access to a wealth of information about the product, including its origin, grape varieties used, winemaking techniques, and recommended pairings. This initiative illustrates the transformative potential of AI in empowering consumers to make choices aligned with their values, while forging stronger connections between brands and consumers through transparent communication channels.

Similarly, the S Group in Finland exemplifies the integration of AI in ethical sourcing and supply chain management. By leveraging AI-powered analytics, the S Group ensures the traceability of products, monitors labor practices, and reduces environmental footprints, thereby promoting fair trade and sustainability. For instance, through the pioneering Arla Yhten farm milk project, consumers can now track the journey of their milk from the barn to the store shelf, empowering them with knowledge about the product's origins and production practices.

Scotmid Co-op is extending its AI-powered partnership with Retail Insight for another four years, with a focus on benefiting consumers. Since its inception in 2021, this collaboration has not only reduced waste but also prioritized consumer satisfaction. By leveraging Retail Insight's 'WasteInsight' technology in 300 stores, Scotmid has diverted 42.7 tonnes of food from landfills. This new approach utilizes consumer data to optimize price reductions, ensuring shoppers get the best deals while minimizing waste, transforming operations and liberating resources to enhance the in-store experience for customers. This extension reflects Scotmid's commitment to using AI in ways that benefit both the environment and consumers.

Consumer co-operatives have long championed the rights of consumers, advocating for fairness, transparency, and community well-being. As AI continues to reshape the food retail landscape, it is crucial to uphold these values and ensure technology serves consumers' best interests. While generative AI offers opportunities to enhance consumer care and redress channels, it also presents challenges such as privacy breaches and digital fairness concerns. To navigate this rapidly evolving landscape, it's essential to act swiftly, ensuring a fair and responsible AI future. Within these challenges lie opportunities for innovation, such as transparent product labeling enabled by AI-enhanced QR codes. By leveraging AI ethically, consumer co-operatives can lead the way towards a more sustainable, inclusive, and equitable food system, where technology serves the common good and enhances consumer and community well-being.