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Ocado Technology: Delivering powerful product performance with consistent data insights

Google Cloud Results
  • Gives product teams a single source of truth for consistent data insights with Looker’s powerful semantic layer

  • 700 weekly active users generate their own insights with Looker’s extensive self-serve functionality

  • Builds external reporting capability in just three months thanks to Looker’s reusable metric definitions

Ocado Technology used Looker to generate fast, accurate, consistent reports to refine its online grocery products and improve the services for its partners.

When Ocado launched in 2000 with a vision to revolutionize the online grocery space, people said it couldn’t be done. The idea of packing large orders of perishable items from a product range of tens of thousands — and delivering them on time, every time — was impossible, they said. In a sense, they were right: There was no technology at the time that could manage such a task. So Ocado created its own technology, enabling it to take orders online, fulfill them centrally, and deliver punctually to customers’ doors. As the company grew, so did the sophistication of its in-house technology, prompting the strategic decision to start selling it to other retailers too. 

Today, the company’s R&D arm, Ocado Technology, has a 2,700-strong team of technologists developing artificial intelligence, robotics, and automation technology. Used by 13 retailers around the world, from Kroger in the USA to AEON in Japan, and with more than 1,200 granted patents, Ocado has become a global tech powerhouse. 

At the heart of its offering is the Ocado Smart Platform (OSP), an end-to-end platform that enables everything from ecommerce to fulfillment, logistics to supply chains, as well as incorporating futuristic fleets of robots that can pick and pack 50-item orders in minutes.

In search of an enterprise BI tool for consistent data insights

Looker has enabled us to drive consistency across a huge range of metrics we previously had to spend time reconciling manually. It’s a double whammy — we get consistency, and we’re more efficient as we only have to build and define metrics once before we can use them again and again.

Duncan Thompson

Data Ops Lead Analytics, Ocado Technology

OSP generates vast amounts of data — just one of Ocado Technology’s warehouses generates 75 TB of semi-structured data per day — which is all stored in Google Cloud’s enterprise data warehouse, BigQuery. When OSP was first developed, different product teams took charge of different parts of the platform, enabling them to work quickly and independently. Each of these product teams had its own data analysts, who were developing their own data marts in BigQuery, relating to their own product, and using Looker Studio to visualize the results. However, because there was no common set of business logic or definitions being used by all analysts, this resulted in inconsistent reporting across product teams, with inconsistent data and insights on the same subject. This eroded trust in the reports, meaning that when separate product teams needed to work together, it was not only hard to agree on the issue they were trying to solve, they also wasted time trying to understand the source of the problem.

Ocado Technology realized it needed an enterprise grade business intelligence (BI) tool with a robust semantic layer to ensure consistency in how metrics are defined and used across the organization. The company evaluated Looker and a third-party BI tool. Impressed with how comprehensive and powerful Looker’s semantic layer was, it implemented Looker in 2023 and set about migrating its reports to the platform. 

“Our data gives us a market advantage, but we have to access and process that data effectively,” says Duncan Thompson, Data Ops Lead Analytics at Ocado Technology. “Investing in Looker has proven to be absolutely the right decision for us. It’s a great proposition because it has enabled us to drive consistency across a huge range of metrics we previously had to spend time reconciling manually. It’s a double whammy — we get consistency, and we’re more efficient as we only have to build and define metrics once before we can use them again and again.”

Creating a single source of truth with a powerful semantic layer

Ocado Technology now has over 2,000 employees regularly accessing Looker, with nine analyst teams and 700 active weekly users taking advantage of its self-serve functionality to build and share reports. Generated from the freshest data available in BigQuery, these reports mean the company can now access accurate and consistent insights, based on near-real-time data, helping it to optimize the OSP and improve the services it offers to its retail partners. 

For example, one element of OSP is the customer-facing webshop that shoppers use to place their orders. This includes a search functionality to help users find goods to fill their baskets. One of Ocado Technology’s product teams continually analyzes the performance of search to ensure it’s working effectively. Previously, when these teams noticed an issue with search performance, such as a search term returning no results, they would need a data analyst to analyze the cause of the issue.

By empowering our product teams to easily get answers to their questions, Looker frees our analysts to focus on bigger and more complicated challenges. This means that as a business we can generate more value by thinking about the more interesting problems.

Duncan Thompson

Data Ops Lead Analytics, Ocado Technology

This time-consuming process slowed the team’s ability to improve the partner’s search performance, and also meant the data analyst’s time was taken up answering ad hoc requests, diverting them from higher-value data projects. Now, those product teams can self-serve this information directly from Looker, enabling them to fix the problem faster.

Giving partners fast insights with reusable metric definitions

Ocado Technology is also using Looker to produce reports for its retail partners with what it calls OSP Insights. Previously, this capability would have needed to be built from scratch, making the development process slow and expensive. Now, with Looker’s semantic layer, Ocado Technology can take the metric definitions it has already created for its own internal reporting and reuse them to create an external reporting instance to generate reports for its clients. 

Being able to reuse these definitions allowed Ocado Technology to deliver its OSP Insights capability in just three months, when it would have taken more than a year with the third-party BI tool, saving the company months’ worth of development costs. With OSP Insights, Ocado Technology can now give its partners access to reports and insights to analyze the performance of individual components of the OSP, such as warehouse management, supply chains, and last-mile delivery.

Keeping the business moving with near-real-time reporting

Packing bags at an Ocado Technology fulfillment center is a precision operation. Robots moving grocery products glide rapidly around a vast grid, pausing briefly beside robotic picking stations, where robot arms quickly transfer the required products into delivery boxes containing customer shopping bags, before the bots glide swiftly to their next encounter. This meticulous automation is what enables the OSP to pack orders so quickly and efficiently. But to function effectively, it depends on human warehouse staff and automation ensuring prepared delivery boxes are available at all times.  

Before using Looker, Ocado Technology was unable to provide a real-time view of when an extra supply of prepared delivery boxes was required to ensure orders could be picked and packed quickly and dispatched on time.  Now, with Looker, the company can fine-tune how often it refreshes its data, giving it a near-real-time view of the level of prepared delivery boxes available across the warehouse and the rate at which they are being prepared, allowing warehouse staff to keep delivery boxes stocked with bags to ensure the packing process runs as efficiently as possible.  

“Before Looker, near-real-time reporting wouldn't have been an option,” explains Thompson. “We'd have had to deliver it through a software-development process, and it would have taken a couple of months to deliver, instead of the couple of days it took with Looker. Thanks to Looker’s agility, we enabled the warehouse to quickly solve a packing problem that allowed them to achieve their highest site productivity for two weeks.”

Building a future of growth and innovation with data-driven decisions

As we grow, we are constantly innovating. We’re always trying to make our product better, optimize delivery, and achieve more efficient operations with less waste. That all requires data to make the best decisions about how to improve our product, which makes Looker critical to that journey.

Duncan Thompson

Data Ops Lead Analytics, Ocado Technology

The future of Ocado Technology is one of rapid growth. Just a few years ago, the company, on behalf of its retail partners, would open one large automated warehouse every few years. Today, it has sites live all over the world with plans to open many more. That fast expansion is generating ever-increasing amounts of data, which the company is using to further improve its OSP and the services it offers its customers. 

“As we grow, we are constantly innovating,” explains Thompson. “We’re always trying to make our product better, optimize delivery, and achieve more efficient operations with less waste. That all requires data to make the best decisions about how to improve our product, which makes Looker critical to that journey.”

Ocado Group is a global, technology business redefining ecommerce, fulfilment, and logistics in online grocery and distribution industries. The company's R&D arm, Ocado Technology, is powering the future of online retail through disruptive innovation. Its strong team of technologists develop artificial intelligence, robotics, and automation technology.

Industries: Retail, Technology

Location: UK

Products: Looker, BigQuery

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