Fraud Detection Hero

Smartup24 Distribution Platform Crushes Retail Fraud with AI-Powered Detection

Executive Summary

Green White Solutions, a provider of the Smartup24 cloud SaaS platform for distribution automation, transformed retail compliance monitoring for their 600+ customers by partnering with HumbleBeeAI. By implementing an AI-powered fraud detection system into their platform, Smartup24 now enables their clients - including distributors and manufacturers across FMCG, beverage, pharmaceutical, and automotive industries - to eliminate fraudulent reporting from field agents, ensure planogram adherence across thousands of locations, and achieve high accuracy in retail audits.

Introduction

Green White Solutions provides Smartup24 - a comprehensive cloud SaaS platform for distribution automation. The all-in-one platform manages sales and field teams, trade marketing, retail execution, warehouses, finance, and analytics for over 600 customers across Central Asia and beyond. Serving distributors and manufacturers in FMCG, beverage, pharmaceutical, automotive, and similar verticals, Smartup24 integrates AI-powered shelf recognition and marking/code scanning as critical components of their retail execution capabilities.

The platform's end users - major players in these industries with products distributed across thousands of retail locations - depend on precise in-store execution to maintain their competitive edge. Effective visual merchandising, optimal product placement, and consistent promotional campaigns are critical to driving sales and reinforcing brand identity. To ensure these standards were met, these corporations relied on vast networks of field agents to manually audit product displays, a process that was not only costly but also vulnerable to inaccuracies and fraud.

The Problem

The company faced significant operational hurdles that undermined the integrity and efficiency of its retail compliance strategy. The manual auditing process was plagued by several critical issues:

Inaccurate and Fraudulent Reporting: Field agents were found to be submitting fraudulent reports, including images of device screens, photos of miniature reference displays, and pictures of closed coolers. This compromised the validity of the audit data, leading to incorrect assessments of in-store conditions.

Difficulty Monitoring Fraud at Scale: With thousands of retail outlets, manually verifying fraud actions was an insurmountable task. This resulted in inconsistent visual merchandising and diluted the impact of marketing efforts.

High Operational Costs: The manual checking of fraud actions was labor-intensive and expensive, requiring significant investment in personnel and resources without guaranteeing reliable results.

Lack of Data-Driven Insights: The inconsistent and often inaccurate data collected from the field made it impossible to derive actionable insights, hindering the company's ability to make strategic decisions about its retail partnerships and merchandising strategies.

These challenges created a significant gap between the company's merchandising goals and its actual in-store execution, threatening brand positioning and ROI.

The Solution

To overcome these challenges, HumbleBeeAI implemented a solution designed to automate and monitor agents’ fraud actions. This multi-faceted system leveraged cutting-edge computer vision and AI to deliver unparalleled accuracy and efficiency.

The core components of the solution included:

Multi-Layered Fraud Prevention: To combat fraudulent submissions, we integrated a powerful anti-fraud engine. This system utilized three distinct detection mechanisms:

Device Screen Detection: A specialized classification model identifies images captured from a phone or tablet screen.
Closed-Door Verification: Another model detects if cooler doors are closed, which violates audit guidelines.
Miniature Image Analysis: An OCR-based algorithm analyzes text on product labels to identify the use of miniature or printed reference images.

This end-to-end solution transformed the client’s fraud checking process from a manual, error-prone task into an automated, data-driven, and highly reliable operation.

Results

The implementation of HumbleBeeAI's anti-fraud AI solution delivered immediate and transformative results, fundamentally solving a challenge that was previously impossible to manage at scale.

Fraudulent submissions were detected with over 90% accuracy within the first week, increasing overall audit reliability by more than 90% and restoring integrity to the field reporting process.

The system's ability to process a massive volume of image inputs from thousands of locations automated an unfeasible task to evaluate manually, ensuring consistent visual merchandising across the entire retail network.

By providing clean, validated data, the platform enabled the company to make data-driven decisions, leading to optimized merchandising strategies, stronger retail partnerships, and maximized return on investment.

Conclusion

The partnership between Green White Solutions and HumbleBeeAI showcases the power of enterprise AI to solve complex, real-world business challenges across multiple industries. By integrating HumbleBeeAI's fraud detection solution into the Smartup24 platform, the company has enhanced its all-in-one distribution automation solution, enabling their 600+ customers to eradicate fraud, ensure compliance, and unlock strategic insights into retail operations across FMCG, beverage, pharmaceutical, and automotive sectors.

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