Ecommerce ops · Production

Co-op scales search and improves customer experience with Algolia

The problem

As Co-op rapidly scaled its online grocery business during the pandemic, its existing search system proved too limited — unable to tag products or be easily modified — and could not provide customers with real-time inventory visibility or useful alternatives when products were out of stock.

First attempt

Co-op's prior search solution was too limited to tag products or accept easy modifications, and required extensive manual rule management to maintain relevance.

Workflow diagram · grounded in source
1
Customer searches for products
trigger
“It turned to Algolia to power its search drop-down menu, from which users can directly add products to their baskets, as well as to power search results pages”
2
Live stock data synced to Algolia
integration
“Live, up-to-date stock data is sent to Algolia to ensure customers see only what's available”
3
Dynamic re-ranking improves results
ai_action
“Customer search results are vastly improved, for example, a search for "apples" turns up apples, not apple juice, apple pie and other irrelevant results”
4
Recommend alternatives for out-of-stock items
ai_action
“It implemented Algolia Recommend, helping direct customers to other relevant products when encountering one that is out of stock”
Reported outcome

Algolia delivered a 39% conversion rate increase, a 45% increase in people adding to basket, and 6% larger basket sizes with £2 higher spend.
Recommendations for out-of-stock products drove a 7-percentage-point lift in add-to-basket rates and 6% higher basket spend, while Dynamic Re-ranking saved merchandising team time.

Reported metrics
Basket size increase6%
Basket spend increase (absolute)£2
People adding to basket45%
Conversion rate increase39%
Show all 9 reported metrics
basket size increase6%
basket spend increase (absolute)£2
people adding to basket45%
conversion rate increase39%
add-to-basket lift from recommendations7 percentage points
basket spend for recommendation users vs non-users6 percent
conversion rate with Recommend vs Search alone13 percent
merchandising time savingssaves a load of time
maintenance costs vs ElasticDecreased maintenance costs
Reported stack
AlgoliaAlgolia RecommendDynamic Re-rankingAI-based Synonyms
Source
https://www.algolia.com/customers/co-op
Read source ↗

Frequently asked questions

What did this team achieve with this AI workflow?

Algolia delivered a 39% conversion rate increase, a 45% increase in people adding to basket, and 6% larger basket sizes with £2 higher spend.

What tools did this team use?

Algolia, Algolia Recommend, Dynamic Re-ranking, AI-based Synonyms.

What results were reported?

Basket size increase: 6%; Basket spend increase (absolute): £2; People adding to basket: 45%; Conversion rate increase: 39% (source-reported, not independently verified).

What failed first in this deployment?

Co-op's prior search solution was too limited to tag products or accept easy modifications, and required extensive manual rule management to maintain relevance.

How is this ecommerce ops AI workflow structured?

Customer searches for products → Live stock data synced to Algolia → Dynamic re-ranking improves results → Recommend alternatives for out-of-stock items.