Interior of Kappy's Fine Wine & Spirits
Retail

Here’s to new possibilities in retail!

Organization: Kappy's Fine Wine & Spirits
Location: Massachusetts, United States
Customer need: Loss Prevention, Service and business optimization
Massachusetts, United States, 

From network cameras to IP speakers to video analytics, Kappy’s Fine Wine & Spirits embraces an IoT world for stronger security and new opportunities.

Mission

As a prominent beverage retailer with 12 stores throughout Massachusetts, Kappy’s Fine Wine & Spirits takes pride in its pristine stores, up-scale environments and innovative outlook. To monitor inventory and reduce shrink, Kappy’s needed a modern surveillance system. Dedicated to expanding the business, Kappy’s sought a scalable solution that would provide peace of mind for the safety of their customers, employees and assets while gathering actionable business data.

Solution

Seeking advice from RGBS/ALSI, an Axis partner, Kappy’s turned to an Axis surveillance system. With high-resolution Axis network cameras, AXIS Camera Station video management software and a custom-built network video recorder (NVR) — ownership can efficiently view, record, store and manage video across multiple locations. Axis network speakers were also selected for easy management of the background music with less hardware than that of a traditional audio solution. Rounding out the system, is AXIS People Counter and AXIS Queue Monitor with specific cameras in Fall River, MA to explore the business opportunities with video analytics.

Result

One of the most notable advantages to the install is the intangible feeling of security that it has endowed. The system provides crystal-clear video quality to answer a wide range of internal and external business questions: How was a product display knocked down overnight? Who is coming in? When are customers coming in? Where are the high traffic areas? The list is endless, but the answers are there for Kappy’s with its 24/7 intelligent surveillance solution.

Since we’ve partnered up with Axis Communications, we’ve definitely increased the quality of our cameras, their capabilities and offsite viewing quite a bit. The entire Axis security solution is very intuitive and an instrumental business tool.
Scott Moore
Owner, Kappy’s Fine Wine & Spirits
Exterior of Kappy's Fine Wine & Spirits

Growing with the times

Kappy’s Fine Wine & Spirits, a fourth-generation family business founded in 1940, is a leader in the Massachusetts beverage industry and sells a wide range of wines, craft beers and boutique spirits. Constantly ahead of the curve, Kappy’s ownership and management teams are dedicated to the organization’s innovative approach to be a successful player in the local market.

Throughout the generations, Kappy’s has built a strong bond with RGB Surveillance (RGBS) in partnership with Artery Lock Security Integration (ALSI), an Axis partner. Living up to Kappy’s innovative strategy, the teams come together year after year to pilot up-and-coming network security solutions in new or remodeling stores.

“With the growth of technology, security integration is always improving,” said Thomas Lienhard, director of sales at RGBS. “Working closely with Kappy’s, we are able to assess the specific needs and install the solutions that work best for the company.”

Out-of-the-box surveillance

Internal and external shrinkage, loss prevention, safety, risk management and liability claims are all primary concerns for Kappy’s managers on a weekly basis. The outdated video surveillance system did not suffice and RGBS/ALSI encouraged Kappy’s to upgrade to intelligent Axis network camera solutions. Reflecting on prior incidents, it was determined that cameras need to be placed strategically throughout the store to capture video data that can help identify the root causes of incidents and inefficiencies.

Providing a sharp panoramic 360° view of the store front is an AXIS M3048-P Network Camera for enhanced awareness. The zoom, dewarping capabilities and 12-megapixel lens allow employees to analyze specific areas of the store through both live and recorded footage. Further details within the aisles are captured through AXIS P32 cameras with corridor format, which rotates the image 90° to provide a longer view up and down the entire aisle. Additional IP-cameras are mounted at the store entrance ways, cash registers, backrooms, storage areas, the refrigerator room and loading docks.

Shot of video on mobile app

With all this footage and no dedicated loss prevention staff, management needed the ability to remotely monitor multiple locations. Each store’s leadership staff also needed privileges and varying access rights to retrieve and view video. This required an easy, unintimidating video management software that could accommodate all levels of technical experience. To grant this freedom, RGBS/ALSI selected a custom built network video recorder (NVR) with AXIS Camera Station video management software for each location to store the recorded video locally.

Through AXIS Camera Station and its mobile viewing app, staff can easily stream live and recorded video on an office desktop or mobile device. “AXIS Camera Station is very intuitive,” stated Scott Moore, owner of Kappy’s Fine Wine & Spirits. “It’s very easy for somebody that doesn’t have a lot of technical skills to learn. Easy to install, easy to navigate and easy to rely on when the need arises.”

Minutes of unease vs. hours of distress

When Lienhard arrived at a location to train store management on the new camera system, he was met by a startled employee who found the front door ajar. Fearful of what (or who) might be inside, Lienhard used AXIS Camera Station’s Smart Search function to retrieve recorded video for any motion that was detected at the front door.

Footage showed that the doors were not properly closed and locked the night before. When a mall landscaper came at 5:30 AM the next morning, the force of his leaf-blower pushed the door open. The employee was then rest assured that it was safe to enter and start opening the store for business.

Shot of monitor show AXIS Camera Station views

“It took us about four minutes of searching through the video versus hours in the traditional sense,” noted Lienhard. “Bring up the camera feed in AXIS Camera Station, paint the box and you get the answers you need right away.”

In another instance, Kappy’s was able to provide video evidence requested by law enforcement for an ongoing trial. It verified that an individual was in the store at a particular time and made a purchase using a stolen credit card.

Permeating the store with music

Ambiance is all part of the customer’s in-store experience and critical for building a strong brand in a competitive industry. Stimulating the auditory sense throughout all parts of the store, Kappy’s streams background music from Cloud Cover Music directly to AXIS C1004-E Network Cabinet Speakers.

Shot of speaker on ceiling

“The previous system had receivers, lots of wires, lots of speakers and the quality was very poor. A customer would need to be near the speaker for a clear sound, especially with public announcements,” explained Lienhard. “These Axis network speakers are completely different. Traditionally it would take six or seven speakers, but with the dispersion of these ones, that number is cut in half since the clarity covers a much larger area.”

Person using AXIS Camera Station on tablet

As an all-in-one solution, there was no need for Kappy’s to purchase an amplifier, mixer, signal processor, or any other equipment required with traditional systems. The simplicity of the Axis solution makes it easy for Moore and other managers to log directly into Cloud Cover Music from a computer or mobile device to adjust the volume or change the song. The next step for Kappy’s is to automate standard public announcements with scheduled and pre-recorded messages such as, “The store will be closing in 15 minutes.”

With the intelligent capabilities of Axis network cameras, RGBS/ALSI is considering future opportunities that would give Kappy’s the ability to automate promotional audio messages when customers are lingering in certain zones. Lienhard gives the example of someone walking past the wine section.

“As the Axis network camera senses an individual lingering for 10 seconds, a trigger could be sent to the Axis network speaker to stop the music and play a pre-recorded message telling the customer ‘Select wines are 20% off for a limited time!’” explained Lienhard. “Not only would this be good for generating more sales, but this could be used as a revenue generator for Kappy’s as a vendor sponsored promotion.”

Stepping forward into retail analytics

“One of the reasons we installed the system was to grow with it and utilize those other features down the road that we see fit.” said Moore, who is in the process of piloting AXIS People Counter and AXIS Queue Monitor analytics.

With AXIS People Counter embedded on an overhead camera in the entrance vestibule and AXIS Queue Monitor operating inside cameras overlooking the registers, Moore is excited to see how the analytics tools will play a role in enhancing Kappy’s customer experience. The team is working to discover when the store is busiest, if checkout lines are getting too long, how foot traffic is converting to sales, the impact of promotion efforts and other various business metrics.

Utilizing all this data, management hopes to better service customers and ultimately drive sales by adjusting staffing levels at the busiest times, automating alerts if customers are waiting too long and working with vendors to set displays that resonate with the clientele.

“We’re certainly interested to see what type of information we get from these analytics as well as many other system capabilities we can implement going forward,” owner Scott Moore noted. “There are a ton of ideas and I’m excited to see how they pan out.”

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