INS THE GROCERY INDUSTRY, REINVENTED FIRST GLOBAL DECENTRALIZED ECOSYSTEM DIRECTLY CONNECTING GROCERY MANUFACTURERS AND CONSUMERS

ABSTRACT
This white paper explores global grocery market challenges, a technology paradigm shift
offering transformative potential, and the business and technical aspects of the solution INS is
developing for capitalizing on this potential. Highlights of the paper follow below:
The grocery market, one of the largest consumer markets in the world, is forecast to reach $8.5
trillion by 2020. It is reaching a digital tipping point, with much of its growth to come from
online. Online grocery, being the target segment for INS, is expected to grow from $98 billion in
2015 to $290 billion in 2020, according to IDG estimates.
Despite the tremendous growth, the grocery market has two large interrelated
problems - abuse by grocery retailers and ineffective trade promotions.
The grocery market dominated by retailers. Retail chains capture a very high share of grocery
revenue and have a huge influence over manufacturers, causing deep impact on consumers
worldwide. Retailers dictate what food is grown and how it is processed, packaged, priced and
promoted. As an example, in the UK, four retailers serve as a slim conduit for 7,000
manufactures to sell their products to 25 million households , which demonstrates how the
existence of retailer abuse in the grocery industry has not only been allowed to develop but also
thrived.

Ineffective, costly and outdated trade promotions practice. Trade promotion spending
represent 17% of manufacturer’s sales . Each year, over $50 billion on trade promotions never
reaches the consumer. Unfairness in today’s promotion-laden atmosphere go hand in hand with
the rising costs of promotions and the inefficiencies they produce. 95% of manufacturers admit
that trade promotions inefficiency is an extremely important issue.

INS is implementing a decentralized ecosystem enabling consumers to save up
to 30% on everyday shopping buying directly from grocery manufacturers.
Direct interaction between consumers and manufacturers. Bypassing retailers and wholesalers
means a more personalized and transparent grocery shopping experience at lower prices.
Сonsumers will be able to decide which brands they want and goods they need. We call it
“Consumption 2.0” since 21st century customers are tired from a one-way street type of
communication, whereby retailers push goods onto them that maximize retailer’s profit - not
what consumers really want. We also want consumers to have unimpeded access to
independent and local manufacturers, including farmers, that do not fit retailer supply chain or
procurement terms and can’t get their goods on retail shelves.
Enabling manufacturers to market their goods directly to the consumers. No more costly and
inefficient trade promotions grabbed by retailers and wholesalers. INS will enable
manufacturers to create bespoke marketing programs to reward their customers directly. These
programs run on smart contracts and powered by the INS token as a means of reward. It is

INS THE GROCERY INDUSTRY, REINVENTED FIRST GLOBAL DECENTRALIZED ECOSYSTEM DIRECTLY CONNECTING GROCERY MANUFACTURERS AND CONSUMERS