Beyond self-service: Five innovations reshaping the self-checkout experience

Over the last few decades, self-checkout in stores has gone from being a novelty to the norm. Now, it’s a vital part of the shopping experience for many customers.

https://ncrvoyix.com/company/resource/beyond-self-service-five-innovations-reshaping-the-self-checkout-experience

Beyond self-service: Five innovations reshaping the self-checkout experience

https://ncrvoyix.com/resource/beyond-self-service-five-innovations-reshaping-the-self-checkout-experience

Over the last few decades, self-checkout in stores has gone from being a novelty to the norm. Now, it’s a vital part of the shopping experience for many customers; about 45% of consumers say they prefer it over a manned checkout lane. Self-checkout systems offer unparalleled convenience in the retail industry for both shoppers and retailers alike.  

But even though self-checkout has become common, its capabilities continue to expand. A self-checkout lane is more than just a way for customers to scan their items. Grocery technology has leveled up to become even more useful for both customers and employees.

Because of this, shoppers and staff can take advantage of self-checkout lanes that take convenience to new heights. Here are five exciting self-checkout applications that you should consider adding to your store.

1) Self-service lottery ticket sales

In the past, lottery tickets could only be purchased at specific checkout lanes or at an isolated lottery kiosk. Now, shoppers can test their luck beyond the drawings and at the self-checkout lanes.

Integrating with Abacus offers ticket buyers a streamlined shopping experience. Research shows that 70% of purchased lottery tickets come from convenience stores. Customers purchase the remaining 30% from grocery stores. Adding more self-checkout lanes can help boost lottery ticket sales. Customers who buy lottery tickets can skip the customer service line and get in and out faster. Additionally, automatic transactions can also reduce errors. Selling lottery tickets at self-checkout kiosks represents a significant improvement in the shopping experience across multiple business goals.

2) Personalized customer loyalty

Self-checkout empowers consumers to choose how they want to check out, but that's not the only way it benefits the customer experience. Self-checkout also unlocks multiple opportunities for personalization, including loyalty programs, targeted promotions and just-in-time offers.

Retailers can use a theme engine to generate more exciting marketing promotions. Then, they can verify performance during and after the promotional period through analytics. This helps them engage customers with loyalty prompts and more importantly, adds more value for shoppers. Both loyalty program members and non-members can enjoy an upgraded experience.

If your store doesn’t have a loyalty program, you run the risk of not being as competitive as other grocery stores. A large majority of guests want to be in loyalty programs: our data shows that 70% of people surveyed are part of a grocery store loyalty program. Keeping customers engaged and satisfied keeps them coming back to your business.

3) More accurate transactions

Merchandise loss is always a concern for retailers, and reducing shrink at self-checkout has often been cited as a specific goal. However, the perception that most shrink happens at self-checkout is not entirely correct. Only 23% of inventory loss happens at the checkout area, across both manned and self-checkout lanes. Often, these losses are not just from theft; barcode issues, difficult access and design problems are also frequent causes.

Traditionally, retail loss prevention at self-checkout has focused on deterring theft by increasing countermeasures, but these methods don’t take into account the full range of causes. As a result, they mainly create friction for honest shoppers and worsen the customer experience which can also be costly for businesses.  

Technology is growing to address these grievances by making scans more precise, improving the checkout experience. Now, retailers are using data to spot shrink patterns across the merchandise lifecycle. This allows them to address loss at every point where it occurs instead of just at checkout.

4) Connected self-checkout hosts

In a time of labor shortages and rising costs, self-checkout offers consistent savings compared to assisted checkout lanes. You can move labor to more important tasks, like helping customers on the store floor. This way, you can improve the customer experience while keeping security measures in place throughout the store.

Our research shows that an online self-checkout host can monitor up to four lanes. This is a more efficient option than having one cashier for each lane. Using self-checkout can lead to a 25-30% drop in checkout labor costs and about 77% of shoppers say they prefer to scan their own items because it gives them a much faster shopping experience. Having fewer staff at checkout doesn’t hurt the customer experience—with the right technology, it can make it even easier.

5) Edge technology

What makes these innovations happen is a higher level of retail technology called edge. Edge technology connects different solutions together, between the point of sale, loyalty and anything else.  

As mentioned, one of the biggest advantages of self-checkout for both customers and retailers is speed. And edge technology can speed up service and serve up convenience even faster.

With edge technology, retailers are becoming more agile. They can quickly improve the shopping experience, fix bugs and make other updates.  By limiting downtime and allowing retailers to adapt quickly, edge technology helps retailers keep enhancing customers’ shopping experience even as technology changes.

The applications are limitless

Customers today care more about experiences than ever before, so investing in the checkout experience is a strategic choice when it comes to differentiating yourself from your competition. This is especially true with the rise of edge technology over the years. Adding innovative features in the checkout lanes makes your business stand out and makes the experience easier for everyone. To dive deeper into the world of edge technology in grocery, download our grocery tech report.