Self-scanning checkout: Embracing opportunities, overcoming challenges
The checkout experience can be a determining factor in whether a shopping trip was convenient or not, and the same applies to self-scanning. While self-scanning checkout offers several benefits compared to manual checkouts, there are still factors that retailers should consider to create the ultimate checkout experience. Learn more about self-scanning checkout here!
The checkout experience is a crucial step of the shopping journey.
Few aspects of the shopping trip are as hotly debated and discussed as checkout. New solutions are continuously introduced to minimize friction and waiting time, while retailers also focus on reducing shrinkage and shoplifting. This part of the journey is also a key determinant for shoppers: if the checkout experience is easy and convenient, the overall shopping experience is likely to be perceived as pleasant. If not, there is a risk that the shopper will abandon the checkout method – or worse, switch to a different retailer. Gaining customer loyalty is increasingly harder, but there is a lot to gain by providing a convenient shopping experience.
In general, self-scanning allows for a smoother checkout – learn more about how self-scanning can enhance the checkout here. But there are still several factors that needs to be taken into account, to ensure that retailers are making the most of the solution, and that shoppers gets the best checkout experience possible.
The difference between self-scanning checkout and self-checkout
Self-scanning, self-checkout, and other self-service technologies share both similarities and differences- including when it comes to the checkout experience.
Self-checkout, as the name suggests, focuses on the shopper handling their own checkout autonomously. However, it also requires the shopper to register their products at the end of the shopping trip.
Self-scanning, on the other hand, allows shoppers to register each item as they place it in the shopping cart during their shopping trip. This means that the time spent at the checkout section of a store is generally much shorter for customers using self-scanning, as they do not need to register their items there. Read more about the difference between self-scanning and self-checkout here
Other checkout solutions, such as RFID-checkout, tends to minimize the time spent at the self-checkout area, however there is still a moment of product registration that needs to be taken into consideration – both for the retailers and their customers.
App payments vs. Payment towers
Even though self-scanning offers the opportunity to skip the manual checkout, it can also provide multiple options for exactly how the payment will be conducted: For example, by using a smartphone app (when scanning using a smartphone), or by paying at a dedicated payment tower at the checkout area.
A recent report claims that the implementation of self-service technology has significantly reduced waiting times, and retailers see both benefits and challenges with both types of payment options.
For example, the use of a smartphone application reduces the need for checkout kiosks, freeing up more in-store space. Retailers, regardless of type, often face the challenge of optimizing store layouts, and in-app payments could therefore be a helpful solution.
However, using a dedicated area with payment towers can be a great way to make a final push for additional sales - for example, discounted items and other special offers. This type of last-minute purchase is harder to achieve when shoppers approach the store exit without making an additional stop.
Regardless of the payment solution a retailer chooses, it is important to ensure that the payment options are easy to understand and complete. The introduction of self-scanning devices with support for NFC-payments is one way to make the payment step easier. Of course, also both UX and UI play a major role.
The store layout
Is the checkout area affected by the overall store layout? Of course - and retailers should use this to their advantage. There are several factors that affect how retailers design their checkout area, and store layout is one of them. One of the most prominent issues is the space utilization:
Smaller stores benefit from keeping their checkout area compact: for example by removing manual checkouts, and instead offering app or NFC payments. This allows them to showcase more products without making the store feel cramped or crowded.
Larger stores can benefit from offering a variety of checkout options: from traditional staffed checkouts to self-service stations and self-scanning exits. This makes the shopping experience more convenient for each individual shopper, allowing them to choose the checkout method that best suits their needs on a given day.
One of the most important things to keep in mind is that many shoppers choose self-scanning and other self-service solutions to avoid standing in line at checkout. Therefore, offering only self-scanning with a single payment tower is not an ideal solution. By analyzing customer behavior and monitoring visitor flow, retailers can design their checkout area in a way that minimizes lines while maximizing product assortment.
What about shrinkage?
Of course, shrinkage is a hot topic in connection with self-service technology. Shrinkage, though not necessarily synonymous with theft, is a cost that retailers struggle with every year. So how does this align with shoppers gaining more independence through self-scanning?
“First of all, it is important to remember that only part of retail shrink comes from theft—damaged goods, administrative errors, and other issues play a significant role in the total shrinkage amount. By using a solution with security levels that can be tailored to the specific characteristics of their customer base, retailers can find the sweet spot between store control and customer freedom,” said Fredrik Englund, Managing Director at Datema Retail.
By knowing their customers, retailers can create and implement security measures that best suit the specific store. Additionally, by offering this type of self-service option exclusively to store members, it becomes easier to track and detect anomalies and deviant customer behaviour.
As mentioned before, retailers also have the opportunity to reduce costs by removing some manned checkouts while gaining additional space for products to sell.
Benefits and challenges with self-scanning checkout
Opportunities with self-scanning checkout:
A faster checkout experience
The ability to avoid queues
No need to unpack and repack items
Customers are already aware of the total amount to pay
Security measures are customized according to customer profiles or store preferences
Challenges with self-scanning checkout:
Small stores with many checkout kiosks may find them taking up too much space
Risk of retail shrinkage if the setup is not well designed
The need to convince inexperienced shoppers to try the solution
Would you like to know more about how to enhance the self-scanning checkout? Get in touch with us to know more!
More retail insights
