By Neil Finch, Irisys
It’s easy to see the appeal of self-service checkouts, which were first installed in the 1990s and are now part of the everyday shopping experience. The technology reflects the ever-evolving and modernizing retailer that puts customers in greater control of their experience.
By offering a convenient service choice for consumers and a solution that reduces front end labor costs, self-service technologies have become valuable assets. Some retailers even offer “scan as you shop” options via hand-held price scanners or mobile phone apps.While self-checkout makes the shopping experience more desirable, they can be expensive to install and require continuous monitoring and frequent support — a large drawback for some retailers that are looking to maximize returns on their investments.
Setting service metrics — like achieving a certain percentage of self-service transactions per week — is a popular way to measure performance, but it does not quantify the customer experience. Alternatively, metrics like queue wait times are more essential to organizing effective strategies that enhance customer service delivery.
Advertisement
To ensure self-service checkouts are maximized, retailers need constant queues of one or two customers. Maintaining this constant flow rate can prove difficult, however, because queues across a store will typically even themselves out. For example, if the main bank does not have a wait time, self-service stations will not likely entice shoppers.
The location of self-service checkouts is also important.
Because they are designed for the basket shopper, placing self-service checkouts far from convenience items could negatively affect queuing. It is also good practice to place them in similar locations inside every store. This way, loyal self-service shoppers will know precisely where to go regardless of the store they’re in.
Retailers should also consider the relative placement of other types of checkouts and whether they’re open for queuing. Placing basket or express lanes alongside self-checkouts will reduce their use.
Empowering a quality, high-performing associate to oversee self-service stations also has a significant influence on self-service performance.Associates who actively encourage and invite shoppers to use self-checkout will instill confidence in the experience. Customers who may not normally use the self-service option might consider it if they believe the overseeing staff member will sort out any issues that arise.
Achieving the best results and high returns on self-service technology requires a cohesive strategy across the whole front end. Retailers that best partner the convenience of self-service with the excitement of a superb customer experience will reap the benefits of loyal shoppers and optimized labor costs.
With more than 16 years of retail solutions experience, Neil Finch serves a global capacity for Irisys, the world’s No. 1 supplier of grocery queue management and people counting solutions. As International Retail Consultant, Neil drives business analyses, proof of concepts and project planning for high-tech solutions that optimize operational performance and improve customer experiences for Tier 1 and Tier 2 retailers around the world. For more information about Irisys’ solutions, products and expert consultancies for retail and other industries, visit www.irisys.net.
