Self-Check Out Update: More Check Out Options Result in More Sales
A recent study shows that self-check out options are now 39% of grocers check out options. A new study from Catalina (a shopper intelligence firm) found a hybrid approach of self-checkout and staffed lanes yield higher shopper retention. This research and findings were founded from an assessment of 4.5 billion transactions, from 245 million shoppers. Additionally, Catalina found that consumers who used both self-checkout and coupons had four times more sales vs. those who used self-checkout without coupons. The benefit of self-checkouts is catching on with the U.S. increasing the number of self-checkout lands by 10% in the past five years.
There have been repeated criticisms from consumers and media regrading self-checkout, however that hasn’t stopped grocers from their continued plans to increase this additional check out service. With the continued labor challenges and changes in shoppers’ behaviors, adding this technology is a strategic and lucrative move. The key is to offer a hybrid approach to the check-out lanes. Offering both self-checkout as well as staffed lanes. This offers a variety option for different consumer’s needs. “In our view, retailers should evolve to create a balance of self-checkout and manned lanes to accommodate more multi-dimensional shopper profiles, improve customer experience, enable cost efficiencies and maximize sales for the long term,” Wesley Bean, U.S. chief retail officer for Catalina, said in a statement.
Shoppers who used both self and staffed check outs had a mixture of demographics, however those who used a combination of check out options tended to have higher annual income. Catalina also found that depending on what a shopper is buying they tended to use both checkout options, with self and staffed evenly split. Consumers who used both options vs. those who only used one, had higher customer value at $1,720 and completed more shopping trips throughout the year.
“Until recently, shopper profiles generally grouped consumers by demographics and where they are on the purchase funnel,” Bean said. “Now, retailers can layer in check-out preferences and shopper affinities to create a more personalized shopping experience and reach individual shoppers with messages that matter.” Staffed check-out options are not going away and still remain popular, however the studies show that retailers who only offer one check out option are doing themselves and consumers a disservice and missing out on additional sales.