Progressive Grocer - June 2018 - 159

TECHNOLOGY

Mobile Apps

Think
Past
the POS
5 WAYS MOBILE CHECKOUT APPS
CAN EMPOWER BOTH ASSOCIATES
AND SHOPPERS BE YOND THE FRONT
OF THE STORE. By Randy Hofbauer

can-as-you-shop technology is nothing new. Many
retailers tried it as far back as the early 2000s, when
Wi-Fi technology was becoming more pervasive and
enabled its possibility.
Back then, early pilots revealed interesting results,
according to Michael Jaszczyk, CEO of GK Software
USA, a Raleigh, N.C.-based omnichannel solutions
developer. Buy-in from consumers varied from
country to country, and while younger consumers
embraced the technology, older ones struggled with
touchscreens and felt a "measure of creepiness" in
the personalization aspect of it.
Fast-forward to today, and the headlines show a growing acceptance:
"Walmart Scan & Go Tech Moves Past Pilot." "Meijer Unveils New Checkout App." "Kroger Unveils 18 Divisions to Get Checkout-Free Tech." In
fact, Progressive Grocer 's 2018 Annual Report reveals that the number
of grocery retailers offering scan-as-you-shop technology essentially
tripled in one year, with one-quarter of respondents saying they now use
it, compared with 8.5 percent saying the same a year prior. Some retailers
may ultimately abandon the service for now, as Walmart did shortly before
press time due to lack of popularity with customers. Others, however,
could easily have success with the technology.
But whether they find success or not, what is the biggest advantage of this
technology? Reduced labor costs, many news outlets say, speculating that
large numbers of cashiers will find themselves unemployed as mobile checkout technology grows in acceptance. No doubt, some grocers will do this to
save money on labor (or even self-checkout kiosks).
Progressive grocers, however, will see the other advantages to introducing
mobile checkout apps to their patrons, including the following:

1

Increased Basket Rings

Many grocers already are rolling
out or expanding their ecommerce operations to better
compete against Amazon and
other ecommerce giants: Nearly one-tenth
of grocery sales will be online by 2022, and
are expected to grow 13 percent each year,
compared with the 1.3 percent compound
annual growth rate expected in-store,
recent research from Barrington, Ill.-based
retail consultancy Brick Meets Click reveals.
However, ordering groceries for delivery
via a pure-play ecommerce site doesn't
allow for add-on purchases the way that instore pickup does, with the help of mobile
checkout apps.

Nothing reduces shrink
like greeting every customer and
looking them in the eye, and
now even greeting them by
name as they walk in the store."
- Chase Thomason, Skip
PROGRESSIVE GROCER June 2018

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Table of Contents for the Digital Edition of Progressive Grocer - June 2018

Contents
Progressive Grocer - June 2018 - Cover1
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