{"id":120475,"date":"2024-01-05T09:52:00","date_gmt":"2024-01-05T13:52:00","guid":{"rendered":"https:\/\/www.shortform.com\/blog\/?p=120475"},"modified":"2024-01-09T09:53:51","modified_gmt":"2024-01-09T13:53:51","slug":"self-checkout-problems","status":"publish","type":"post","link":"https:\/\/www.shortform.com\/blog\/self-checkout-problems\/","title":{"rendered":"Self-Checkout Problems Make Retailers Reconsider Kiosks"},"content":{"rendered":"\n<p>Are self-checkout problems worth the rewards? What negative impacts do they have on customers and employees? How do they harm businesses&#8217; bottom line?<\/p>\n\n\n\n<p>Following an expansion of self-checkout machines in stores during the Covid-19 pandemic, some retailers are reconsidering the kiosks. Many companies complain that they\u2019re not getting the bigger profits the machines initially promised\u2014but they are getting bigger problems.<\/p>\n\n\n\n<p>We&#8217;ll take a look at the downfalls of self-checkout kiosks below.<\/p>\n\n\n\n<!--more-->\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-the-cost-of-convenience\">The Cost of Convenience<\/h2>\n\n\n\n<p>Self-checkout machines rose in popularity during the pandemic, promising speed, convenience, and cost savings. But glitchy technology and swelling kiosk expenses have retailers questioning whether self-checkout problems are worth the rewards.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-background\"><strong>Background<\/strong><\/h3>\n\n\n\n<p>Self-checkout technology emerged in US grocery stores <a href=\"https:\/\/www.cbsnews.com\/sacramento\/news\/walmart-costco-and-other-companies-rethink-self-checkout\/\" target=\"_blank\" rel=\"noreferrer noopener\">in the late 1980s<\/a> as a labor-cost-cutting measure. In recent years the machines have become ubiquitous in major retail stores, their expansion fueled by <a href=\"https:\/\/apnews.com\/article\/selfcheckout-theft-labor-walmart-target-1a8a6da0291651815557316964d7f8f9\" target=\"_blank\" rel=\"noreferrer noopener\">Covid-19-driven labor shortages and Americans\u2019 desire to limit contact with staff<\/a>.<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Self-checkout machines accounted for <a href=\"https:\/\/www.wsj.com\/articles\/more-self-checkout-is-coming-no-matter-how-much-you-hate-it-11663112381\" target=\"_blank\" rel=\"noreferrer noopener\">30% of all US grocery store transactions in 2021<\/a>.<\/li><li>In 2022, 96% of 38,000 retailers surveyed offered self-checkout options.\u00a0\u00a0<\/li><\/ul>\n\n\n\n<p>But a growing number of retailers are reassessing their checkout strategies and <a href=\"https:\/\/www.fastcompany.com\/90995440\/self-checkout-is-awful-list-of-retailers-stores-scaling-back\" target=\"_blank\" rel=\"noreferrer noopener\">scaling back use of the machines<\/a>.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-self-checkout-machines-not-a-panacea\"><strong>Self-Checkout Machines: Not a Panacea<\/strong><\/h3>\n\n\n\n<p>Experts say that self-checkout kiosks are causing dissatisfaction among customers, workers, and retailers alike.&nbsp;<\/p>\n\n\n\n<h4 class=\"wp-block-heading\" id=\"h-poor-user-experience\"><strong>Poor User Experience<\/strong><\/h4>\n\n\n\n<p>Although some shoppers enjoy parts of the self-checkout experience, including <a href=\"https:\/\/www.theatlantic.com\/technology\/archive\/2023\/10\/self-checkout-kiosks-grocery-retail-stores\/675676\/\" target=\"_blank\" rel=\"noreferrer noopener\">perceived shorter wait times<\/a> and the ability to <a href=\"https:\/\/www.playusa.com\/americans-and-technology\/\" target=\"_blank\" rel=\"noreferrer noopener\">avoid awkward interactions with cashiers<\/a>, many are increasingly frustrated with the unmanned machines, citing problems including:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li><a href=\"https:\/\/www.usatoday.com\/story\/money\/2023\/10\/24\/self-checkout-good-bad\/71219910007\/\" target=\"_blank\" rel=\"noreferrer noopener\"><strong>Glitchy technology<\/strong><\/a><strong>.<\/strong><\/li><li><a href=\"https:\/\/www.cbsnews.com\/sacramento\/news\/walmart-costco-and-other-companies-rethink-self-checkout\/\" target=\"_blank\" rel=\"noreferrer noopener\"><strong>Barcodes that don\u2019t scan properly<\/strong><\/a><strong>.<\/strong><\/li><li><strong>Difficulty scanning common items, such as <\/strong><a href=\"https:\/\/www.cbsnews.com\/sacramento\/news\/walmart-costco-and-other-companies-rethink-self-checkout\/\" target=\"_blank\" rel=\"noreferrer noopener\"><strong>produce<\/strong><\/a>.<\/li><li>Encountering <strong>error messages that slow the process, <\/strong>such as \u201cunexpected item in the bagging area.\u201d\u00a0<\/li><li><strong>Having to call staff for assistance<\/strong> to address technological problems or <a href=\"https:\/\/www.cbsnews.com\/sacramento\/news\/walmart-costco-and-other-companies-rethink-self-checkout\/\" target=\"_blank\" rel=\"noreferrer noopener\">verify their age<\/a> to buy products like alcohol. <\/li><\/ul>\n\n\n\n<h4 class=\"wp-block-heading\" id=\"h-negative-impact-on-workers\"><strong>Negative Impact on Workers<\/strong><\/h4>\n\n\n\n<p>Workers also have concerns about self-checkout machines, including that they are:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li><strong>Taking human jobs.<\/strong> Self-checkout systems and online sales <a href=\"https:\/\/apnews.com\/article\/selfcheckout-theft-labor-walmart-target-1a8a6da0291651815557316964d7f8f9\" target=\"_blank\" rel=\"noreferrer noopener\">are primarily responsible for a decline in cashier positions<\/a>, which fell from roughly 1.4 million in 2019 to 1.2 million last year.<\/li><li><strong>Transforming cashier jobs in <\/strong><a href=\"https:\/\/www.businessinsider.com\/walmarts-anti-theft-technology-is-effective-but-involves-confronting-customers-2023-10\" target=\"_blank\" rel=\"noreferrer noopener\"><strong>undesirable ways<\/strong><\/a>\u2014turning them into attendant roles that focus on monitoring customer theft and assisting shoppers at the unmanned kiosks. <\/li><\/ul>\n\n\n\n<h4 class=\"wp-block-heading\" id=\"h-potential-harm-to-companies-bottom-lines\"><strong>Potential Harm to Companies\u2019 Bottom Lines&nbsp;<\/strong><\/h4>\n\n\n\n<p>Although retail executives initially viewed self-checkout machines as <a href=\"https:\/\/www.theatlantic.com\/technology\/archive\/2023\/10\/self-checkout-kiosks-grocery-retail-stores\/675676\/\" target=\"_blank\" rel=\"noreferrer noopener\">a means of lowering payroll costs<\/a>, the kiosks have proven more expensive than anticipated due to factors including:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li><strong>High upfront installation costs<\/strong>. Four kiosks cost an average of $125,000. <\/li><li><strong>Ongoing expenses related to machine maintenance<\/strong>.<\/li><li><strong>An increased risk of <\/strong><a href=\"https:\/\/www.cnn.com\/2023\/12\/08\/business\/self-checkout-dollar-general-retail\/index.html\" target=\"_blank\" rel=\"noreferrer noopener\"><strong>shoplifting and other forms of &#8220;shrink\u201d<\/strong><\/a>\u2014such as when customers inadvertently fail to scan an item or punch in the wrong code for a cheaper product.\u00a0<\/li><\/ul>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-looking-ahead\"><strong>Looking Ahead<\/strong><\/h3>\n\n\n\n<p>Experts say US retailers <a href=\"https:\/\/apnews.com\/article\/selfcheckout-theft-labor-walmart-target-1a8a6da0291651815557316964d7f8f9\" target=\"_blank\" rel=\"noreferrer noopener\">are at a crossroads with self-checkout machines<\/a>: If shoppers continue to show interest in the kiosks, companies will expand their use to cut <a href=\"https:\/\/www.shortform.com\/blog\/the-cost-of-labor\/\">labor costs<\/a>. However, at present, retailers are seeing growing customer frustration, higher expenses, and increased theft with the machines\u2019 expansion.<\/p>\n\n\n\n<p>As a result, <a href=\"https:\/\/www.fastcompany.com\/90995440\/self-checkout-is-awful-list-of-retailers-stores-scaling-back\" target=\"_blank\" rel=\"noreferrer noopener\">many large retailers are assessing and recalibrating their checkout strategies<\/a> to figure out what model will work best. For example:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li><strong>Walmart <\/strong>appears to be moving toward a <a href=\"https:\/\/www.businessinsider.com\/self-checkout-how-stores-changing-self-service-2023-11\" target=\"_blank\" rel=\"noreferrer noopener\">hybrid checkout model<\/a> that combines self-checkout and human cashiers.<\/li><li><strong>Target<\/strong> introduced a <a href=\"https:\/\/apnews.com\/article\/selfcheckout-theft-labor-walmart-target-1a8a6da0291651815557316964d7f8f9\" target=\"_blank\" rel=\"noreferrer noopener\">self-scanning limit of 10 items per checkout<\/a> in select stores to decrease customers\u2019 wait times at kiosks.<\/li><li><strong>ShopRite<\/strong> removed self-checkout machines from a Delaware store <a href=\"https:\/\/www.cbsnews.com\/sacramento\/news\/walmart-costco-and-other-companies-rethink-self-checkout\/\" target=\"_blank\" rel=\"noreferrer noopener\">following customer complaints<\/a>.\u00a0<\/li><li><strong>Amazon Go stores<\/strong> have taken checkout a step further with their <a href=\"https:\/\/apnews.com\/general-news-b242616659954f08966b1e68cd479444\" target=\"_blank\" rel=\"noreferrer noopener\"><strong>\u201cjust walk out&#8221; model<\/strong><\/a>, replacing individual item scanning with an entirely automated shopping experience. Shoppers simply enter the store, pick the items they want, and leave without needing to stop, scan, or pay\u2014and Amazon automatically bills their account for those goods.<\/li><\/ul>\n\n\n\n<p>Although a majority of Americans say they\u2019d <a href=\"https:\/\/www.playusa.com\/americans-and-technology\/\" target=\"_blank\" rel=\"noreferrer noopener\">choose a self-checkout kiosk over a human cashier<\/a>,<strong> 67% believe the shift from humans to machines is making it harder to have meaningful connections<\/strong>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Are self-checkout problems worth the rewards? What negative impacts do they have on customers and employees? How do they harm businesses&#8217; bottom line? Following an expansion of self-checkout machines in stores during the Covid-19 pandemic, some retailers are reconsidering the kiosks. Many companies complain that they\u2019re not getting the bigger profits the machines initially promised\u2014but they are getting bigger problems. We&#8217;ll take a look at the downfalls of self-checkout kiosks below.<\/p>\n","protected":false},"author":8,"featured_media":120476,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[45,31],"tags":[727],"class_list":["post-120475","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business","category-money","tag-articles","","tg-column-two"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v24.3 (Yoast SEO v24.3) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Self-Checkout Problems Make Retailers Reconsider Kiosks - Shortform Books<\/title>\n<meta name=\"description\" content=\"Self-checkout kiosks were supposed to make the shopping experience easier and cheaper. However, the problems are outweighing the rewards.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.shortform.com\/blog\/self-checkout-problems\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Self-Checkout Problems Make Retailers Reconsider Kiosks\" \/>\n<meta property=\"og:description\" content=\"Self-checkout kiosks were supposed to make the shopping experience easier and cheaper. However, the problems are outweighing the rewards.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.shortform.com\/blog\/self-checkout-problems\/\" \/>\n<meta property=\"og:site_name\" content=\"Shortform Books\" \/>\n<meta property=\"article:published_time\" content=\"2024-01-05T13:52:00+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2024-01-09T13:53:51+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/s3.amazonaws.com\/wordpress.shortform.com\/blog\/wp-content\/uploads\/2024\/01\/senior-woman-using-self-checkout.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1024\" \/>\n\t<meta property=\"og:image:height\" content=\"576\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Hannah Aster\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Hannah Aster\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/www.shortform.com\/blog\/self-checkout-problems\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/www.shortform.com\/blog\/self-checkout-problems\/\"},\"author\":{\"name\":\"Hannah Aster\",\"@id\":\"https:\/\/www.shortform.com\/blog\/#\/schema\/person\/f39f52830e4f7039a16e45d12354542f\"},\"headline\":\"Self-Checkout Problems Make Retailers Reconsider Kiosks\",\"datePublished\":\"2024-01-05T13:52:00+00:00\",\"dateModified\":\"2024-01-09T13:53:51+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/www.shortform.com\/blog\/self-checkout-problems\/\"},\"wordCount\":648,\"commentCount\":0,\"publisher\":{\"@id\":\"https:\/\/www.shortform.com\/blog\/#organization\"},\"image\":{\"@id\":\"https:\/\/www.shortform.com\/blog\/self-checkout-problems\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/www.shortform.com\/blog\/wp-content\/uploads\/2024\/01\/senior-woman-using-self-checkout.jpg\",\"keywords\":[\"Articles\"],\"articleSection\":[\"Business\",\"Money\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\/\/www.shortform.com\/blog\/self-checkout-problems\/#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.shortform.com\/blog\/self-checkout-problems\/\",\"url\":\"https:\/\/www.shortform.com\/blog\/self-checkout-problems\/\",\"name\":\"Self-Checkout Problems Make Retailers Reconsider Kiosks - Shortform Books\",\"isPartOf\":{\"@id\":\"https:\/\/www.shortform.com\/blog\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/www.shortform.com\/blog\/self-checkout-problems\/#primaryimage\"},\"image\":{\"@id\":\"https:\/\/www.shortform.com\/blog\/self-checkout-problems\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/www.shortform.com\/blog\/wp-content\/uploads\/2024\/01\/senior-woman-using-self-checkout.jpg\",\"datePublished\":\"2024-01-05T13:52:00+00:00\",\"dateModified\":\"2024-01-09T13:53:51+00:00\",\"description\":\"Self-checkout kiosks were supposed to make the shopping experience easier and cheaper. 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