Are Self-Checkouts on the Way Out?

The news that supermarket chain Booths is removing all its self-checkouts and replacing them with manned tills has cast doubt on the future of the self-checkout in general.

The northern supermarket chain made the announcement as part of its ongoing renovation programme. A traditional high-end supermarket, Booths says it’s making the change to ensure a “warm northern welcome” for shoppers.

Self-checkouts

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How popular are self-service checkouts?

From having a welcoming shopfront to well-stocked shelves and a tidy shop interior, the whole customer experience needs to be a pleasant one to retain trade.

For many, long queues at supermarket checkouts are a source of frustration. On busy days, the sight of an abandoned trolley or basket of shopping in an aisle is a familiar one.

Self-scan checkouts are aimed at reducing queues and have the added bonus of saving the retailer money in terms of the number of checkout staff they need to employ.

Booths is bucking the trend in a sector when increasing numbers of retailers are introducing self-service checkouts.

In 2022, Tesco abolished manned checkouts from many of its larger stores, replacing them with more self-service tills.

Even historic retailer M&S has joined the modern trend by adding 800 self-service checkouts to a number of its stores, mainly to cut costs.

Budget high street clothes retailer Primark has also been introducing self-service, so it’s not just supermarkets.

The number of UK supermarket self-checkout machines has rocketed from 53,000 to 80,000 during the past five years, according to recent statistics supplied by RBR Data Services.

 

Why is Booths removing self-scan checkouts?

Booths is certainly going against the grain, but the chain insists its decision to scrap self-service checkouts has been made in response to customer feedback.

Bosses say having staff serving shoppers directly is “delivering a better customer experience” in general.

However, industry expert Andrew Rigby, founder of Retail Reflections, says Booths is “quite niche” and has “slightly different” needs compared with supermarkets and grocers based in large city centres.

Basically, in the larger supermarkets, there is a need to get customers through the checkouts as fast as possible.

For example, a customer rushing in to grab a drink and snacks for a train journey would prefer to dash through the self-scan checkout, rather than joining a queue full of shoppers with loaded trolleys.

However, a luxury supermarket such as Booths needs to appeal to its customers, who expect an upmarket shopping experience.

 

Pros and cons of self-service checkouts

Booths is one of the UK’s high end supermarkets and as such, it’s easy to see why the brand is trying a different approach.

If its market research is accurate and manned tills appeal to most customers, this change will suit people on specific shopping missions.

A faster checkout experience, especially for customers with only a couple of items, is one of the major benefits of self-service.

However, elderly customers doing their weekly shop may prefer the personal services of a checkout operator scanning their purchases, instead of having to deal with barcodes and the associated blips themselves.

The phrase, “Unexpected item in the bagging area,” must surely be the scourge of every shopper using self-scan tills. Waiting for a member of staff to come over and sort out the issue can negate the whole purpose of having a faster self-scan system.

 

Is shoplifting a factor?

Retail crime is on the rise, so analysts have suggested shoplifting might have played a role in Booths’ decision.

When the self-scan system was introduced, various AI tech was put in place to combat shoplifting.

This includes weighing each item as it’s placed in the bagging area, so the shopper can’t proceed if an anomaly is detected. A staff member needs to come over, check everything is as it should be and clear the system before the sale can continue.

Although Booths is remaining tight-lipped on whether an increase in shoplifting has influenced its decision, speculation has continued among retail organisations.

While AI has become smarter in recent years, including taking random photographs of some items as they are scanned so a member of staff can check the labels haven’t been swapped, no system is infallible.

There has reportedly been a rise in what the media has dubbed “middle class shoplifting” during the economic crisis of 2023. The demographic usually associated with shoplifting has traditionally been the poorest sectors of the community. However, according to M&S chairman Archie Norman, shoplifting has started “creeping in” among the middle classes as the financial crisis starts to bite.

He has speculated that this might be a factor influencing Booths’ decision, although not the ultimate deciding factor.

 

Sign of things to come?

With a reduction of staff in shops, Norman believes a small backlash against self-service may have begun, citing a general dissatisfaction when items don’t scan properly, or the system crashes mid-transaction.

Analysts at Global Data say the misuse of self-checkouts in supermarkets has become an issue for many retailers, although Booths has not publicly acknowledged this.

Undoubtedly, other supermarkets will be keeping a close eye on how they fare with their new staffed checkouts, as it could be a sign of things to come. Personally, I do like dealing with people, not machines!