The next generation of price labelling in retail
Self-checkout via app, autonomous shopping and AI-controlled systems - the retail sector is on its way to becoming staff-independent. A necessity in view of the shortage of skilled labour. The right technologies for autonomous stores are available and are actually being tested by all serious retailers. From regional 24/7 village shops based on trust to complex smart stores, there are already a wide variety of store concepts in Germany that could replace the traditional way of shopping in the future.
For this blog article, we have taken a closer look at a few examples of concepts for autonomous shopping in the Baden-Württemberg region. We also look at the advantages and challenges of realising autonomous stores.
Concept autonomous store: The most important facts at a glance
- An autonomous store requires no (or significantly fewer) staff, as all work steps are automated.
- Autonomous supermarkets and stores create a smooth and significantly faster shopping experience for customers.
- The use of modern technology enables efficient customisation to different locations, products and customer requirements.
- The first autonomous stores from smaller and larger providers such as shop.box, Rewe, Aldi Süd and Amazon are already proving very popular with customers. The response in the stores has been overwhelmingly positive.
Autonomous shopping: Examples from practice
Autonomous shopping is no longer a dream of the future, but has already been put into practice at some locations. Below we have taken a closer look at some autonomous stores in the retail sector in the Baden-Württemberg region.
shop.box: an autonomous store with consumer goods
The futuristic-looking shop.box is located on the educational campus of the Dieter Schwarz Foundation in Heilbronn and provides students with snacks, drinks and other everyday items around the clock. The shop does not require any staff: All you need to enter and make purchases is the shop.box app on your own smartphone, where you log in with your student ID. Using camera and sensor technology as well as artificial intelligence, the system records customers' movements, recognises the removal of items from shelves and generates a digital shopping basket. Payment in the autonomous store is then made automatically when leaving the shop using the payment method stored in the app - without the need for a checkout.
küblerGo: the autonomous supermarket
The autonomous 24/7 Pick&Go supermarket küblerGo, which aims to turn shopping into an experience for its customers in Stuttgart with the help of digital technology, is pursuing a similar concept. Here, too, admission and payment are carried out via a dedicated app on the smartphone. Cameras, sensors and artificial intelligence then recognise the customer and what they take from the shelf - at least that's how it should work in the future, as customers currently still have to scan and pay for their purchases at a self-checkout terminal. However, KüblerGo is working flat out on the implementation of systems to be able to offer a truly autonomous supermarket on site.
Roberta Goods: Order screens & automated warehouses
In contrast, the fully automated and cashierless convenience store Roberta Goods in Stuttgart works with ordering screens. Customers can add individual products to their shopping basket at any time using the touchscreens and make cashless payments. The automated warehouse in the background then assembles the products until the order can finally be taken by a dispenser. Some products such as coffee, bread, fruit and vegetables are located in the vestibule for self-service and can be selected by the customer, scanned via a scanner on the order screen and added to the digital shopping basket of the customer service centre. autonomous stores can be added.
Tante-M: 24/7 stores for rural areas
The Tante-M village shops are designed for rural areas and stock many regional foods in addition to everyday items. As the shops do not require sales staff and can therefore remain open around the clock, they are worthwhile even when customer traffic is low. Customers scan their purchases themselves at a self-checkout till and then pay without cash. The concept requires a high level of trust - anyone can enter the autonomous store and it is only monitored by a few cameras.
tegut... teo: Solution via app or self-scanning checkout
The modern teo supermarket is also designed for 24/7 operation and its special architecture immediately catches the eye. Customers can either download the tegut... teo app for access and shopping or use their debit card. Users of the app can scan their products while shopping, while all other customers can also do this at the self-scanning checkouts. Payment in the autonomous supermarket is then cashless and without waiting time, also via the digital self-scanning checkouts with touch displays.
Technological background - The right technology
In addition to the store concepts presented here, there are many other concepts that basically all have one thing in common: The use of modern, digital technologies. For example, it can be observed that almost all stores - whether those presented above or major players such as Rewe, Aldi Süd or Amazon - are equipped with electronic price labels (ESL) to be able to implement price labelling quickly, inexpensively and easily. Without the need for staff and remotely. All autonomous stores offer contactless payment and are equipped with an extensive camera system. On the one hand for security reasons, but also for the allocation of goods to the customer. The more autonomous the store, the more cameras there are. However, the use of apps for Scan & Go and the integration of online stores are also promising approaches.
The PRESTIGEenterprise software offers the right technological basis for this and enables retailers to implement their price labelling and advertising communication profitably in the store concepts of the future. Digital signage solutions such as information terminals, checkout systems with touchscreens, digital shelves and ESL connections are already among the output media that can be easily controlled and played with PRESTIGEenterprise. But also mobile solutions such as Scan&Go systems can be realised with the help of PRESTIGEenterprise. The technologies of Online-Software AG offer optimal conditions for opening autonomous stores and implementing reliable, harmonised systems.
Conclusion on the use of artificial intelligence for shopping
Our impression is that many of the existing store concepts have sustainable approaches and largely work. However, there is still a lot of testing going on and the technologies are being further developed to enable seamless shopping. The 24/7 product availability in the autonomous stores is particularly popular with customers. In our view, however, there are still some challenges that shops will have to continue to deal with in the future: Theft is a present issue despite camera surveillance. To what extent can the retail sector counteract this, for example by restricting access? How high are the costs of (more) theft really and are these relativised by reduced personnel costs? How do you deal with the major issue of data protection with so much surveillance in autonomous stores around? To what extent can the shopping experience be improved with the data from the cameras? Keyword: personalised customer approach on the screen. It is clear that price and advertising communication in these markets can be raised to a new level. We are excited to see how quickly our German retailers react to the new opportunities.
FAQ: Frequently asked questions about autonomous stores
What characterises an autonomous store?
An autonomous store is a retail shop that relies largely or completely on automated technologies and systems to facilitate the shopping process for customers. No human employees need to be directly present. These shops utilise various technologies such as sensors, artificial intelligence (AI), machine learning, cameras and the Internet of Things (IoT) to automate the entire shopping process.
Customers can buy items such as food in autonomous shops and complete the payment process without the need for traditional checkouts or human cashiers. Technologies such as apps or sensors automatically take care of the payment process.
A well-known practical example of autonomous stores is Amazon Go. Here, the so-called "Just Walk Out" concept is used, which enables a completely checkout-free shopping experience. Customers pick up the products they want to buy and simply leave the shop. The technology recognises which products have been taken and automatically charges the amount.
What advantages do autonomous stores offer?
- Convenience and speed: Customers can select products and leave the shop without having to queue at the checkout. This saves time and makes shopping faster and more convenient.
- Reduced costs: By using automated systems, business owners can reduce labour costs and still increase the efficiency of their operations.
- Scalability and flexibility: Autonomous store concepts can be adapted relatively easily to different locations and business environments. They therefore guarantee a high degree of scalability and flexibility and can react to changes in the market accordingly.
- Innovative edge: Companies that open autonomous stores now can position themselves as pioneers in the industry and drive innovation in retail.
What challenges are there when implementing autonomous stores?
- Technological complexity: The integration of various technologies such as sensors, cameras, AI algorithms and IoT devices requires a complex infrastructure that must be reliably synchronised with one another.
- Maintenance: The technology in autonomous stores requires regular maintenance to avoid breakdowns. In order for the systems in the store to function smoothly, they need to be checked regularly.
- Customer acceptance: Not all customers are ready to embrace new, automated shopping experiences. People with little media and technical expertise in particular need to be convinced and taken by the hand.
Online Software AG is your competent partner for the realisation of autonomous stores. With our POS marketing software we also offer you numerous effective options for advertising communication at the point of sale.
The authors
Sandy Heinzmann & Leah Knebel