The Popularity of Self-Checkouts
Technically, self-checkout registers have been around since the 1980s, though they became more popular at the start of the 2000s.
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And during the COVID-19 pandemic, when people were being asked to stay at least six feet apart, stores around the country added hundreds of these automated registers to ensure health and safety protocols were followed.
Dollar General’s Big Decision
However, CEO of Dollar General, Todd Vasos, announced at the end of 2023 they would be removing self-checkout registers from their stores in the coming months.
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Vasos explained, “We had started to rely too much this year on self-checkout in our stores. We should be using self-checkout as a secondary checkout vehicle, not a primary.”
Dollar General Isn’t the Only One
And Dollar General isn’t the only company moving away from self-checkout counters. In fact, big names such as Walmart, Costco, and Wegmans are doing the same.
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And there are several reasons why this system simply doesn’t function as well as retailers had initially hoped.
What’s the Problem with Self-Checkouts?
Essentially, there are three major issues with self-checkout registers; they require just as much staff as standard checkouts, customers find them challenging to use, and theft is extremely common.
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The first issue to address is the staffing problem as, originally, companies believed self-checkouts would cut down on labor, but that has not proven to be the case.
Employees Are Needed at Every Self-Checkout Station
Costco has noticed this problem as the retailer works tirelessly to cut back on costs in order to offer the lowest prices on their products.
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They assumed that self-checkout registers would save the company money in the long run with less employees working the registers. However, they’ve realized employees are needed at every self-checkout register to help customers with the finicky machines and finding products that won’t scan.
Self-Checkouts Actually Require More Staff than Regular Registers
In fact, it seems that between having employees reading to help facilitate the machines, check receipts, and meticulously watch security tapes, the self-checkout counters have made more work instead of less.
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Walmart has even had to invest in specialty devices to check for theft, which has cost the company money it wouldn’t have had to spend by using employee-run registers.
Many Customers Don’t Like Using Self-Checkout
Another major problem is that many customers, especially those who are older or have children with them, find the self-checkout registers frustrating.
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Between not being able to find barcodes, machine malfunctions, and bagging station issues, retailers have noticed that many customers prefer registers with qualified employees instead.
People Prefer an Expert Hand
At first, customers assumed that using a self-checkout machine would mean getting through the process faster, but many have realized it actually takes longer.
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And that’s because customers don’t understand the machines or know the products like employees do. Most people now agree that having a trained employee facilitate the checkout is faster, more convenient, and overall a better experience.
Walmart Noticed a Significant Increase in Theft
Many retailers, including Walmart, noticed a significant increase in theft since installing the self-checkout counters.
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It’s simply too easy for customers, some who would have never thought about stealing before, to place an item in their bag without scanning it.
Some Customers Are Now Afraid to Use Self-Checkout Counters
Because of this increase, stores like Walmart have started cracking down and watching via security cameras to ensure customers aren’t stealing at self-checkout counters.
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However, it then seemed that honest customers who simply made a mistake while using the machines were being charged with theft. So now, many are skipping the self-checkout line and heading to an employee-run register to ensure they don’t get wrongfully accused.
Self-Checkouts Are on the Way Out
The general feeling among retailers now is that it was a failed experiment, and for all of these reasons, they will be returning to standard registers.
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Phil Lempert, a food industry analysis, gave his take on the matter saying, “I think we are going to see the demise of self-checkouts very soon.”