The Minneapolis based mega retailer rolled out its checkout rule at more than its 2000 locations on March 17 after an express self service pilot program at 200 of its branches proved that it was twice as rapid and more efficient.
Target is not the only retailer with changes at self checkout counter. Few Walmart stores have restricted self checkout kiosks to delivery drivers and Walmart subscribers. Costco has initiated screening membership cards in its lanes after an uptick in card sharing.
Dollar General is removing its machines in hundreds of stores.
A recent study by Dexel University researchers published in Journal of Business Research found that guests felt more likely to revisit a store after using traditional full service checkout.
It has a huge impact on customer loyalty.Regular checkout improves customer loyalty to store as customers feel more rewarded feel like they were treated more valuably the study found.
Target changes follow retail giant September 2023 announcement that it would shutter 9 stores in cities across 4 states including Oregon, Portland, Seattle and San Francisco, due to theft and organized retail crime.
“We are opening more traditional lanes staffed by our team members across all our stores for guests who have more in their Target cars need a hand or enjoy connecting with our team to assist them get on their way sooner. We are continuing to invest in traditional training to ensure that our teams can continue to provide guest service during checkout”. statement released
Loss of inventory mostly due to fraud, theft and human error has become a mega problem nationwide in the past few days costing businesses $112.1 billion in losses in 2022 alone up from $93.9 billion in 2021 per National Retail Federation.
Lending Tree survey of 2000 us customers about 15% have used self checkout to steal an item with 44% of them saying they would do it again.
Store managers will have the flexibility to open more staffed lanes and set self checkout hours that are good for their location. Express Self Checkout will be available during the store busiest shopping times.
Despite some retailer and customer complaints about self checkout technology is entrenched in retail store operations. There is some opposition to self service POS the cost and efficiency effectiveness can be overlooked.
According to expert the future holds a hybrid moder where traditional systems with self service POS co exists.
The change was in response to end of pandemic during which customers preferred a contactless option, the company added.
Target expressed it start piloting 10 item or less self checkouts last fall and decided to implement with a nationwide rollout based on the reply.
