Challenges for Retailers Selling to Younger Consumers
There are increasingly mixed views about self-checkout in stores. Many retailers are rolling out more self-checkout, but some are taking them out after negative feedback from customers.
A recent survey by Avery Dennison highlighted that young consumers born after 1996 would switch to grocery stores with faster self-checkout. Speed was the most popular reason for their preference and a number do not want to interact with people if they can avoid it. For many, their ultimate store has no staffed checkouts. If you are thinking about rolling out more self-checkout positions, look at your customer demographics and think about how your stock losses will be affected.
We reported recently on consumers who would switch buying online from retailers who introduce returns charges and young shoppers were more vocal about this. Couple this with people's attitudes to self-checkouts and this reinforces the notion that there are some customers you can lose and your profits will go up.
Good customer segmentation and better CRM implementations will help you do the right analysis strike a better balance between meeting consumers' wishes, and maintaining a profitable and sustainable business.
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Posted by Brian Hume
23rd February 2024
