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IBM Self Checkout

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The goal
Meet growing demand for fast self-service
IBM Self Checkout offers you the ability to give your customers choice and speed—two of the most important elements for today’s retail consumer. It can also help reduce labor costs, improve operations and productivity, and increase revenue. Simultaneously serve more customers and operate your front end more efficiently. Reallocate labor hours from cashier activities to other in-store tasks.

The advantage
A proven retail track record
IBM has a strong track record of working closely with retailers to deliver comprehensive services and best-of-breed technology to meet the unique needs of our clients. IBM Self Checkout is built on this foundation. We have:
  • More than 30 years of retail industry experience around the world.
  • Nearly two million IBM Point of Sale terminal installations worldwide, processing 1,000 transactions per second, 24x7.
  • A global network of IBM Business Partners in the retail industry.

The benefits
Transform the shopping experience
Self checkout sales continue to rise, according to “Market Study: 2007 North American Self-checkout Systems.” In 2006, consumers spent more than US$137B on self checkout transactions at retail stores, up 24 percent over 2005. What’s more, self-service solutions are paying off for retailers. Retailers that have embraced self-service technologies are enjoying a decrease in labor costs and improved customer service.
  • IBM Self Checkout can help you enhance the customer experience, streamline operations and reduce shrink.
    • Keep more lanes open throughout the day to reduce wait time for all customers—not just those who prefer self-checkout.
    • Maintain productivity and throughput during off-peak and busy periods with systems that can handle virtually any size order.
    • Increase the number of available lanes without occupying valuable additional space—four full-lane self-checkout options typically fit into the same space as three conventional lanes.
    • Avoid theft with both weight and dimension verification capabilities to help ensure the correct items are being scanned.
    • Reduce front-end cashier error—a major contributing factor to inventory shrink—and increase productivity by appointing one employee to oversee several self-service lanes.

The approach
Self-checkout success for Mercator in Slovenia
Slovenian retail group Mercator implemented IBM Self-Checkout solutions to improve in-store traffic flows, speed checkout and increase customer service and loyalty.

In Slovenia Mercator services 1,134 stores and restaurants, with some shoppers even coming twice a day. To optimize checkout flows and adapt to fluctuating customer numbers, the company installed IBM Self Checkout systems. One of the advantages Mercator found with IBM Self Checkout was its technological configuration that accepts both full and express size orders, which allows all retailers to leverage the benefits of self checkout systems.

The portfolio is designed to offer faster, more reliable and adjustable cashiers that are easy to use. The software was successfully tuned by IBM in Raleigh, NC, U.S. and local IBM Business Partner, Mikropis.

The financial advantage
Realize a rapid return on investment
According to “Market Study: 2007 North American Self-checkout Systems,” a recent study by the IHL Consulting Group, 98 percent of respondents have used self checkout, almost 50 percent have used it more than five times in the previous year, and 72 percent have readily accepted the technology in the marketplace without any negative connotations.

According to Gartner, ROI for self-checkout systems typically occurs within 12 to 18 months. We can help you realize a rapid return on investment with IBM Self Checkout.
  • Reduce labor and training costs by appointing one worker to oversee multiple checkout registers.
  • Increase revenue by speeding up the shopping experience to reduce the number of frustrated customers leaving in a hurry.
  • Decrease shrink by reducing manual errors or intentional “sweetheart” giveaways.

Next steps
 
Questions about this solution? Contact an IBM retail specialist.



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