Retail kiosks suck. They kinda suck for customers, and they definitely suck for workers. So why do companies turn to them?
One reason companies turn to them is the rising cost of workers. Indeed, as you can see from this, any time minimum wage goes up, kiosk promoters publish dreck like this:
You can see why retailers are tempted to get a kiosk or three. It would seem that at least for retailers, kiosks do not suck.
It might seem that way, but what is actually happening for retailers is shown in this piece: Retailers are pulling back from self-checkout after years of theft, errors, and questionable time savings. In short:
- Increased theft: Self-checkout has led to increased theft, both accidental and intentional, contributing to higher retail losses (a/k/a shrinkage).
- Reduced savings: Retailers must hire staff to monitor and assist customers at self-checkout lanes, reducing the expected labor savings.
- Longer lines: Shoppers often scan items slowly, make mistakes, or encounter technical issues, leading to longer lines and frustration.
- Slower checkout: Despite the promise of faster checkout, self-checkout often takes longer than traditional cashier lanes, especially for larger purchases.
- Unhappy customers: While some shoppers appreciate the convenience, others feel self-checkout is impersonal, difficult to use, or akin to “free labor.”
This is not to say kiosks are never good and employees are never bad, but the way I see kiosks used in retail spaces is all kinds of bad. (For the record, kiosks at airports are good. And Starbucks self service via an app is a much better customer experience than say the kiosks at fast food places like McDonald’s or Subway. As for grocery kiosks, they are among the worst.)
Here’s to retailers figuring out how to get the right combination of self service that results in happier customers and happier workers and ultimately happier retailers.
