Industry TalkRegular Industry Development Updates, Opinions and Talking Points relating to Manufacturing, the Supply Chain and Logistics.
Morrisons trialling stores without tills
Just walk out stores are a natural progression of the changes we’ve already seen in retail. Stores have moved from all staffed tills to self-checkouts, and more recently, scan on the go. Considering the stages of this evolution so far, it’s clear that ‘just walk out’ will be the future.
With Morrisons now testing out the concept, following Tesco’s first-ever cashless store earlier this year, it seems the transition to ‘just walk out’ models is being led by the Big 4. This is not surprising, given their ability to make significant technology investments, and sheer store format size and overall product density on the shelves. However, this model is far more suited to the high street stores owned by the Big 4, rather than their large superstores.
For now, the main clientele continues to be curious shoppers and tourists. The overall economics of store operations are still in question, given the reduced product range, high rental costs, and significant technology investments required. ‘Just walk out’ will likely remain in a trial period for the next few years, before we start to see mass rollouts. Beyond technology, leaders will be paying close attention to store profitability before putting money behind this innovation.