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Self-checkout: $ risk, prevention, & choice

NCR has done a study on self-checkout loss prevention. Self-checkout introduces another avenue for loss prevention - but it can be mitigated with a smart loss-prevention strategy specific for SCO.


Here are some numbers to illustrate the point:

  1. For every 1% of sales transaction through self-checkout, you can expect about 0.44 basis points (0.044% or n * 0.00044) of additional loss.

  2. If 100% of all transactions are done through self-checkout, under the same assumption, loss could account for 4.4%.

  3. For example if monthly sales is $100,000 then loss impact would be $4,400.

Here are some ways to lower that percentage.


  1. Self-checkout Supervisor - 6 is the max number of self-checkout kiosks one person is expected to be able to manage

  2. Customer engagement, eye contact, presence

  3. Awareness of risk

Conclusion:

It's ultimately a decision the store must consider as self-checkout options are no longer a factor of just convenience, but also a draw for more customers. If one person is capable of handling 6 lanes at the same time, is it worth the loss?

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