4 Myths About Frictionless Checkout… Debunked!

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4 Myths About Frictionless Checkout… Debunked!

Considering implementing a frictionless checkout solution but feeling skeptical about its benefits? We’re debunking the top 4 myths to ease your mind.

Are you skeptical about frictionless checkout? You’re not alone! As frictionless checkout continues to gain popularity, myths about the technology have emerged.  People often assume that shoppers would prefer to make purchases with the help of a store associate or that frictionless checkout will lead to smaller basket sizes and increased theft.

Both of these assumptions are wrong.

In fact, 60% of today’s shoppers prefer cashierless checkout over cashier-assisted checkout and 66% report they would spend more if their purchasing experience was more convenient.

In this blog, we debunk four common myths about frictionless checkout to help you understand what it is and how it can benefit your business. Whether you’re looking to transform a current convenience store, concessions at a stadium, travel mart, or build a brand new autonomous store from the ground up, this blog is for you.

Myth #1: Frictionless Checkout is Only for E-Commerce Stores

When people think of frictionless checkout, they often think of the ease of shopping online. Autofilled contact and address information alongside auto-populated credit card information reduces friction in the e-commerce checkout process, that’s for sure. But while frictionless checkout is often associated with online shopping, physical stores can also benefit from frictionless technology.

A camera-only frictionless checkout experience allows shoppers to purchase items in-store without having to wait in line, stop to scan or pay. With autonomous store solutions:

  • Shoppers can enter the store quickly with their credit card (or an app)
  • AI-powered computer vision begins anonymized shopper tracking and recognizes products taken
  • Shoppers can head home completely checkout-free with receipts sent via email or SMS

The shopping experience? Better than ever.

Myth #2: Frictionless Checkout Only Works for Large Retailers

This myth couldn’t be further from the truth. Frictionless checkout technology is flexible and scalable, which means it can be implemented by businesses of all sizes. As a bonus, it doesn’t require a huge investment. In fact, it can actually lower operational and labor costs.

Not to mention, labor shortages are at an all-time high, which is a pang for businesses of any size. According to the 2023 U.S. Chamber of Commerce data center, “There are 9.9 million job openings in the U.S., but only 5.8 million unemployed workers.” Even if “every unemployed person in the country found a job, we would still have more than 4 million open jobs.”

Frictionless checkout technology allows businesses of all sizes to navigate the labor shortage and achieve goals with limited resources by:

  • Automating critical but resource-intensive tasks
  • Combatting labor shortages by requiring less workforce
  • Optimizing operational processes such as inventory and planogram management

Check out our case studies illustrating AiFi’s frictionless checkout technology at varying company sizes and verticals, including:

Myth #3: Stores that Offer Frictionless Checkout Require Customers to Use an App (Only) to Make Purchases

While some frictionless checkout options require an app to enter the store and make a purchase, others don’t. The best solutions offer both options, so retailers can choose the one that works best for their business and customers.

For example, AiFi’s autonomous stores accommodate many different points of entry, including gates, doors, turnstiles, and an app or credit card. This allows retailers to customize the layout and functionality of their frictionless checkout technology to integrate seamlessly with their current payment applications or point-of-sale systems.

Take a look at the AiFi-powered autonomous store at the University of Denver. In the video, you’ll see step-by-step, how a shopper can enter the store, simply scan the university’s app upon entry, take the items they need off the shelf, and walk out of the store without having to stop to pay.

Additionally, check out the shopper experience at Leicester City Football Club, where fans are now able to tap their credit card upon entry. Any item they choose from the store automatically gets charged to their card once they walk out of the store.

Myth #4: Consumers Don't Want to Use Cashierless Checkout

While there are still some consumers who prefer a traditional checkout experience, many are embracing frictionless checkout as a way to save time and avoid long lines. As stated earlier in this article, 60% of today’s shoppers prefer cashierless checkout over cashier-assisted checkout.

According to PwC, 42% of shoppers want to and/or prefer to use self-checkout kiosks. In addition, 34% of shoppers want to leverage “scan & go” devices and apps to bypass long checkout lines. The proof is in the data. Today’s customers are actively seeking cashierless and frictionless checkout options. In fact, these customer demands are driving the increase in autonomous stores. It’s true! The number of autonomous stores worldwide is expected to grow to 12,000 by 2027.

Final Thoughts

If you’re still skeptical about frictionless checkout, it’s time to reconsider. Embrace the possibilities and explore how this technology can enhance your business, whether you’re retrofitting an existing store or building a new one.

The future of shopping is frictionless, and the benefits for both businesses and customers are clear. Embrace the wave of innovation and stay ahead of the competition with AiFi’s frictionless checkout solutions. Get in touch with us to learn more.

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