Report • 21.03.2016

More than theft protection: The benefits of vending machines at the POS

Premium merchandise is efficiently protected and showcased

Vending machines are positioned behind the checkout area....
Vending machines are positioned behind the checkout area.
Source: beta-web/Mörs

Inventory differences are a big problem for all retailers. Clothing articles and jewelry are not the only items that are frequently being stolen – every supermarket also has small but premium merchandise in its product selection that thieves like to steal. Selling these products through automatic vending machines located behind the checkout area can deliver anti-theft protection. And this is not the only advantage these machines have to offer.

Razor blades, cigarettes, condoms or batteries are among those products that are most frequently shoplifted in a normal supermarket. They are small and able to simply disappear inside the trouser or coat pockets of thieves. Huge losses due to shoplifting of small but expensive items force many retailers to remove them from their shelves.

This is why many retailers now utilize a security solution where tobacco products are located directly at the checkout on a display shelf that needs to be manually opened by the cashier – the same usually also applies to razor blades. Even though it’s effective to protect merchandise this way, it actually means additional time and effort for employees who first need to give customers access to the products.

Vending machines can be a great solution. Not only do they provide additional security, they can also help to increase sales. They are set up behind the checkout counters – the customer picks up the merchandise from the vending machines after completing payment. Several Edeka retailers in Germany already use this kind of system by the Vensafe Company. 

For items such as razor blades, for example, it makes sense to display the...
For items such as razor blades, for example, it makes sense to display the product cards right at the respective category shelf.
Source: Vensafe GmbH

The customer gains access to a desired product through special product cards. Every plastic card features a special code and the product image or logo. They can be displayed in various locations at the store – depending on where the customer would also normally search for the product. The fact that cigarettes and tobacco products are only available at the checkout counter is something customers have gotten used to by now. That’s why a placement in the checkout area definitely makes sense. 

For other items such as razor blades, for example, it makes sense to display the product cards right at the respective category shelf. Customers intuitively are able to locate them in the respective product location on their way through the store. Once at the checkout, not the actual product but the card is scanned with which the customer then receives his/her merchandise at the vending machine. The consumer simply places the card under the scanner – and the vending machine automatically dispenses the right item.

A product selection is also possible via a touchscreen that can be set up in...
A product selection is also possible via a touchscreen that can be set up in the store.
Source: beta-web/Mörs

As an alternative to product cards, a product selection is also possible via a touchscreen that can be set up in the store. This allows retailers to offer a much larger selection of products in a small area. The advantage of a touchscreen is not just limited to the large variety of goods since it allows retailers to display all products in the vending machine. A touchscreen is also able to help in increasing sales by playing advertising messages or product recommendations. The customer is able to get an overview of the product choices and compare prices with the product cards or the touchscreen – essentially the same way he would with all other products but with an added level of security.

More space at the checkout counter and a better overview of inventory

For retailers, protecting premium products against theft will perhaps always be one of the main reasons for purchasing a vending machine. Another advantage is inventory reduction. Since product cards or touchscreens take up significantly less space than the respective products stocked in sensible quantities on shelves and since retailers can do without any setups at the checkout counter, – as is the case with cigarettes for example – they can use the space to showcase more low-cost impulse buy items.

Intelligent vending allowing customers to shop or pick up items on their own...
"Intelligent vending" allowing customers to shop or pick up items on their own even after business hours.
Source: beta-web/Scholze

In addition, the vending machine software can be directly integrated into the respective POS software, meaning all information about sales statistics and inventory is easily accessible. This type of vending machine system enables retailers to have a precise overview of sold items and lets them restock the vending machines when needed. Since they have a large capacity, – modern vending machines have room for up to 80 different products and 1,600 units in total – they generally need to be restocked less frequently than the respective spots in conventional shelves.

Vending machines also facilitate self-service after business hours

Aside from their use right in the store, vending machines still offer other opportunities for retailers to generate additional revenues. One example: today, many supermarkets feature an affiliated bakery that is usually already open during early morning hours and on the weekends – Sundays in particular – when the market itself is closed. In collaboration with the bakery, the supermarket is also able to sell smaller items such as bus tickets or cigarettes in the entrance area with a vending machine.

"Intelligent vending" technology offers another application. At EuroCIS 2016, Pyramid Computer introduced this type of solution. These "intelligent vending" modules are lockers that are operated with a smartphone, for example, allowing customers to shop or pick up items on their own even after business hours. The system is used in shopping centers or hotels as well as airports and train stations.

Author: Daniel Stöter, iXtenso.com

related articles:

popular articles:

Thumbnail-Photo: The iXtenso editors tested self-scanning ......
30.09.2019   #mobile payment #self-checkout systems

The iXtenso editors tested self-scanning ...

... with an app of the Hobbymarkt Knauber in Bonn, Germany

Snabble has developed a payment app that allows customers to scan their purchases in retail stores and pay online. I wondered: How does it work?The app is in use in the Bonn DIY and hobby market Knauber, among other places. Let’s make a move ...

Thumbnail-Photo: Pay cash? Via code!
26.08.2019   #mobile payment #app

Pay cash? Via code!

Shop online, pay the bill offline

Barzahlen.de relies on good old cash. The concept of the Berlin start-up: shop online, pay in cash at the store. Swimming against the trend of fast online shopping and mobile payment is paying off, says Weina Wang, Head of Retail. In an interview, ...

Thumbnail-Photo: App creates personalised shopping experience...
26.08.2019   #mobile payment #app

App creates personalised shopping experience

The Swiss trading company Valora is opening its first cashless convenience store

The goods are chosen, scanned and paid for using the avec smartphone app. Mobile computer vision specialists Scandit’s scan engine is a key component of the customer-facing app. The future of shopping - whether online or offline - is ...

Thumbnail-Photo: Introducing a new, powerful mobile POS in Posiflex’s MT series...
25.06.2019   #epos systems #cashpoints

Introducing a new, powerful mobile POS in Posiflex’s MT series

MT-5310W from Posiflex combines the mobility of a tablet with the functionality of a fixed POS terminal. .

Today’s customers have higher expectations than ever when it comes to service. To meet and exceed customers’ ever-growing expectations, Posiflex is pleased to present MT-5310W, the latest addition to the popular MT series: a hybrid ...

Thumbnail-Photo: Silver Surfers: Older adults ride the wave of mobile technology and shop...
01.08.2019   #online trading #e-commerce

Silver Surfers: Older adults ride the wave of mobile technology and shop online

The increasing importance of e-commerce for senior citizens

You are wrong if you think it’s mostly young people who spend time online. Older adults are also increasingly embracing online shopping with enthusiasm.In this interview, Spencer Hinzen, Director of Sales, Central Region, Ruckus Networks, ...

Thumbnail-Photo: Well cooled shopping entertainment, please!
15.07.2019   #refrigeration cabinets #refrigerated counters

Well cooled shopping entertainment, please!

What about modern refrigeration technology?

Pierluigi Schiesaro and Gian Paolo Di Marco from Arneg, a company focusing on food service equipments, talk about refrigeration systems as "shopping entertainment".They also tell us what sustainable refrigeration could look like and why ...

Thumbnail-Photo: Smart meters: Be proactive and reap the benefits...
12.08.2019   #energy optimization #electrical installation

Smart meters: Be proactive and reap the benefits

The Metering Point Operation Act calls for smart meter rollout

The black and analog electric meter box has become obsolete: The mandatory smart meter rollout will commence in a few months. What does the installation of digital, smart electric meters mean for retailers and chain stores? ...

Thumbnail-Photo: Mobile payments at the supermarket checkout
05.08.2019   #mobile payment #smartphone

Mobile payments at the supermarket checkout

An early adopter’s experience of mobile payments

Or: "What’s that you’re doing with your watch?“I still remember the first time I used mobile payment technology and paid for items with my smartphone at a supermarket checkout: It was October 17, 2018, exactly seven days after ...

Thumbnail-Photo: Tackling organized retail crime with video analytics...
26.06.2019   #video surveillance #digital video surveillance

Tackling organized retail crime with video analytics

Inpixon joins forces with National Anti-Organized Retail Crime Association

Inpixon, an indoor positioning and data analytics company, announced it is collaborating with the National Anti-Organized Retail Crime Association (NAORCA Worldwide) to combat retail crime by providing a free 90-day trial offer for IPA Video™ ...

Thumbnail-Photo: Retail service robots – helper or footfall generator?...
22.07.2019   #pos marketing #services

Retail service robots – helper or footfall generator?

Using drag and drop to train the new coworker

Many of us know their faces, even if we have never met them in person. One of these faces belongs to Pepper, the humanoid robot. It has fast become a media star. ...

Supplier

Permaplay Media Solutions GmbH
Permaplay Media Solutions GmbH
Aschmattstr. 8
76532 Baden-Baden
Delfi Technologies GmbH
Delfi Technologies GmbH
Landgraben 75
24232 Schönkirchen
Superdata GmbH
Superdata GmbH
Ruhrstr. 90
22761 Hamburg
APG Cash Drawer
APG Cash Drawer
4 The Drove
BN9 0LA Newhaven
iXtenso - Magazin für den Einzelhandel
iXtenso - Magazin für den Einzelhandel
Celsiusstraße 43
53125 Bonn