Scan-and-Pay • 03.01.2019

The new connection: Mobile payment via electronic shelf labels

Interview with Alexander Hahn from digital payment service provider Wirecard

It’s a customer’s dream: no more waiting in line at the checkout counter. At this point, consumers can already scan their purchases with their smartphones, pay and leave the store. Wirecard collaborates with SES-imagotag and makes this an option using unique new features of electronic price labels (ESL) and an e-commerce inspired payment process.

Alexander Hahn, Vice President POS Retail Solutions at Wirecard describes the added benefits for the retail sector and illustrates how this process works.

Scan-and-Pay: An e-commerce transaction in a brick-and-mortar retail setting (Alexander Hahn)
Alexander Hahn; copyright: Wirecard
Alexander Hahn
Source: Wirecard

Mr. Hahn, you are now offering a scan-and-pay solution via ESL. How does Scan and Pay work?

When customers point their smartphones at the ESL, it sends product information such as price, ingredients etc. to an app or web URL. Customers then decide whether they want to purchase the item or not. If they do, they can use this as a mobile checkout.

This enables a “seamless checkout“. What is the benefit of that?

A survey revealed that 21 percent of customers are not in the mood to stand in line at the brick-and-mortar cash register after they decide on an item. Our seamless checkout solves this problem.

Which types of labels can you support?

We distinguish between the conventional electronic shelf labels customers would find at MediaMarktSaturn, and the smaller labels that are directly attached as tags on fashion and clothing items.

How do retailers make sure customers don’t leave with items they haven’t paid for yet?

Once the customer has paid and the transaction has been authorized and accepted, it is confirmed with a push notification via the app. Customers can show this text when they leave the store. This allows retailers to perform random checks at the door. Fashion retailers often prefer to reuse the tags. They can be removed at the exit in a fast lane for example.

Smartphone scans an electronic price tag; copyright: iXtenso/Kuhlow...
Source: iXtenso/Kuhlow

What are the added benefits of this technology in terms of customer interaction?

This process is quick and convenient for customers, allowing them to also earn points and discounts thanks to coupons or loyalty programs. We can now also include value-added services such as couponing, personalized offers, and other product suggestions. If the customer scans a tag at a fashion retailer, the app can display: "Hello Thomas, you chose this suit. We suggest this white shirt and brown shoes that would complement your outfit.” Needless to say, the customer must opt-in when he logs in to the app and confirm that his data may be used for these purposes. The app also features the customer’s purchase history.

How can retailers utilize the data the app has generated?

Retailers benefit because they are able to see the success of coupon promo codes or campaigns via the conversion rates. Once an article has been paid, the app also sends a message to the ESL and simultaneously connects to the linked retail inventory management system. Retailers are able to view inventory changes in real-time.

How can this data be processed?

We developed our Data Analytics Suite to accommodate a special use case. This enables retailers to analyze the data we collect, answering questions like how often the customer visits the store, what items and colors he prefers, whether the customer is male or female and his/her age. This allows retailers to tailor and manage their campaigns accordingly.

Scan-and-Pay combines ESL with your payment solution and value-added services. How did you come up with this idea?

We realized that the technology has advanced to the point where it allows us to unite the electric shelf labels and payment options as is the case in e-commerce. Together with our partner SES-imagotag, the global leader in ESL, we are already implementing the solution in several pilot projects throughout Germany and the DACH region (Germany, Austria, and Switzerland). We are essentially able to apply it wherever we have an e-commerce license agreement.

Where do you see the biggest advantages of the new features?

Retailers have a hard time attracting more customers to their stores. Our solution comes very close to an online store experience. And even though this is a digital process, it enables customers to try on and touch a suit, which is not possible when they shop online.

Inga Kuhlow, iXtenso – Magazine for Retailers

related articles:

popular articles:

Thumbnail-Photo: 45th anniversary of the barcode in retail
01.07.2019   #barcode scanner #qr code

45th anniversary of the barcode in retail

GS1 US celebrates the barcode’s relevance as the backbone of commerce

GS1 US®, the information standards organization best known as the administrator of UPC barcodes, this week celebrates 45 years since the debut and first scan of the iconic barcode. On June 26, 1974, a pack of Wrigley's chewing gum carrying a ...

Thumbnail-Photo: When customers become cashiers
01.10.2019   #epos systems #mobile payment

When customers become cashiers

Treading a fine line between traditional and visionary, between checkouts and codes

For years, we have done this in online stores: we fill our shopping cart, click to pay and are excited about our purchase. Thanks to the snabble app - now available at the Knauber Hobbymarkt in Bonn and at IKEA in Frankfurt – consumers can ...

Thumbnail-Photo: Retail Asia Conference & Expo (RACE)
07.10.2019   #online trading #retail

Retail Asia Conference & Expo (RACE)

As the leading retail exhibition in Asia, RACE is taken place from 6 – 8 May 2020.

As the leading retail exhibition in Asia, RACE is recognised as the must-join event among the industry’s most influential retailers and customers. RACE features three focus areas: Retail technology, retail design & in-store marketing ...

Thumbnail-Photo: The future of retail: AI is changing everything...
08.07.2019   #digital marketing #visual merchandising

The future of retail: AI is changing everything

AI-enabled systems help retailers understand their customers

For retailers, winning is still all about delighting the customer. The trick is to move fast enough and to be as nimble as possible to satisfy the customer not only today, but in the future. ...

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. ...

Thumbnail-Photo: Innovative ICA store triples revenue
22.08.2019   #electronic shelf labels (ESL) #price labelling

Innovative ICA store triples revenue

Automatic price updates and product information at the shelf

Since ICA merchant, Jan Sikström, took over the ICA Ettan store in Sundsvall (Sweden) in 2016, he has almost tripled the turnover from SEK 15 million to SEK 40 million. Today, the store has 15 employees and approximately 5,000 different items ...

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: When the product becomes the POS
19.08.2019   #mobile payment #pos systems

When the product becomes the POS

“Mobile-first” or the future of the Point of Sale

The classic Point of Sale means physical sales areas including a terminal, cash systems and queues. But this traditional image is changing. Nowadays many customers in brick-and-mortar retail outlets expect the same experience as online and require ...

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: 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 ...

Supplier

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