Self-checkout hits the high street as Coles Myer trials the Fujitsu U-Scan system in two Victorian supermarkets

Sydney, May 25, 2004

Self-service shopping may soon become a reality as retail giant Coles Myer begins a six-month trial of Fujitsu's U-Scan self-checkout system at Bi-Lo Fountain Gate and Coles Chadstone in Victoria.

The trial is the first time the nation's largest retailer has used self-checkout technology. The 'proof of concept' installations will be monitored to gauge system performance as well as customer and staff acceptance.

U-Scan allows shoppers to easily scan, bag and pay for their purchases using touch-screen menus and voice and text instructions to guide them through the process. Payment for goods is made using cash, EFTPOS or credit card. Cash withdrawals are also possible if an EFTPOS card is used.

Four self-scanning checkouts will be operational in both Bi-Lo Fountain Gate (May 24) and Coles Chadstone (May 27) and will be overseen by a supervisor who is able to offer assistance to customers if required.

"Coles and Bi-Lo are always looking for opportunities to introduce innovation that offers our customers greater choice and flexibility," said CML spokesperson Melissa O'Neill. "Self-checkout systems may be one way of enhancing the shopping experience."

"The trial is part of our commitment to continuous improvement, and will enable us to assess the feasibility of the technology and determine if it improves the level of customer service in-store."

Fujitsu acquired the U-Scan self-checkout technology business of Canada's Optimal Robotics for US$35 million in April (read the press release). The acquisition means Fujitsu has the largest installed customer base in the worldwide market for self-checkout systems. The company will now offer self-checkout solutions to grocery, convenience store and mass merchandise retailers of all sizes, enabling a broader spectrum of Australian retailers and customers to experience the convenience of self-service shopping.

Cheating the system is very difficult as it is intelligent enough to 'learn' about new product sizes, weights and other factors. The stations also incorporate built-in video cameras to enable a central operator to oversee multiple checkouts to provide customer service or security support.

"Self-checkout has been very well accepted overseas by retailers and their customers," says Marcus May, General Manager Retail at Fujitsu Australia. "We expect the expansion of self-checkout systems worldwide to be replicated in Australia, and believe every major supermarket chain in the country will offer at least four self-checkout facilities in many of their stores over the next couple of years."

Shipments of self-checkout systems will grow by about 95 per cent in 2004, with the market exceeding US$1.3 billion in 2005, according to US market research firm IHL Consulting Group*. IHL estimates that U-Scan systems account for around 40 per cent of self-checkout lanes in North America.

(* IHL Market Study: Retail Self-Checkout Systems in North America, 2003)