Last year we ended with a blog entry on the benefits of self-service kiosks, especially during the holiday rush (The Joy of Self-service Kiosks and Holiday Shopping). The article focused mainly on the benefits to customers, which should be the goal of any business – providing an enhanced service experience for their customers. However, on the ‘flip side’, self-service check out kiosks also have many benefits to business owners. We thought we would explore some of them in today’s blog.
• Increased Customer Loyalty
Customers enjoy having a convenient, hassle-free shopping experience. This is even more crucial now with the advent of the various forms of technology that involve interactive self-service functions. Many shoppers are extremely familiar with these, to the point of expecting it as the norm for their shopping experience. Customers who value these services are more likely to shop at businesses that provide them with the convenience they seek, including self-service check out.
• Knowledge is Power
Kiosks not only provide a straightforward checkout option, but they also provide a great opportunity for businesses to collect data on their customers. This can take the form of short surveys upon checkout or transaction statistics that provide purchase history for customers. This information can allow businesses to better forecast sales and create a more effective marketing plan by providing offers and incentives for particular products during a specific season or shopping period. Once permission is sought, the data can also be used to do further marketing to specific customers via emails or mail outs.
The kiosks can also be used to update customers on new merchandise, prices or general company information.
• Cart abandonment isn’t only an e-commerce problem
We’ve heard about e-commerce sites having to deal with ‘cart abandonment’ – a situation where a potential buyer places items in their online shopping cart, but never proceeds to check out. The same can happen in a store, and many times the reason may be simply avoiding the hassle of long lines. A kiosk is a great start in preventing this, as they allowing customers to purchase their items in a more efficient way.
• An additional advertising opportunity
What business does not appreciate any additional opportunity to advertise? Businesses can physically showcase their brand by using company colors and strategically placing their company logo on the kiosk unit, as well as have short ads playing via an overhead screen or on the kiosk’s main screen when not in use. It’s a great way to highlight the company’s products and services or provide company updates.
• Simple implementation
Most importantly, kiosks are simple to implement, are cost effective and have low transaction fees. Kiosk management is also very straightforward and data can be accessed from any computer through an administrative portal.
• Increased Return on Investment (ROI)
Kiosks eliminate the need to have a manned station, thereby reducing labor costs as well as overheads. Business owners can also increase their returns by providing additional services via the kiosk including online gift registries, loyalty card programs and an avenue to provide customer feedback or apply for vacant positions.
An article in businessbee.com highlighted the pros and cons of self-service checkout kiosks. In the article they cited statistics from Self Service World, which stated that “27,000 self-checkout terminals were shipped to businesses around the world in 2012. This growth is projected to steadily rise and 60,000 terminals will be shipped in 2018. Consequently, more businesses are choosing to integrate this system.”
This is no surprise, as over the years, more businesses have enjoyed and continue to appreciate the benefits of implementing self-service check out kiosks, while their customers benefit from the greatly improved service experience that they provide.