Why Technology Needs the Human Touch in Retail
The rollout of self-checkouts has transformed the way we shop. For retailers, these systems have streamlined operations and reduced costs; for customers, they’ve delivered convenience and speed.
However, this shift hasn’t come without its challenges. Whether it’s scanning five bananas instead of six, forgetting to scan that carrier bag, or slipping through a deluxe chocolate muffin as a plain bread roll, the opportunities for “accidental” theft are rife.
Shockingly, 37% of shoppers admit to failing to scan at least one item at self-checkouts. This behaviour, paired with the less stringent oversight inherent to these systems, has contributed to a 20% increase in reported shoplifting cases from 2023 to 2024—surpassing half a million incidents; that’s just the reported cases.
Technology as a Double-Edged Sword
Retailers are increasingly turning to technology to tackle these issues. Cameras are now a familiar presence at self-checkouts, broadcasting unflattering angles of shoppers onto tablet-sized screens. The psychological effect of “being watched” has proven to be a useful deterrent, but not without sparking concerns from privacy advocates. Many are questioning the extent of data collection by these devices and how such data is being used.
Other technological innovations, such as AI-powered CCTV systems, trolley-scanning solutions, and automated gates that tally purchases as customers exit, are becoming standard features in some of our day to day supermarkets. These systems aim to deter theft while improving the overall shopping experience.
However, technology isn’t an indestructible solution. As highlighted by The Grocer, the human touch remains critical. Retailers must be careful not to rely too heavily on machines at the expense of compliance and safety.
Consider the impact of Digital ID
In 2025, the alcohol licensing legislation will be updated to allow the use of Digital ID for verifying age during alcohol sales. While this opens up exciting possibilities for streamlining transactions, it also brings new challenges as more purchases may involve digital ID usage.
How will Digital IDs be seamlessly integrated into existing systems? How can staff be equipped to handle both Digital and Physical IDs with equal confidence? With the government maintaining the validity of traditional IDs like passports and driver’s licenses, businesses must be prepared to manage a dual system.
For retailers, this means creating a dual compliance system that bridges the gap between old and new. Failure to do so risks exposing businesses to compliance breaches and legal repercussions. With high-profile discussions around age-restricted sales, from vapes to knives, retailers can’t afford to let these issues fall by the wayside.
The Collaboration of Man and Machine
Retail’s future is one of collaboration between human insight and technological innovation. While the latest advancements in AI and automation offer incredible potential, they can’t replace the value of well-trained staff and diligent compliance processes.
Retailers must find ways to integrate these tools to enhance—not overshadow—human oversight. From ensuring systems address biases to maintaining the personability of the shopping experience, it’s clear that technology alone isn’t enough.
At Serve Legal, we specialise in helping retailers address a variety of challenges. Whether it's implementing revenue protection schemes, conducting age verification audits for Digital ID integration, or creating customised programs to support technological advancements in the industry, we have you covered. Our comprehensive compliance and Labs services are designed to provide effective solutions to the issues your business may face. We're here to ensure your retail operations integrate innovative and fair technological solutions seamlessly.
For more information on how Serve Legal can support your business during this time of innovation and change, contact our team today. Get in touch!
