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KROGER SELF-SCAN LANE TO TEST DEBIT-CREDIT

COLUMBUS, Ohio -- The Kroger Co. division here will expand testing of customer self-scanning checkout lanes this month with the introduction of an electronic payment function.Shoppers have been receptive to using the five self-service stations installed at a new 62,000-square-foot test store that opened six months ago, said John Gale, manager of store operations services at Kroger's Columbus KMA division.

COLUMBUS, Ohio -- The Kroger Co. division here will expand testing of customer self-scanning checkout lanes this month with the introduction of an electronic payment function.

Shoppers have been receptive to using the five self-service stations installed at a new 62,000-square-foot test store that opened six months ago, said John Gale, manager of store operations services at Kroger's Columbus KMA division. He said nearly one-third of shoppers currently use the lanes to scan and bag their orders.

"At this point, we suspect there will be productivity gains, but that's not our goal, nor have we measured it," he said. "We're more interested in testing shopper acceptance."

Later this month, he told SN, a sixth self-checkout lane will feature an automated payment option via credit and debit cards. Unlike the five existing self-service lanes, which require shoppers to proceed to a cashier to pay for their purchases, the new lane requires no employee assistance.

Currently, Gale said, software refinements are being made to ensure the electronic payment function of the new lane works properly under all circumstances.

Because the credit-debit self-scanning lane eliminates the need for employee assistance, Kroger wants to ensure strict control on the sale of restricted items. "You can't just let a 16-year-old buy cigarettes and alcohol" at the fully automated lane, Gale said.

Another application in final development is the processing of coupons. Gale said software developers are working on a solution for handling nonscannable coupons at the self-scanning lane.

The self-service stations, called Automated Checkout Machines and marketed by Productivity Solutions, Jacksonville, Fla., are fully integrated with the store's point-of-sale system. The test store operates eight conventional

lanes in addition to the self-scanning lanes.

"I think [self-scanning lanes] are a viable alternative," Gale added. "As I look at the future labor force becoming scarcer and scarcer, I think this will be a matter of service for your customer." He noted that the local market's unemployment rate was about 3%, making for stiff competition in attracting and retaining employees.

Testing of another self-scanning system was to get under way this week at Kroger's Cincinnati division. A 62,000-square-foot store in Middletown, Ky., was to be outfitted with four self-service checkstands from Optimal Robotics, Plattsburgh, N.Y.

The system, called Optimal 8870 Express-Plus Checkout, accommodates automated cash payments, dispenses change and can process debit and credit transactions.

TAGS: Kroger