Global shopping patterns are undergoing a rapid change and online shopping is gaining momentum. For instance, the Census Bureau of the Department of Commerce announced that their estimate of U.S. retail e-commerce sales for Q3 2024 was USD300.1 billion, an increase of 9.4% from Q3 2023 and representing 16.4% of total retail sales.
Traditional retailers around the world are often at the receiving end of this trend, and many traditional brick and mortar stores have already closed down. While closures peaked during the 2019 pandemic, currently there is a new trend that can be observed. Bricks-and-mortar retailers are trying hard to fight back and many of them have deployed disruptive digital technologies in their retail stores to enhance customers’ shopping experiences and drive profits.
This blog discusses one of the most impactful technology-enabled transformations in the retail sector: Robotic Assistance. This is one of six domains of change that are transforming this sector right now. Want to read about them in detail? Click here: Digital Transformation in the Retail Industry.
As the name implies, Robotic Assistance refers to the deployment of smart and sophisticated robotic solutions which enhance the services offered in physical retail stores. These solutions not only enhance the shopping experience but also increase operational efficiency by reducing manual work and so increase profits for retailers. Some of the key aspects of Robotic Assistance are discussed in the following subsections.
Staff shortage is a persistent problem, especially in developed countries, and this impacts retailers as well. Therefore, many retailers have started deploying robots on the front lines. These robots perform manual tasks that were earlier carried out by staff members and can enhance customer service since many robots are capable of assisting customers in navigating the store and responding to their queries. One of the shopping assistants worth mentioning here would be ‘Wi-Z’ from Robinsons Retail Holdings Incorporated. These robots are equipped with a touchscreen and a speaker and have been deployed across multiple retail stores including in the Philippines. Wi-Z robots can promote a wide range of items such as bath accessories, dishwashing liquid, imported cereals, insect killer, pet foods, dental care, home appliance, imported soda, kitchen aid, pharmacy, and more. The robots can guide customers through stores and help them navigate directly to the relevant product sections for a more efficient shopping experience. They can also serve as valuable tools for gathering customer insights. As they move through the stores, they collect data on various aspects, including customer buying patterns, dwell time, and the time spent in different store sections.
In addition to working as shopping assistants, robotics can also be used for advertising. How, you ask? Well, retailers can deploy robotic solutions to connected shelves in retail outlets allowing retailers to boost sales and optimise operations. They can promote private-labelled products or items nearing expiration (reducing wastage in the process). As soon as a customer is near the shelves, a product can be pulled out from the shelf and audio messages and lighting activated to attract customer attention.
Time is a crucial resource these days and customers are increasingly looking for frictionless and cashier-less shopping experiences. Moreover, as already mentioned, staff shortage is an ongoing challenge for many retailers. Therefore, many retail stores are now providing smart shopping carts to customers. Items can be directly added to these carts, which enable self-checkout, avoiding standing in queues and saving time. Moreover, customers can also type the products they want to buy on the touchscreens of these carts and the carts can take them to the exact aisle and shelf. This can also increase the overall revenue of stores. And since retail stores don’t have to employ cashiers and find space for check-out points, smart shopping carts can unlock significant financial benefits.
Some retailers have also started deploying autonomous mobile shelf scanning robots that are equipped with LiDAR and computer vision. Such robots scan store shelves to detect price discrepancies and identify missing, misplaced, and outdated pricing to ensure accurate product information. These robots also scan for empty shelves, identify out-of-stock items, and automatically share replenishment data. In turn, this can help to optimise a store’s layout and prevent revenue losses and inventory distortions. Moreover, some mobile robots can detect hazards, such as liquid or food spills, and send real-time alerts to staff for prompt cleanups. This enhances customer safety and helps retailers avoid costly litigation and regulatory penalties.
Robotic assistance in retail is revolutionising the industry by boosting efficiency, elevating customer experiences, and optimising operations. As technology advances, these innovations are set to shape the future of retail, delivering personalised services and transforming the way businesses connect with customers in an increasingly fast-paced and digital environment.
