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The global market for self-checkout has continued to thrive despite a difficult retail environment, according to the findings of new research

The global market for self-checkout has continued to thrive despite a difficult retail environment, according to the findings of new research

 

London-based strategic research and consulting firm RBR has found self-checkout systems have move into the mainstream of retail electronic point-of-sale (EPoS) technology, according to its new study Global EPoS and Self-Checkout 2011.

 

Although self-checkout was introduced two decades ago, the researcher said it still has a long way to go before it can boast the level of penetration achieved by assisted EPoS.

 

“Nevertheless, it can no longer be called a niche product, now that it is mainstream in some parts of the world, primarily North America and western Europe, which account for the vast majority of the world’s self-checkout installations,” it said.

 

The study found the number of self-checkout units shipped worldwide increased by 17% to 26,600 in 2010, while the total base of installations grew by 20%, exceeding 130,000 by the end of the year.

 

RBR has also forecast that by 2016 the installed base of self-checkout terminals will be 325,000 and annual shipments will exceed 60,000. It said terminals will comprise a mix of self-service automation including not only full scan, weigh and bag units but also self-pay terminals and mobile self-scanning systems.

 

Global self-checkout market rankings

 

The RBR report also revealed that NCR was still the world’s largest supplier of self-checkout machines, accounting for two thirds of units shipped in 2010. Germany’s Wincor Nixdorf was the second largest supplier, closely followed by IBM. Japan’s Fujitsu was the largest Asian supplier, but still ships fewer self-checkout units than NCR even in its home market of Japan.

Western Europe received the greatest number of self-checkout shipments, accounting for nearly half of global shipments in 2010. Total shipments to the region increased by 9% to 12,700, driven in large part to strong growth in the UK and continued deployment in France.

 

North America emerged as the second largest region for self-checkout shipments but, due to its head start in deploying such terminals, still has the largest installed base. North America and Western Europe together accounted for over 90% of the world’s self-checkout installations.

 

UK leads continued market growth

 

RBR also forecasted that global self-checkout shipments will grow by 16% in 2011 and 20% in 2012, as new markets and new retailers join the trend towards increased self-service at the PoS. Moreover, it pointed out that the more established markets, such as the UK and US, will see increased refresh activity as old terminals need replacing and as economies slowly improve.

 

The developing markets of Latin America, Central and Eastern Europe (CEE) and Middle East and Africa (MEA), which together represented less than 1% of shipments in 2010, have better potential in the longer term. In Latin America, Mexico was identified as having the greatest potential for self-checkout in the short term, while Poland and the Czech Republic were predicted to kick start deployment of self-checkout in CEE.

 

Self-checkout is most commonly known for its prevalence in food retail. However, the study also said that in the more developed countries, such systems have also entered the general merchandise and other retail segments such as pharmacies.

 

“Despite some well-publicised jitters among a small minority of US retailers who have concerns about self checkout, and have gone so far as to remove their self-checkout units, the overall view of self checkout is overwhelmingly positive and the continued growth of self checkout seems assured,” it concluded.