Target Enhances Self-Checkouts with TruScan to Tackle Theft

📝 SUMMARY: Target Corp. ($TGT) is stepping up efforts to address theft at its self-checkout stations by integrating a new camera-based technology called TruScan. This system is designed to monitor the checkout area, automatically alerting customers about items they may have forgotten to scan. According to internal documents reviewed by Bloomberg, TruScan will be implemented across all Target stores throughout the year, providing both audio and visual prompts to ensure all items are scanned correctly.

The initiative is part of a broader trend among retailers who are reevaluating the efficacy of self-service checkouts, which were initially adopted to reduce labor costs. Recent years have seen an increase in theft incidents at these stations, with some shoppers bypassing scans or using incorrect barcodes. This has led companies like Target to enhance their technological measures, including the addition of weight sensors and more rigorous surveillance.

Moreover, Target's move follows a series of adjustments in operational strategies aimed at minimizing product shortages and theft. For instance, in March, Target implemented a purchase limit of 10 items at self-checkout lanes and announced plans to expand staffed checkout lanes to better control inventory losses known as shrinkage—issues similarly addressed by companies like Dollar General and Kroger through technology upgrades and operational overhauls.

These developments reflect a growing recognition among retailers that while self-checkouts offer advantages, they also present unique challenges that require innovative solutions to maintain security and efficiency at the point of sale.

🔍 SOURCE: https://www.bloomberg.com/news/articles/2024-04-08/target-tgt-self-checkout-gets-tech-upgrade-to-tackle-theft?srnd=industries-v2