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CEO of Dollar General Cautions Against Overreliance on Self-Checkout, Announces Significant Store Transformation for 2024

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Dollar General CEO Todd Vasos announced a major shift in 2024 due to self-checkout system overuse. In 2023, shoppers reported more self-checkout troubles at various stores. At over 50% of its 19,000 outlets, Dollar General had invested heavily in self-checkout kiosks. It even tried self-checkout at some stores.

Photo from Google

Less Reliance on Self-Checkouts, More Focus on Customer Experience

Vasos conceded that the corporation relied too much on self-checkouts, saying they should be used as a backup. Self-checkouts were initially implemented to cut labor expenses and boost efficiency. Dollar General is reconsidering, adding checkout workers. Staff should greet and help consumers to improve the shopping experience and reduce inventory decline.

Inventory decline from staff error, theft, fraud, or consumer error is a major issue with self-checkouts. Self-checkouts dropped by four percent, double the retail industry average, according to studies. Dollar General is taking steps to reduce shrinkage and protect its store presence.

Dollar General aims to open 800 stores, remodel 1,500, and move 85 stores this year, despite self-checkout issues. Vasos believed the corporation could shrink while increasing.

READ ALSO: CHECKED OUT ‘Really disappointed’ cries Aldi shopper after major self-checkout switch but grocer promises change wasn’t for everyone

Shift Away from Self-Checkouts Amid Customer Concerns

Dollar General’s self-checkout change follows a retail sector trend. After customer concerns over AI security cameras, receipt checks, and long waits, Walmart and other competitors eliminated self-checkouts at several sites. Target implemented anti-theft measures after self-checkouts and reaction caused inventory decline.

Costco and Kroger have also made changes to self-checkout areas, highlighting the continuous issues with this technology. Despite the controversy, industry analysts like former Target executive Chris Walton believe self-checkouts will survive because of their efficiency.

READ ALSO: PULLING BACK ‘We started to rely too much this year on self-checkout,’ warns Dollar General CEO & confirms huge store change for 2024

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