Tesco knows that discounting is not just about price

Tesco’s new discount chain, Jack’s, is making it easy for its customers to shop by offering them a self-scan app called Shop Smart, on their own phones. Customers have to be registered for both scanning and payment, so they can simply pay by tapping their phone on a self-service checkout terminal.

The technology is not new, but it is unusual to see it show up in a discount chain, and it is clear that Jack’s is making an effort to not simply be another Aldi or Lidl. Customers will also have a complete history of what they have bought and how much they spent

The technology is also being trialled in other Tesco formats, with a view to it being rolled out widely. Tesco already enables customers to get their club card points through an app as well as pay using Tesco Pay +. And some stores offer scanning using a hand-held device, similar to other supermarket chains.

The usual concerns about people leaving without paying have been raised, but current users of a similar system such as Sainsbury’s report very low shrinkage and have processes in place to monitor potentially fraudulent activity.

 

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