Supermarkets Need to Adopt New Technology to Win Back Customers

A Change in Attitude to Our Supermarkets

We have seen something extraordinary in Britain over the last few years, customer loyalty to certain supermarkets has gone out the window and smaller "no-frills" stores have benefited massively from this change. As a part-time employee in one of the big four supermarkets I have noticed the shift in attitude more so; therefore I ask the question, is it time supermarkets wow their customers back in store with a fresh approach? Over in France, it seems supermarkets are trying just that.

Do supermarkets need to take more risks?

Not all supermarkets are easy with taking on new technology, many of the loyalty cards don't see the customer's wallets these days as they become dated and the last gamble most supermarkets took are quickly losing any customer support. I am of course talking about the self-checkout machines, which could soon become a thing of the past, with Morrisons leading a possible exodus. However certain risks have benefited supermarkets. Taking e-commerce to the next level over the last decade and beyond with their shop at home and specific time delivery services. This has seen success, with people who may find shopping a physical challenge, or simply don't have the time. So what can the large supermarkets do to regain the loyalty they once enjoyed from their customers? Take a new technology and mould it to benefit the customers maybe?

The possible solution?

As I mentioned there is an exciting development going on over in France. Philips are attempting to shape the future of supermarkets with an innovative approach to reaching customers with current offers. Shoppers at a store in Lille have been treated to an experiment using an LED lighting system which sends special offers and location data to their smartphones. The lights transmit codes via light waves undetectable to the eye, which can be picked up by a smartphone camera. How will it work? Well each LED will transmit a location code, so when users open a compatible app on their smartphone and point its camera upwards, the code transmitted from the light will be read and can be used to determine their location and the direction they are facing. In effect, it acts in a similar way to the ever popular GPS based map apps that can be used anywhere with a signal. They will then be able to see all the offers either in their current aisle, or around them, displayed on their smartphone. 

It is an innovative, alternative solution to an existing approach of using Bluetooth beacons. The beacons have been trailed at a small number of branches belonging to the supermarket ASDA in the UK; although their trail was not customer-facing, it was used to show how the concept would work to head office.

Potential Benefit or Wasted Expense?

Would this new concept benefit both customer and supermarket in the UK? I think that the customer would profit from this, as it means less routing around looking for a cheaper alternative or spending time chasing offers in the store. It also allows them to get their shopping done in one go, rather than taking a whole day heading to a number of shops. Coupled with the loyalty cards the customer can get the best shopping experience and save money while doing so.

As for the supermarket, they can continue to reward their loyal customers as well introduce new customers to their offers as easily as opening an app. Philips have also said that that the new lighting system uses 50% less electricity than the old lights it had replaced in Lille. Most importantly though, it means that their offers will not be overlooked by customers who would potentially be interested.

Will we see it any time soon?

Surely in the future, we as shoppers will be able to walk into a supermarket store of our choice and have at our fingertips every offer around us. With the current state of play we will have to see who, if anyone, takes the leap first.