Autonomous retail is evolving beyond small pilot stores into larger, hybrid formats that combine traditional checkout lanes with AI-powered grab-and-go shopping. This approach gives retailers a practical path to introduce frictionless shopping while accommodating customers who still prefer conventional checkout experiences.
AiFi’s latest autonomous convenience store in Shanghai demonstrates how computer vision technology can scale to larger retail environments while delivering contactless shopping, real-time inventory visibility, and operational analytics. Hybrid stores may become an important stepping stone as retailers gradually transition toward fully autonomous retail.
Grab and go—or stop and pay. Those are the two choices at tech developer AiFi’s new autonomous checkout store in Shanghai, China. AiFi has already opened some autonomous checkout stores with merchant brands across the globe, and plans to open over 300 more in 2021. Its latest venture is an expanded C-store with a footprint of 4,000 square feet.
Customers can enter using a mobile app or payment card, select their items, and receive a digital receipt upon exiting the store—no staff interface or physical payment transaction is required. Other customers can use conventional shopping by taking merchandise to a staffed checkout lane for payment. Watch for more developers and merchants to continue with frictionless checkout as 2021 will see the most autonomous store openings to date.
The following excerpt from a Retail TouchPoints article reports more on the topic:
The AI-powered autonomous shopping experience just got bigger, in the form of a 4,000-square-foot hybrid convenience market called AI Go in Shanghai. The store combines a manned checkout with the use of computer vision as part of checkout-free shopping powered by AiFi Solutions.
Stocking 2,000 SKUs ranging from fresh meats to snacks, this store represents the largest deployment to date of the AiFi Autonomous Store Platform OASIS. Consumers shopping autonomously check in using an AiFi app, or they can continue to shop as usual with a cashier at checkout
This new store is the largest of four stores in the city now powered by the AiFi computer vision technology, which tracks shoppers’ gestures and the items they select or put back as they travel through the store. The solution protects identities with no facial recognition or biometric data. The checkout-free option is available 24/7, while the traditional checkout stand and cashier can assist from 8 am to 11 pm. Autonomous shoppers receive receipts on their phones within seconds of leaving the store.
“The hybrid approach offers retailers a way to introduce the autonomous experience to customers and get everyone accustomed to the pleasures of no more frustrating waiting in line while simultaneously avoiding crowds, which is especially important during the pandemic,” said Steve Gu, CEO and Co-Founder of AiFi in a statement. “We are delivering a contactless, fast and enjoyable shopping experience to customers while providing detailed inventory and analytics that make for a very efficient operation for retailers. We are also completely GDPR and CCPA compliant, so no customer personal information is disclosed.
Hybrid autonomous stores allow retailers to embrace innovation without forcing customers to immediately change their shopping habits. By offering both cashier-assisted and checkout-free options, merchants can improve convenience while gathering valuable operational data and customer insights.
As AI-powered retail technology matures, larger autonomous stores are likely to become increasingly common, helping retailers reduce friction, improve efficiency, and deliver the seamless shopping experiences consumers have come to expect.
Overview by Raymond Pucci, Director, Merchant Services at Mercator Advisory Group