Tesco GetGo store a smart move as ambient commerce space booms

Tesco’s late entry into the checkout-free stores race won’t stop it reaping rewards as ‘ambient commerce’ is the future of physical retail, according to GlobalData.

Earlier this month, the grocery giant launched its first high street checkout-free offering.

As we reported in July, named GetGo, this can be found in High Holborn, on the edge of the City of London.

We’re excited for customers in London to try our quickest checkout ever. No scanning - just Get your products and Go. pic.twitter.com/0hbSP5cEbz
— Tesco News (@tesconews) October 19, 2021

Kevin Tindall, Managing Director at Tesco Convenience, said: "We are constantly looking for ways to improve the shopping experience and our latest innovation offers a seamless checkout for customers on the go, helping them to save a bit more time.”

"This is currently just a one store trial, but we're looking forward to seeing how our customers respond."

Last year, High Holborn became the retailer’s first cashless store in central London.

And now Tesco has deployed its Trigo powered version of Amazon’s Just Walk Out offering there.

Tapping AI and computer vision technology, the solution enables shoppers to walk into a store, check in via a QR code, select items for purchase and, you know what’s coming next, just walk out.

Get smart

GetGo is a smart move aimed at allowing Tesco to become a leading player in the in-store food and grocery retail market, set to reach £196 billion by 2025, according to GlobalData.

The data and analytics company notes that, as Tesco is already well equipped to benefit from the popularity of online shopping and is trialling an on-demand service, checkout-free offerings will simply complete the trinity.

While it has been slow to enter the checkout-free race, GlobalData argues that the move could be well timed, as the impacts of Covid-19 accelerate the adoption of ‘ambient commerce’.

Jemima Walker, Associate Thematic Analyst at GlobalData, comments: “There is a real chance for success in the UK for checkout-free stores, as evidenced by the rapid adoption of self-checkout technology in recent years.”

“Retailers that do not jump on the growing trend may find themselves falling behind, and Tesco has ensured it is not a party to this failure.”

Walker continues: “Leaders in food and grocery retail are already operating checkout-free stores globally, with the most action in the US and APAC, and these openings are promoting a buzz on social media.

According to GlobalData’s research, there were over 1,553 posts across Reddit and Twitter in the last year related to ambient commerce.

“We’re seeing global adoption, and continued innovation, with advancements in checkout-free technology being implemented in the smallest to the largest of venues, from a festival pop-up shop to a shopping mall,” says Walker.

As the UK enters the winter months, influenza, common cold, and Covid-19 cases are likely to rise, and increase this adoption.

“As the UK enters yet another winter of pandemic induced stress, both the consumer and the retailer will acclimatise and realise the benefits of contact-free, frictionless shopping,” Walker concludes.

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