Everyone has probably heard of Amazon Go stores by now. Back when they were first launched in 2016, they were billed as trailblazers for a new era of ‘cashierless’ retail, utilising ‘just-walk-out’ technology that scans what customers take off a shelf, and charges them for it automatically via a mobile app.

The concept has never really taken off and, despite all the promises way back when, most of us still shop in places that do indeed have cashiers working in them. But the idea of non-staffed retail outlets is certainly one that captures the imagination. Plenty of would-be innovators are ready to tread the path Amazon pioneered.

The latest example is the vending machine-only convenience store, such as this one recently opened in Wexford, Ireland. There’s a kind of back-to-the-future feeling of comfort about employing vending machines to make cashierless shops a thing. Vending machines are, after all, the original self-serve retail option. Why not pack a whole store with them? You get all the benefits of 24-hour operation without having to worry about staff rotas. Plus you don’t have to invest in fancy scanning tech, and no one needs to download an app.

But what’s really interesting about this is not so much the store-full-of-vending-machines novelty (great for crisps and fizzy drinks but not much else). As self-service technology geeks, what grabs our attention is the detail of how payment and vending is organised. Customers use one console to pick their items and pay, then collect their order from another machine. A little like the separation or ordering and collection seen in QSR restaurants.

Select, Pay, Collect

What’s intriguing is that this same model is popping up in other contexts, not just in no-checkout concept stores. Supermarket chain Morrison’s recently started a trial using exactly the same model that it is calling ‘Select, Pay, Collect’. Limited for now to nicotine replacement products, the trial involves a touchscreen where customers select the product they want. They then take a printed receipt to checkout, where they scan the receipt and pay. And then receive another receipt which they take to a vending machine which dispenses the nicotine patches or gum they chose.

We’d suggest Morrison’s might need to work on simplifying that particular customer journey (why not just pay at the touchscreen?) But that aside, the logic is clear – it’s all about security. Nicotine products, even those aimed at helping people quit smoking and vaping, are a high theft risk. Any way to get them off shelf is going to help reduce shrinkage.

And that’s part of the rationale behind the separation of selection/payment and dispensing in the vending machine store, too. Dispensing machines can be made very secure, while ordering and payment consoles are very simple. It makes sense to keep them separate. Plus, there’s a logic in putting payment prior to fulfilment. No one can be tempted to run out of a store if they can’t get their hands on a product until after they have paid.

So we can see the benefits of this next generation of vending machine technology stacking up. 24-hour operation without relying on staff, enhanced security, and as in QSR restaurants, separating ordering and payment from fulfilment helps with efficiency and customer flow, too. We’ll be watching this space to see if it catches on.