Dollar General has announced plans to remove self-checkout machines from 300 stores and restrict their use in thousands of others in response to escalating retail theft. The decision, disclosed during the company's recent earnings call, aims to combat "shrink," a retail industry term for losses due to theft, fraud, and damage.
The company, which operates over 14,000 stores, will limit self-checkout transactions to five items or fewer. Additionally, Dollar General will convert many self-checkout registers to assisted-checkout options in approximately 9,000 locations. This shift aims to direct customer traffic to staffed registers, thereby reducing opportunities for theft and improving customer service during peak shopping periods.
Dollar General To Eliminate "Vast Majority" Of Self-Checkout Due To Soaring Theft https://t.co/szst09Kz70
— zerohedge (@zerohedge) June 3, 2024
CEO Todd Vasos explained that these changes are expected to positively impact shrink levels by the latter half of 2024 and into 2025.
The company reported a significant increase in shrink over the past year, with fourth-quarter shrink rising more than 100 basis points compared to the previous year.
Dollar General To Eliminate "Vast Majority" Of Self-Checkout Due To Soaring Theft
"Shrink continues to be the most significant headwind in our business"https://t.co/GfRYRvHz7s
— ALGOBOX For The Win (@ALGOBOXftw) June 3, 2024
In an effort to address the issue, Dollar General has invested heavily in labor, with an additional $50 million allocated for 2023, bringing the total investment to $150 million. This increase in staffing is intended to bolster in-store security and enhance customer service, further mitigating theft risks.
Dollar General's move follows similar actions by other major retailers grappling with the surge in retail crime. Retail theft has been a growing problem across the industry, with an estimated $112 billion lost in 2022 due to unprecedented levels of theft.
While the elimination of self-checkout options may inconvenience some shoppers, Dollar General is confident that the enhanced security and customer service will ultimately benefit both the company and its customers.
The retailer's proactive measures reflect a broader industry trend of reassessing self-checkout strategies to better address the challenges posed by retail theft.
Good for you Dollar General!!! I often noticed that instead of having Check Out Attendants behind the counters, far too often the attendants would be stocking shelves or just no where in sight, expecting customers to use the Self Check Out instead and allowing customers to use the honor system. Now, since the Self Check Outs are shut down, I always see the Store Attendants up front again. Now, you just need to have at least One Check Out person and at least one or more store employees to keep their eyes open and perhaps do stocking during only the slower traffic hours and perhaps even after the store closes. In the past, I have noticed shoplifters pocketing items or down their pants or in purses. I have notified store employees at the front of stores, but they tell me they can’t or not allowed to do anything about it. Is this part of the Biden/George Soros Plan?
Hurray for them. I am honest to a fault and won’t steal from the stores. I don’t use the self checkout at any time, no matter how ling I have to wait. There have been times when I came up to a long line at a store, any company, to patiently wait my turn and others in line invite me to go to the front because I am a disabled old man. It always brings tears to my eyes seeing the kindness of people toward me. These kinds of courteous acts give me hope for our nation, despite the nonsense encouraged by the satanic left and their acolytes in the public. I live in a small town in Northeast Oklahoma and am grateful to live among such wonderful people!!!!!!!!!!
No big News. Many of their Customers are pocket Stashers and Thieves because they know that Dollar General is not the Brightest Bulb on the Corner in Security Prevention.