Amazon.com Inc. recently announced that it is shifting its focus to “Dash Carts” and traditional self-checkout counters, following the failure of its “Just Walk Out” technology to meet its targets. The company employed 1,000 contractors in India to serve as virtual cashiers for the system, which relied on cameras and sensors to track customer purchases. Despite initial excitement surrounding the technology, it faced challenges and required off-site contractors to monitor and label videos for accurate checkouts.
This decision comes after 7 out of 10 sales required human intervention, making the system more costly than traditional self-checkout methods. Amazon’s stock closed slightly lower on Tuesday at $180.69. The company’s ambitious plans to expand cashier-less shopping technology beyond convenience and grocery stores were evident when the Just Walk Out technology entered the clothing retail sector in 2023. However, the challenges faced by the system have led Amazon to refocus its efforts on Dash Carts and traditional self-checkout counters.
The use of human-powered technology in Amazon’s Just Walk Out system highlights the complexities and costs associated with cashier-less shopping. As the company navigates this transition and refocuses its efforts on other technologies, it remains to be seen how these changes will impact the retail landscape.
