Mini Checkout Copyright 2011. Agenda 1.About us 2.Current Waiting Line Model 3.Disadvantages 4.Proposed Service Model and Benefits 5.Existing vs Proposed

Mini Checkout Copyright 2011

Agenda

1. About us2. Current Waiting Line Model3. Disadvantages4. Proposed Service Model and Benefits5. Existing vs Proposed System6. Preventing Security Risks7. Demo8. Conclusion


•1 of 12 companies accepted into the entrepreneureship@Wavefront program

•Partners with Alligato mobile payment platform Key customers are existing ecommerce payment gateways Optimal Payments – 4000+merchants shifting to mobile

commerce

•Mobile development team members are recent graduates from UBC computer science•Business development team member from SFU business school.

About Us


Current Waiting Line Model


X= Rate of arrival in queue

Y = Rate of completion

Existing waiting line model with a fixed number of customer service points in the physical store. This creates a bottleneck which in turn limits the number of paying

customers the store can generate.

Waiting Customer

Fixed Checkout Point

Disadvantages


Long lineups and wait time for checkout

• Increase customer reneging and balking behaviour

• Decrease customer satisfaction

Idle resources

• Sales associates help customers make purchase decisions but customers still have to do checkout through a fixed checkout point in most cases

• During periods of low traffic, services points are underutilized

Increased retailer cost in order to deliver a high performance customer service

Proposed Service Model


Customer Checking-out

Fixed Checkout Point

Mobile Checkout Points

ExistingMobile

A customer service system with flexible number of checkout points by employing mobile used either by the customers or by the sale associates.

Operational Benefits

1. Increase customer throughput by optimizing the checkout process

2. Increase productivity of existing resources by increasing system utilization

3. Reducing risks identified in most recent Best Buy Inc. annual report such as:

• “failure to anticipate and respond to changing consumer preferences in a timely manner”

According to an IHL study» Use of self-service kiosks is growing 10% a year » nearly 50% of Americans want stores to offer self-checkout

• “failure to control costs”


Saves time and resources

Increases purchase per customer

Increases # of customers

Value Added


Increases customer satisfaction

3. Provides real time push advertising

2. Attracts a new tech savvy generation of customers

4. Offers on-the-go access to information for customers

1. Increases customer loyalty

Existing vs Proposed System



Existing Purchasing System

CUSTOMER:1) Selects products, adds items to the cart2) Logs in/signs up 3) Credit card used either for payment or reservation of items4) Select pickup location/shipment

BEST BUY:5) Transaction recorded in order management system6) Checks warehouse/store inventory7) Process payment8) Sends electronic order confirmation to customer9) Employee collects the items10)Ships items to customer’s residence or notifies store of pickup order

CUSTOMER:11)Goes to store to pickup order12)Wait at the Customer Service Desk

BEST BUY:1. Checks customer’s ID and printed store pickup notification email2. Retrieves reserved items and brings them to the customer

1) Transaction recorded in local POS system

Proposed Purchasing System

5) Scans barcode of the electronic receipt

Returns electronic receipt back to mobile device (barcoded)

Preventing Security Risks


Inventory shrinkage prevention • Mandatory membership• Limit of amount spent / number of items purchased• Associates security at physical entrances• Barcode scan of the customer’s receipt on smartphones

Payment fraud prevention• Just as secure as the existing e-commerce, if not more• Mandatory membership • PIN entry for transactions• Picture Identification required

Conclusion

Mini Checkout mobile self-checkout application is the natural progression of the existing POS systems

It overcomes the limitations created by long lineups at the cash registers and self checkout machines

Some of the benefits provided:1. Convenient and interactive checkout process for customers2. Increased number of customers served3. No extra employee time is required to fulfill orders, and shipment.4. Provides push advertisement opportunities5. Caters better to impulse buying, saves time, empowers customers


Documents

Mini Checkout Copyright 2011. Agenda 1.About us 2.Current Waiting Line Model 3.Disadvantages 4.Proposed Service Model and Benefits 5.Existing vs Proposed