Was the convenience of self-checkout worth the cost? For Target, the answer appears to be a resounding “no.” After massive theft losses, the retailer is making a dramatic U-turn on self-checkouts, pulling back from the automation trend that once promised faster lines and lower labor costs. Could this be the end of the DIY checkout era as retailers scramble to combat escalating shoplifting?
Target Limits Self-Checkout Use in Storewide Shift
Target is restricting self-checkout lanes to customers with 10 items or fewer, but the company maintains the change isn’t driven by concerns over theft. Despite widespread speculation and the retailer’s history of significant shoplifting-related losses, Target says the move is meant to streamline the shopping experience. A company spokesperson told Fox News Digital the decision followed more than a year of planning and internal testing, which revealed improved customer satisfaction with the new system.
However, retail analysts point to a different motivation. Experts believe rising theft, particularly through self-checkout lanes, is a key factor behind the shift. Target has faced mounting challenges with “shrink,” the retail industry term for losses tied to shoplifting and inventory discrepancies. In 2023 alone, the company reported an additional $500 million in shrink-related losses compared to the year before, according to Business Insider.
A particularly striking case underscored the issue: a woman in California was convicted of stealing more than $60,000 worth of goods from Target over the course of 100 visits, exploiting the self-checkout system by scanning items and inserting small change before walking out.
GlobalData retail analyst Neil Saunders told CBS News that self-checkout “is an area of the store people can steal things” and that retailers like Target are scaling it back to reduce theft-related losses.
Target Shoppers Frustrated by Cutback on Self-Checkout Stations
Many Target shoppers are frustrated by the store’s decision to cut back on self-checkout, taking to social media to vent about longer lines and a less convenient shopping experience.
One Reddit user shared a photo of their local store, showing the empty space where the self-checkout machines once stood, and mentioned that their Target had completely removed them.
Another user on X (formerly Twitter) complained that Target is starting to resemble Walmart, with an abundance of checkout lanes but a shortage of cashiers, causing long waits even at the few remaining self-checkout stations.
Customers have expressed a clear preference for the speed and autonomy that self-checkout offered. As one Redditor put it, “It’s a shame. I hate having to go through a manned register. I prefer self-checkout every time.”
Overall, shoppers are annoyed by the extra time and effort now required to check out, especially when they had grown accustomed to the convenience of self-checkout.
Target Isn’t Alone in Scaling Back Self-Checkout
Target is not the only retailer retreating from self-checkout. Several major retailers are also hitting the brakes on DIY checkout as theft continues to plague their bottom lines.
Walmart has already yanked self-checkout machines from select stores in Missouri and Ohio, explaining that the move is based on feedback indicating a preference for staffed lanes and improved service.
Dollar General is taking even more drastic measures, eliminating self-checkout from 300 high-theft locations and restricting its use to five items or less elsewhere.
Five Below is going even further, nearly eliminating self-checkout entirely. Former CEO Joel Anderson stated that most of their stores would shift to cashier-operated lanes, especially those with theft issues, and the company is also boosting staff, security, and receipt checks.
The pressure to make these changes is significant, with the National Retail Federation estimating that U.S. retailers lost a staggering $112.1 billion to shrink in 2022. The problem is particularly acute in cities like New York, where shoplifting reports soared by 64% between 2019 and 2023, according to the Council on Criminal Justice.
Part of the issue is the rise of online platforms like eBay and Facebook Marketplace, which, along with shady pawn operations, have created a lucrative market for stolen merchandise.
The very self-checkout systems that boomed during the pandemic for their contactless convenience are now being scaled back as retailers prioritize stopping theft over the ease of DIY shopping.
Is This the End of the Line for Self-Checkout at Retailers?
It’s difficult to say definitively, but the recent trend of retailers scaling back or limiting self-checkout suggests that concerns over theft, or “shrink,” are pushing many to reconsider the system. While self-checkout systems boomed during the pandemic for their contactless convenience, retailers are now prioritizing stopping theft over the ease of DIY shopping.
However, it’s unlikely that self-checkout will completely disappear. Instead, shoppers may see a shift toward more controlled implementations or a balance between staffed lanes and self-checkout options to address both convenience and security.