Are self-checkout machines about to disappear from Dollar General stores for good? Here’s what you need to know
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If you’ve shopped at Dollar General lately, you might have noticed something missing at the checkout: those self-service kiosks that promised speed and convenience, but often delivered frustration and—according to the company—an open invitation to shoplifters.
In a bold move that’s making waves across the retail world, Dollar General has yanked self-checkout machines from a whopping 12,000 stores nationwide. Is this the beginning of the end for self-checkout as we know it?
Let’s dig into what’s happening, why it matters, and what it could mean for your next shopping trip.
The Self-Checkout Experiment: A Gamble That Didn’t Pay Off
Self-checkout machines were once hailed as the future of retail. They offered a way to cut labor costs, speed up lines, and give customers more control.
But for Dollar General, the reality was a little less rosy.
After rolling out the machines, the company saw a sharp rise in “shrink”—the retail industry’s polite term for theft and inventory loss. It turns out, unattended kiosks made it all too easy for some shoppers to skip scanning an item or two (or three).
Faced with mounting losses, Dollar General made a dramatic decision in 2024: pull the plug on self-checkout in nearly all of its stores, leaving the machines in only a handful of locations as a test.
The result? A significant drop in shrink and a healthy boost to the bottom line. In the first quarter of this year, the company’s income jumped 8% to $392 million, thanks in large part to tighter inventory control.
Why Did Self-Checkout Fail at Dollar General?
Retail experts say the answer is simple: Dollar General stores are small, and the savings from self-checkout just didn’t outweigh the losses from theft.
“The removal of self-checkout is sensible at Dollar General. The stores are pretty small and don’t really need self-checkout,” said Neil Saunders, a retail analyst at GlobalData.
But it’s not just about theft. Many shoppers—especially those of us who remember when a cashier knew your name and asked about your grandkids—find self-checkout impersonal and confusing.
Also read: Your next Target run may look a little different—here’s why shoppers are speaking out
Fumbling with barcodes, searching for produce codes, and waiting for an attendant to clear an “unexpected item in the bagging area” can turn a quick trip into a headache.
A Retail Trend or a Dollar General-Only Move?
So, is this the start of a nationwide self-checkout shutdown? Not quite.
While Dollar General’s move is making headlines, other retailers are taking a more measured approach. Walmart, for example, has removed self-checkouts from all Sam’s Club stores, opting instead for AI-powered checkout technology.
Target has scaled back self-checkout in some locations but says it’s not going away entirely. Dollar Tree has also pulled back on self-checkout to curb theft.
Retailers are weighing the pros and cons: self-checkout can save on labor costs and speed up lines, but it can also lead to more theft and less customer satisfaction.
For now, it looks like self-checkout will stick around in larger stores where it makes sense, but smaller stores like Dollar General may be better off with good old-fashioned cashiers.
Dollar General’s Big Picture: Remodeling, Growth, and Challenges
Despite the self-checkout shakeup, Dollar General is still growing. In the first quarter of 2024, the company opened 156 new stores, remodeled 688 locations as part of its “Project Elevate,” and revamped another 599 through “Project Renovate.”
With over 20,000 stores across the US and Mexico, Dollar General remains a retail powerhouse.
Also read: Self-checkout shakeup—Here’s what’s changing!
But it hasn’t all been smooth sailing. Last year, the company closed some locations and saw a 49% profit drop in the fourth quarter, partly due to customers tightening their belts.
As CEO Todd Vasos put it, “Many of our customers report they only have enough money for basic essentials, with some noting that they have had to sacrifice even on the necessities.”
Source: selfcheckoutfan’s new channel / Youtube.
The company is betting that better store layouts, improved merchandising, and a return to personal service will help turn things around.
Related stories:
Have you noticed the change at your local Dollar General? Do you prefer self-checkout or a traditional cashier? Have you ever had a self-checkout mishap (we’ve all been there!) or do you have a checkout tip to share? Drop your thoughts, stories, and questions in the comments below!
In a bold move that’s making waves across the retail world, Dollar General has yanked self-checkout machines from a whopping 12,000 stores nationwide. Is this the beginning of the end for self-checkout as we know it?
Let’s dig into what’s happening, why it matters, and what it could mean for your next shopping trip.
The Self-Checkout Experiment: A Gamble That Didn’t Pay Off
Self-checkout machines were once hailed as the future of retail. They offered a way to cut labor costs, speed up lines, and give customers more control.
But for Dollar General, the reality was a little less rosy.
After rolling out the machines, the company saw a sharp rise in “shrink”—the retail industry’s polite term for theft and inventory loss. It turns out, unattended kiosks made it all too easy for some shoppers to skip scanning an item or two (or three).
Faced with mounting losses, Dollar General made a dramatic decision in 2024: pull the plug on self-checkout in nearly all of its stores, leaving the machines in only a handful of locations as a test.
Dollar General removed self-checkout machines from 12,000 stores to combat rising theft (“shrink”), which resulted in a notable drop in shoplifting and a boost to their income for the first quarter of the year. Image source: The Wall Street Journal / Youtube.
The result? A significant drop in shrink and a healthy boost to the bottom line. In the first quarter of this year, the company’s income jumped 8% to $392 million, thanks in large part to tighter inventory control.
Why Did Self-Checkout Fail at Dollar General?
Retail experts say the answer is simple: Dollar General stores are small, and the savings from self-checkout just didn’t outweigh the losses from theft.
“The removal of self-checkout is sensible at Dollar General. The stores are pretty small and don’t really need self-checkout,” said Neil Saunders, a retail analyst at GlobalData.
But it’s not just about theft. Many shoppers—especially those of us who remember when a cashier knew your name and asked about your grandkids—find self-checkout impersonal and confusing.
Also read: Your next Target run may look a little different—here’s why shoppers are speaking out
Fumbling with barcodes, searching for produce codes, and waiting for an attendant to clear an “unexpected item in the bagging area” can turn a quick trip into a headache.
A Retail Trend or a Dollar General-Only Move?
So, is this the start of a nationwide self-checkout shutdown? Not quite.
While Dollar General’s move is making headlines, other retailers are taking a more measured approach. Walmart, for example, has removed self-checkouts from all Sam’s Club stores, opting instead for AI-powered checkout technology.
Target has scaled back self-checkout in some locations but says it’s not going away entirely. Dollar Tree has also pulled back on self-checkout to curb theft.
The retailer’s income jumped 8 percent to $392 million for the first quarter of 2024, with company executives highlighting the reduction in shrink as a key factor. Image source: The Wall Street Journal / Youtube.
Retailers are weighing the pros and cons: self-checkout can save on labor costs and speed up lines, but it can also lead to more theft and less customer satisfaction.
For now, it looks like self-checkout will stick around in larger stores where it makes sense, but smaller stores like Dollar General may be better off with good old-fashioned cashiers.
Dollar General’s Big Picture: Remodeling, Growth, and Challenges
Despite the self-checkout shakeup, Dollar General is still growing. In the first quarter of 2024, the company opened 156 new stores, remodeled 688 locations as part of its “Project Elevate,” and revamped another 599 through “Project Renovate.”
With over 20,000 stores across the US and Mexico, Dollar General remains a retail powerhouse.
Also read: Self-checkout shakeup—Here’s what’s changing!
But it hasn’t all been smooth sailing. Last year, the company closed some locations and saw a 49% profit drop in the fourth quarter, partly due to customers tightening their belts.
As CEO Todd Vasos put it, “Many of our customers report they only have enough money for basic essentials, with some noting that they have had to sacrifice even on the necessities.”
Source: selfcheckoutfan’s new channel / Youtube.
The company is betting that better store layouts, improved merchandising, and a return to personal service will help turn things around.
Related stories:
- Savvy shoppers know this Dollar General discount trick. Do you?
- Watch your receipt: Dollar General shopper raises concerns over repeated overcharges
- Prices aren’t the only thing dropping—Dollar General is too. What’s happening?
Have you noticed the change at your local Dollar General? Do you prefer self-checkout or a traditional cashier? Have you ever had a self-checkout mishap (we’ve all been there!) or do you have a checkout tip to share? Drop your thoughts, stories, and questions in the comments below!
