'It’s fully automated': How this tech could transform your next shopping trip with AI
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The way Australians shop could be on the brink of a major shift, with new technology promising to change the shopping experience as we know it.
What started as a simple concept has now evolved into something far more complex, leaving many wondering just how far this innovation will go.
As the retail landscape adapts to the digital age, this new development could have a lasting impact on everything from your daily purchases to the very way stores operate.
A new cashless shopping system using artificial intelligence (AI) was set to change how Australians made purchases.
The technology, which had been trialled at an Australian Open convenience store pop-up, allowed customers to enter a store by tapping their card.
Once inside, they could shop freely and walk out without having to scan items or talk to a cashier.
The AI-powered cameras, developed in collaboration with spatial intelligence platform AiFi, tracked shoppers’ movements and identified what they picked up.
Mastercard, the payment service provider behind this initiative, stated there were no surcharges for customers.
Surin Fernando, Mastercard Australasia's head of Customer Solutions Centre, emphasised the system’s speed and ease, saying: ‘It’s fully automated through the camera.’
The cameras used AI to track shoppers as stick figures, with no facial recognition involved.
Fernando clarified: ‘We don’t leverage in the retail experience any type of like facial recognition, or any type of recognition of you as an individual.’
‘The technology, he added, was designed with privacy in mind, ensuring it was ‘all anonymised.’
How did the system work? Before entering, customers tapped their cards or smart devices on a payment terminal.
This initiated a temporary hold of $1, which would be released once they left the store.
AI cameras tracked their every move and charged their accounts accordingly, sending a receipt via QR code once they exited.
Group shopping was also made possible, with the system tracking everyone’s movements and charging the first person’s account who scanned their card.
Those who simply window-shopped would not be charged.
Cashless, contactless technology promises faster, more efficient shopping.
According to Steve Carlin, AiFi's CEO, consumers would benefit from shorter wait times and improved checkout experiences.
Importantly, this new system also meant customers would avoid card surcharges, a cost that had been adding up for Australians.
Under Australian regulations, surcharges are prohibited when a free method of payment is unavailable.
In this case, the system ensured that no surcharges will be applied.
The Reserve Bank of Australia has also been considering a ban on such fees in the future.
The cashless system’s rollout was planned for various venues across Australia, including fuel stations, stadiums, and convenience stores.
However, its impact on retailers remained a topic of discussion.
Merchants would still be required to pay for the camera technology, and while some of the cost might be absorbed by the retailers, the system offered benefits too.
Carlin explained: ‘AiFi’s camera-led solution eliminates the need for expensive shelf sensors and can easily be adapted to various store sizes and formats.’
The technology could also reduce shoplifting and fraud, as shoppers’ payment details were already linked to their actions in the store.
However, concerns about the potential loss of jobs arose, as businesses could technically operate without any staff.
Fernando noted: ‘Depending on the type of store that adopts this, you might still need employees available to answer any questions, sort out issues with payment if they arise, or conduct other duties.’
A bigger challenge was the reliance on digital payments.
While cash usage had been declining in Australia, some consumers still preferred paying with physical money.
This group already faced difficulties in cashless stores and might not even be able to window shop without a digital payment method.
‘It doesn’t matter how you validate, you may use your palm print, for example, or your face, your eyes, or you might have to tap your card or your phone, but in all of those experiences, you absolutely have to validate it in order for there to be an electronic way to charge the customer,’ Fernando pointed out.
In the future, a hybrid store model that accommodates both cash and digital payments might be possible, but retailers would need to determine how that could work in practice.
What do you think about a cashless, AI-powered checkout system? Will it make shopping more convenient, or are we losing something important in the process?
Let us know your thoughts in the comments below!
What started as a simple concept has now evolved into something far more complex, leaving many wondering just how far this innovation will go.
As the retail landscape adapts to the digital age, this new development could have a lasting impact on everything from your daily purchases to the very way stores operate.
A new cashless shopping system using artificial intelligence (AI) was set to change how Australians made purchases.
The technology, which had been trialled at an Australian Open convenience store pop-up, allowed customers to enter a store by tapping their card.
Once inside, they could shop freely and walk out without having to scan items or talk to a cashier.
The AI-powered cameras, developed in collaboration with spatial intelligence platform AiFi, tracked shoppers’ movements and identified what they picked up.
Mastercard, the payment service provider behind this initiative, stated there were no surcharges for customers.
Surin Fernando, Mastercard Australasia's head of Customer Solutions Centre, emphasised the system’s speed and ease, saying: ‘It’s fully automated through the camera.’
The cameras used AI to track shoppers as stick figures, with no facial recognition involved.
Fernando clarified: ‘We don’t leverage in the retail experience any type of like facial recognition, or any type of recognition of you as an individual.’
‘The technology, he added, was designed with privacy in mind, ensuring it was ‘all anonymised.’
How did the system work? Before entering, customers tapped their cards or smart devices on a payment terminal.
This initiated a temporary hold of $1, which would be released once they left the store.
AI cameras tracked their every move and charged their accounts accordingly, sending a receipt via QR code once they exited.
Group shopping was also made possible, with the system tracking everyone’s movements and charging the first person’s account who scanned their card.
Those who simply window-shopped would not be charged.
Cashless, contactless technology promises faster, more efficient shopping.
According to Steve Carlin, AiFi's CEO, consumers would benefit from shorter wait times and improved checkout experiences.
Importantly, this new system also meant customers would avoid card surcharges, a cost that had been adding up for Australians.
Under Australian regulations, surcharges are prohibited when a free method of payment is unavailable.
In this case, the system ensured that no surcharges will be applied.
The Reserve Bank of Australia has also been considering a ban on such fees in the future.
The cashless system’s rollout was planned for various venues across Australia, including fuel stations, stadiums, and convenience stores.
However, its impact on retailers remained a topic of discussion.
Merchants would still be required to pay for the camera technology, and while some of the cost might be absorbed by the retailers, the system offered benefits too.
Carlin explained: ‘AiFi’s camera-led solution eliminates the need for expensive shelf sensors and can easily be adapted to various store sizes and formats.’
The technology could also reduce shoplifting and fraud, as shoppers’ payment details were already linked to their actions in the store.
However, concerns about the potential loss of jobs arose, as businesses could technically operate without any staff.
Fernando noted: ‘Depending on the type of store that adopts this, you might still need employees available to answer any questions, sort out issues with payment if they arise, or conduct other duties.’
A bigger challenge was the reliance on digital payments.
While cash usage had been declining in Australia, some consumers still preferred paying with physical money.
This group already faced difficulties in cashless stores and might not even be able to window shop without a digital payment method.
‘It doesn’t matter how you validate, you may use your palm print, for example, or your face, your eyes, or you might have to tap your card or your phone, but in all of those experiences, you absolutely have to validate it in order for there to be an electronic way to charge the customer,’ Fernando pointed out.
In the future, a hybrid store model that accommodates both cash and digital payments might be possible, but retailers would need to determine how that could work in practice.
What do you think about a cashless, AI-powered checkout system? Will it make shopping more convenient, or are we losing something important in the process?
Let us know your thoughts in the comments below!
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