Steak n Shake takes PopID biometrics chain-wide

PopID has announced its biometric check-in and checkout will now be available on ACRELEC kiosks at all 300-plus Steak n Shake locations in the U.S. PopID’s check-in feature allows customers to review favorite orders and track loyalty points, while streamlining the consumer experience.

The addition can free up time for staff members, improve customer satisfaction, increase loyalty rewards participation, and reduce payment processing costs.

Consumer biometrics show promise in overcoming friction and drop-off caused by long queues, but it also minimizes human interaction during the transaction, which can also be a source of customer loyalty, panelists pointed out during a recent eMarketer podcast episode.

The panelists discuss the impact of biometrics and other advancements in retail, and wonder how many workers can be replaced by AI-enabled robotics.

Retail uptake could reduce POS friction, but minimizes human interaction

As many as 82 percent of consumers will avoid visiting a business because of longlines, according to an eMarketer article.

The adoption rate for Sam’s Club Scan & Go mobile checkout has increased 50 percent over the past three years.

Overall, checkout systems would benefit from more payment options like BNPL or Apple Pay, and 39 percent of retailers in Australia, North America, and the UK will provide more payment options in 2024 to keep up with competition. It’s estimated that over half of smartphone users in the U.S. will use mobile payments by 2028.

Still, self-checkout can be frustrating. If it doesn’t go smoothly, the process could end up taking longer than a manned checkout. And human interaction can improve retention. Consumers are more likely to return to a store where a human checked them out. Moreover, 69 percent of self-checkout users say it can facilitate shoplifting.

Skeptics wonder about privacy implications, supporting human workers

A writer for The Guardian documented her experience going to an AI-powered burger joint that used PopID’s biometric checkout in tandem with automated line cooks. She declined an offer to receive $10 in exchange for linking her face to her account.

“For some people, there’s almost a moral issue,” with the concept of self checkout, biometrics aside, says David Morris, a panelist on the eMarketer podcast. “You are replacing a human being. I think you’re seeing some of the same concerns about generative AI and technology.”

There have also been instances where it hasn’t been disclosed how biometrics and computer vision are using data during a transaction, or in some cases, whether it’s present at all.

At the University of Waterloo in Canada, students discovered that on-campus vending machines were using biometric facial analysis to track the gender and age of customers and those passing by the machines after a glitch revealed code that showed it was happening, Fast Company recounts in an article examining the growing collection of data in the fast food industry.

In a world where businesses increasingly leverage personal data for targeted insights, as well as implement AI to replace human workers, many consumers are increasingly anxious of these advancements, fearing a dystopian future of surveillance. The vending machines, accordingly, were removed from the University.

And Amazon’s Just Walk Out was hit with a BIPA lawsuit last September after allegedly failing to obtain consent before collecting customers’ biometrics.

Still, overall, ”biometric checkout has a lot of legs. There have always been concerns about consumers’ perceptions of privacy, but a lot of that can really come down to a trust in a brand,” says Morris.

Article Topics

biometric payments  |  biometrics  |  facial recognition  |  hospitality  |  PopID  |  retail biometrics