B&Q is considering introducing ‘smart’ price tags into its stores, the chief executive of its parent company Kingfisher has said.
Ian Cheshire said that the DIY and home improvement retailer could use the tag tech to automatically update prices depending on the time of day and which customer is looking at the product.
The shelf-edge tags would use Wi-Fi to identify each customer by their mobile phone, and possibly reduce prices for those with loyalty cards or certain logged past purchases.
“We have done various behind-the-scenes tests,” Cheshire told the Daily Mail.
“It’s about special offers for individuals where we are looking at bundling offers or giving discounts.”
“We could [also] move to dynamic pricing and mimic the model used by EasyJet,” he added.
“Yield management techniques are not new – it’s just they haven’t traditionally been used in retailing. Pricing could be adjusted based on the time of day.”
Kingfisher has already introduced the technology inside its Castorama stores in France, and it could soon make its way to the UK.
“B&Q’s plans for electronic price tags reflects the retail priority to invest in innovative in-store technologies in order to engage shoppers and combat the growing showrooming trend,” commented Heikki Haldre, co-founder and chief executive of Fits.me, a website which offers virtual fitting room services.
“For the tech-savvy shopper, a personalised shopping experience is no longer a preference, it’s an expectation – and those retailers that can deliver a vastly improved experience are more likely to see their customers complete purchases immediately rather than watch them wander to a competitor.”