Tesco Lotus implements mobile retail solution with Honeywell

Tesco Lotus, a leading retailer in Thailand, recently partnered with Honeywell to implement a mobile retail solution that allows it to interact with customers via their smart phones. To implement the system, Tesco Lotus had to transition the POS system from 1D to 2D scanning capable of reading bar codes from smartphone screens.

The solution features a smartphone-ready app that offers a series of benefits to Tesco Lotus customers, including quick and easy access to mobile coupons, an e-loyalty card and linked credit cards.

The system allows Tesco Lotus to distribute mobile coupons quickly and for the coupons to be readily retrieved by customers via Tesco Lotus app messages. Using the app, customers simply download e-coupons to their smartphones and are able to redeem these when they check-out purchases in store.

In addition, instead of waiting to be sent a loyalty card, customers can now receive an e-loyalty card (in the form of a bar code on their smartphone) when they register as a Tesco Lotus member. To make use of the e-loyalty cards, customers can present their phone with the bar code for easy scanning when checking out.

Customers can also choose to have their credit card account linked to their e-loyalty card in order to earn member points and make payments all at once via the ‘e-wallet’ platform.

According to Tesco Lotus, this goes beyond the primary purpose of giving customers points for their purchases. It enables Tesco Lotus to capture a wealth of information about an individual shopper’s unique buying patterns and use this information to tailor promotions for individuals or sub-groups of customers.

“Our objectives in moving to a mobile retail system are to improve productivity and customer experience through the introduction of a new smartphone app which allows customers to have mobile coupons, e-loyalty cards, e-wallet and more, at their fingertips at all times,” explained Saroj Prombut, IT manager, Tesco Lotus Store and Retail Service.

Tesco Lotus’ new mobile system heavily relies on electronic bar code scanning of e-coupons and e-loyalty cards. Thus, a key factor in the choice of new scanning technology is that it must be able to read electronic bar codes quickly and accurately that are displayed on smart phone screens without any reflection and contrast issues.

“Check-out efficiency is central to shaping a customer’s shopping experience, so Tesco Lotus was very thorough in researching the selection of the right bar code scanner,” said Prombut. “Following internal lab testing over a one -month period and on-site store testing, the Honeywell Xenon 1900g stood out due to its aggressive scan performance reading a range of mobile bar codes.”

Tesco Lotus’ research found that the solution worked smoothly without customers having to present their smartphone in front of the scanner in any particular orientation. A clear beep indicates that the barcode is instantly read and the transaction processed.

The scanner’s high performance was further evidenced through quick reading of some hard-to-read grocery product barcodes, such as those on plastic bags or cans.

With these clear advantages, Tesco Lotus decided to integrate the Honeywell scanning solution with their upgraded POS systems across 1,200 stores in Thailand.

With the success of the new mobile retail system, Tesco Lotus iscurrently in the process of developing a new retail service system which will enable customers to pay their utility bills at stores by scanning an electronic QR barcode from their smartphones.

By introducing a new electronic bill payment system, Tesco Lotus aims to bring even greater convenience to their customers so they can pay bills and purchase groceries all at the one location.