Comment Electronic Shelf Tags are essential (Score 2) 95
I thought everything was a dollar!
Right... I worked for The Beer Store, the brewer-owned private company which distributes beer across the Province of Ontario. Our Premier (roughly equivalent to a State Governor) made a campaign promise of "A buck a beer!".
So, a new empty can cost roughly $0.20 at the time. The law in Ontario is that shelf prices include tax and deposit. So, the can is $0.30 - twenty cents for the can itself, plus another dime for the deposit to make sure the used can comes back for recycling.
Now, on top of that, you have to make a food-grade beverage, pay your excise tax to the federal government, and then there have to be profits for the manufacturer and the distributor/retailer (that would be Brewers Distributing Limited dba. The Beer Store).
Customers would come to me and - with that "I know more than you even though I haven't held a job in 16 years" expertise - tell me that we were going to be carrying "buck a beer" because they voted for Doug Ford (who also cut their welfare increases).
"When do you get it? It's gotta be soon!"
"The first shipment arrives February 31st, so mark your calendar!"
I must have used that line 500 times. Only one person realized that there's no February 31st. To his credit, he had to come back to the store to tell me. LOL
Exactly ONE brewer made the Buck A Beer - Cool Brewing of Etobicoke, in Doug Ford's riding. We were lucky if we got a single case (24 beers) a month. Promise fulfilled... Right.
Anyway... The Beer Store's shelf tags were printed at the distribution center and sent to stores with truckloads of beer and empties in and out. Of course, you always had too many tags you didn't need, and were always short of the shelf tags that you did need. If a tag was outdated and wrong, you have to - ethically if not legally - honour the price. And, of course, if a tag was damaged or lost, there was no tag for that product. All of this hearkened back to The Beer Store's roots as Brewer's Retail where everything was behind a counter and we had a selection wall. In a newer self-service store like mine, this did not work.
Electronic shelf tags were implemented. It was amazing. Snap the tag into place on the shelf. Scan the tag. Scan the product. Press a button. The scan gun would beep and a moment later, the tag would update with the item description and price.
Price changes? Automatically updated on all tags.
Now, something about selling addictive substances: Sometimes someone decides that the item's price is what they have, not what the shelf tag says. And they will argue with you until the cows come home. You get jaded to it.
"That will be $2.25 for the can of Pabst Blue Ribbon 5.9."
"The tag says $1.95 so you have to give it to me for that. You forgot to update the sticker."
"No sir, I assure you that it doesn't. They're not stickers, they're electronic and tied to the POS."
"It says $1.95."
"Sir, if the shelf tag says $1.95 for Pabst Blue Ribbon 5.9, I will give you a full case of it. On the house."
For a moment, they're elated. And then they realize that I'm coming out from behind the counter to call their bluff. In front of the lineup of impatient customers during the daily 10:01AM opening rush. Catcalls. Whistles. Jeers.
Walk over with the dude... shelf tag says $2.25 for PBR 5.9. Now, at this point, I'm annoyed, and I'm not going to short my till $0.30 for him. Or suggest to him an alternative beer that is $1.95 a can. If he'd just passed me all his change and come up a little short, I would have covered it. Personally, out of my pocket, if I didn't have a few nickels and dimes perpetually floating around my cash. I've spent way too much time on both sides of the counter at The Beer Store, so I have plenty of empathy - just don't be an asshole.
Anyway... Dollar stores are dealing with customers who are on the very bottom economic rung, whether from addiction or for some other bad life event. Now, sometimes these people are a nickel away from being able to afford a can of beer - or a jar of baby food. I have seen split tender three ways for a $2 item - $0.50 from returning 5 empty cans, $0.97 by scraping a prepaid Mastercard from last Christmas to the last cent, and then $0.55 from under the sofa cushions or wherever. Unexpected price changes can drastically upset plans these people have made to get a few supplies with their very last dollar.
"I can get a box of Kraft Dinner at Dollarama for $0.50, and two cans of cat food at A Buck Or Two with the other $0.50..." I've seen it, and I've personally lived it.
The shelf tags, especially at a dollar/discount/alcohol/cannabis store of any sort, must be accurate. As an experienced retail manager, electronic shelf tags are simply essential.
You can sell the boss on implementing them with the operational savings, the labour of having to change stickers with every price change. Electronic shelf tags will pay for themselves in very short order.