Friday, January 19, 2018

Spying On Shoppers

Technology, oh technology. I like you less and less every day. Well, at least that electronic communication technology that spies on you and me. Guess what spy technology is now becoming standard at public retail spaces like your favorite shopping venue. Here's a hint. The next phase in data collection is right under your feet....literally It's a question Milwaukee, Wisconsin based startup Scanalytics is helping businesses explore with floor sensors that track people's movements.

When you walk in the store gazing at all that junk that you are dying to buy but don't need their are sensors you step on in the floor, sensors that read a customer's unique foot compressions to track that person's path to a digital display. It's big shopping brother! The sensors even report back to the store spy how long the person stands in front of it before walking away. Based on data collected over time, the floor sensors can tell a retailer the best time to offer a coupon or change the display before the customer loses interest.

Wow! This is terrible. Maybe we men can use this as an excuse to not go to the mall with women who want us and our wallet for their mall purchases. Ok, that's sexist joke. But it could wind up to be a blessing for us. Excuses to avoid malls are rare. Anyway this technology is already in use in Europe and some places in the U.S., and it is not a costly expense for businesses. The cost of having the sensors ranges from $20 to $1,000 per month, depending on square footage and add-on applications to analyze data or interact with digital signs.

Retailers make up the majority of Scanalytics' customers, highlighting one of several efforts brick-and-mortar stores are undertaking to better understand consumer habits and catch up with e-commerce giant Amazon. Spying this way makes sense to the stores trying to compete. But will customers "stand" for it? The argument for the spying is that  it is harmless outside of tracking customer wants and spending, and that physical stores (as opposed to online shopping) have been at a disadvantage because they 'don't have understanding as to where users are entering, what they're doing, what shelves are not doing well, which aisles are not being visited. But it's become easier for stores to track customers in recent years. In the case of buying on line, with Wi-Fi  businesses can follow people when they connect to a store's internet. One drawback is that not everyone logs on so the sample size is smaller.

In the case of in store spying sensors, another disadvantage is that with the sensors it's not possible to tell whether someone is inches or feet away from a product. Also it is that it's not possible to tell whether someone is inches or feet away from a product. Some companies already use artificial intelligence with video cameras to analyze body motions. Based on data collected over time, the floor sensors can tell a retailer the best time to offer a coupon or change the display before the customer loses interest.  Scanalytics' sensors, which can be tucked under utility mats, count the number of customers entering each of its eight stores to help schedule staff.

I wonder at what point the consumers, so addicted to accepting any technology that is new, will see that cute and trendy isn't necessarily good. Maybe this kind of consumer spying will push us off the all technology is wonderful cliff. I hope so.

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