Key takeaways
- Techstars-backed Jump n Pass has partnered with Justrite Limited to activate its mobile self-checkout services at all Justrite Superstores in Nigeria.
- The startup, which launched in 2023, tries to merge the online and offline shopping experience for shoppers.
- This partnership with Justrite will see its mobile self-checkout services activated in all 26 Justrite stores across Western Nigeria.
According to the Co-founder and CEO of Jump n Pass, Tunde Ademuyiwa, the mobile self-checkout service has already been activated at the Bariga, Lagos outlet of Justrite Supertores, and other stores will follow in a couple of weeks.
The mobile-self checkout service by Jump n Pass could help Justrite reduce queues at checkout spots. Per the company's website, it offers 60% faster checkouts as customers can pay for their items online.
Faster checkouts also mean stores can make more money, which, in addition to improving shopping experience, is one of the reasons which, according to Ademuyiwa, Justrite was excited to adopt the mobile self-checkout system.
According to studies, 86% of customers will avoid stores with long queues, which equates to a loss of revenue for those stores. The mobile self-checkout service also promises a 20% reduction in staff costs, but how does it work?
How Jump n Pass works
Once in a store, customers scan a barcode that helps the Jump n Pass web app identify which store they are in. Ademuyiwa explains that each store where the service is activated is synced with the store's inventory.
The web app allows customers to scan items in their cart with a smartphone and an online cart is created. Customers then proceed to pay for the items online.
While this allows customers to jump and pass queues at stores, a store attendant is still required to make sure the customers scanned all the items in their shopping carts.
Although this seems like could create more queues at stores, Jump n Pass limits the number of items users can purchase.
"The reason for this is because we don't want the purpose to be defeated," Ademuyiwa clarifies, "Once we limit it to a few items, on the spot check can be done, without having to dig through everything that has been purchased."
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This means that people buying many items will use the traditional checkout system.
However, this will be put to the test with the Justrite partnership, as the chain store has a sizeable footfall making it an "ideal customer for Jump n Pass."
According to Ademuyiwa, the partnership was made possible because of Justirite's proactive nature towards improving the shopping experience of their customers.
While this opens the store to faster checkouts and increased revenue per shopper, they will also get access to inventory finance and actionable data about their customers.
Jump n Pass, on the other hand, will make money by charging a convenience fee — ₦100/$0.08, or even lower, per transaction — to customers who want to beat the queues at the traditional checkout points.
The startup is looking to get 80% of Justrite's traffic to adopt the self-checkout method by Q3 2023.
While this could mean a lot of revenue for Jump n Pass, the startup also does all the heavy lifting when activating its service in new stores. Integrating with a new ecosystem like Justrite Limited takes about two weeks while integrating with the store branches takes 30 minutes.
The integration involves technical work that allows the store's existing infrastructure to be in "perfect synchronisation" with Jump n Pass.
"They basically talk to each other," Ademuyiwa explains.
Self-checkout is hard
OyaPayGo and FastCheckout are some startups that have tried to reduce retail store queues with a self-checkout solution.
FastCheckout's last social media post, which was in 2020 indicates it pivoted to grocery delivery. The startup's website is also down, which could mean the shutdown of the business. The situation is also the same for OyaPayGo.
Even Amazon, the eCommerce giant of the world is removing its “Just Walk Out” technology from grocery stores.
Once touted as the future of retail, the technology uses a wide array of cameras and sensors to monitor shoppers and eliminate the need for humans in a retail store.
Besides the technology being incredibly expensive to install, consumers were frustrated with tech.
Ademuyiwa, who is a third-time founder, admits that the mission Jump n Pass has embarked on is a difficult one. But with a founding team that has experiences from Amazon, to Ernst & Young, and Access Bank, He's confident Jump n Pass will become "the single source of truth for modern retail data" globally.
