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Grabango Shuts Down: Is This the End of Camera-Based Checkout? · Omni Talk Retail

• 0:00
  Grabango
• 0:00
  has
• 0:00
  called
• 0:01
  it
• 0:01
  quits.
• 0:01
  According
• 0:02
  to
• 0:02
  payments
• 0:02
  dive,
• 0:02
  Grabango,
• 0:03
  the
• 0:03
  automated
• 0:04
  checkout
• 0:04
  technology
• 0:04
  company
• 0:05
  whose
• 0:05
  software
• 0:05
  was
• 0:06
  used
• 0:06
  by
• 0:06
  Aldi
• 0:07
  and
• 0:07
  piloted
• 0:08
  in
• 0:08
  several
• 0:08
  us
• 0:08
  convenience
• 0:09
  store
• 0:09
  chains,
• 0:10
  has
• 0:10
  permanently
• 0:11
  ceased
• 0:11
  operations.
• 0:12
  Grabango's
• 0:13
  technology
• 0:13
  was
• 0:14
  similar
• 0:14
  to
• 0:14
  Amazon
• 0:14
  just
• 0:15
  walk
• 0:15
  out
• 0:15
  tech,
• 0:15
  and
• 0:15
  that
• 0:16
  it
• 0:16
  kept
• 0:16
  track
• 0:16
  of
• 0:16
  what
• 0:17
  shoppers
• 0:17
  picked
• 0:17
  up
• 0:17
  inside
• 0:18
  the
• 0:18
  store
• 0:18
  as
• 0:19
  soon
• 0:19
  as
• 0:19
  they
• 0:19
  entered.
• 0:20
  And
• 0:20
  then
• 0:20
  when
• 0:21
  ready
• 0:21
  to
• 0:21
  leave,
• 0:21
  customers
• 0:22
  would
• 0:22
  scan
• 0:22
  a
• 0:22
  code
• 0:22
  in
• 0:23
  the
• 0:23
  Grabango
• 0:23
  mobile
• 0:24
  app
• 0:24
  and
• 0:24
  their
• 0:24
  payment
• 0:25
  would
• 0:25
  automatically
• 0:26
  process.
• 0:26
  However,
• 0:27
  unlike
• 0:27
  Amazon,
• 0:28
  Grabango's
• 0:29
  technology
• 0:29
  also
• 0:30
  did
• 0:30
  not
• 0:30
  rely
• 0:30
  on
• 0:30
  weight
• 0:31
  sensors
• 0:31
  within
• 0:31
  in
• 0:32
  stores
• 0:32
  shelves
• 0:32
  and
• 0:33
  used
• 0:33
  cameras
• 0:34
  only.
• 0:35
  Chris
• 0:35
  Grabango
• 0:36
  shut
• 0:36
  down
• 0:36
  this
• 0:37
  week.
• 0:37
  Amazon
• 0:38
  called
• 0:38
  it
• 0:38
  quits
• 0:38
  on
• 0:38
  some
• 0:39
  just
• 0:39
  walk
• 0:39
  out
• 0:39
  tech
• 0:40
  or
• 0:40
  called
• 0:40
  it's
• 0:40
  just
• 0:41
  walk
• 0:41
  out
• 0:41
  technology
• 0:42
  tech
• 0:42
  cumbersome
• 0:43
  last
• 0:44
  week.
• 0:44
  And
• 0:44
  so
• 0:45
  I
• 0:45
  have
• 0:45
  to
• 0:45
  ask
• 0:45
  you,
• 0:45
  is
• 0:46
  this
• 0:46
  the
• 0:46
  final
• 0:47
  nail
• 0:47
  in
• 0:47
  the
• 0:47
  coffin
• 0:48
  of
• 0:48
  fixed
• 0:48
  position
• 0:49
  camera
• 0:49
  based
• 0:49
  just
• 0:49
  walk
• 0:50
  out
• 0:50
  systems?
• 0:51
  Oh,
• 0:52
  wow.
• 0:52
  And
• 0:52
  you're
• 0:52
  starting
• 0:52
  me
• 0:53
  off
• 0:53
  hot,
• 0:54
  I
• 0:55
  think,
• 0:55
  sadly,
• 0:56
  I
• 0:56
  think
• 0:56
  very,
• 0:57
  very
• 0:57
  sadly,
• 0:58
  I
• 0:58
  think
• 0:58
  I'm
• 0:59
  going
• 0:59
  to
• 0:59
  actually
• 0:59
  say
• 0:59
  that
• 0:59
  it
• 1:00
  is,
• 1:00
  I'm
• 1:00
  going
• 1:00
  to
• 1:00
  make.
• 1:00
  This
• 1:01
  is
• 1:01
  it,
• 1:01
  huh?
• 1:02
  I
• 1:02
  think
• 1:02
  it
• 1:02
  is.
• 1:02
  I
• 1:02
  think
• 1:02
  this
• 1:03
  is
• 1:03
  the
• 1:03
  nail
• 1:03
  in
• 1:03
  the
• 1:03
  coffin
• 1:04
  quite
• 1:04
  simply
• 1:05
  for
• 1:05
  the
• 1:05
  fact
• 1:05
  that
• 1:06
  just
• 1:06
  walking
• 1:06
  out
• 1:07
  of
• 1:07
  a
• 1:07
  store,
• 1:07
  as
• 1:07
  we
• 1:07
  talked
• 1:08
  about
• 1:08
  last
• 1:08
  week,
• 1:08
  isn't
• 1:09
  that
• 1:09
  valuable
• 1:09
  of
• 1:10
  an
• 1:10
  idea
• 1:10
  to
• 1:11
  consumers
• 1:11
  as
• 1:11
  a
• 1:12
  point
• 1:12
  of
• 1:12
  differentiation.
• 1:13
  And
• 1:14
  also,
• 1:14
  perhaps
• 1:14
  more
• 1:14
  importantly,
• 1:15
  all
• 1:15
  the
• 1:15
  other
• 1:16
  benefits
• 1:16
  of
• 1:16
  the
• 1:16
  cameras,
• 1:17
  specifically
• 1:18
  pricing
• 1:18
  and
• 1:18
  inventory
• 1:19
  accuracy,
• 1:20
  can
• 1:20
  all
• 1:20
  be
• 1:20
  accomplished
• 1:21
  more
• 1:21
  simply
• 1:21
  and
• 1:22
  easily
• 1:22
  and
• 1:23
  cost
• 1:23
  effectively
• 1:23
  with
• 1:24
  other
• 1:24
  systems,
• 1:24
  especially
• 1:25
  in
• 1:25
  store
• 1:26
  robotics.
• 1:26
  Right,
• 1:27
  right.
• 1:27
  Talks
• 1:27
  about
• 1:28
  that
• 1:28
  a
• 1:28
  lot
• 1:28
  on
• 1:28
  our
• 1:28
  show.
• 1:28
  So,
• 1:29
  so
• 1:29
  the
• 1:29
  implications
• 1:30
  of
• 1:30
  all
• 1:30
  this,
• 1:30
  of
• 1:31
  all
• 1:31
  of
• 1:31
  this
• 1:31
  from
• 1:32
  this
• 1:32
  announcement
• 1:32
  from
• 1:32
  Gabango,
• 1:33
  are
• 1:33
  biggest,
• 1:33
  big
• 1:34
  in
• 1:34
  my
• 1:34
  mind,
• 1:35
  because
• 1:35
  Grabango
• 1:36
  was
• 1:36
  actually
• 1:36
  trying
• 1:37
  to
• 1:37
  do
• 1:37
  it
• 1:37
  in
• 1:37
  the
• 1:37
  least
• 1:37
  capital
• 1:38
  intensive
• 1:38
  way.
• 1:39
  Like
• 1:39
  you
• 1:39
  mentioned,
• 1:39
  they're
• 1:39
  doing
• 1:40
  it
• 1:40
  without
• 1:40
  shelf
• 1:40
  sensors,
• 1:41
  but
• 1:41
  yet
• 1:42
  they
• 1:42
  still
• 1:42
  had
• 1:42
  trouble
• 1:43
  getting
• 1:43
  traction.
• 1:44
  So
• 1:44
  my
• 1:45
  prediction,
• 1:45
  I'm
• 1:45
  going
• 1:45
  to
• 1:45
  be
• 1:46
  bold
• 1:46
  here.
• 1:46
  My
• 1:46
  prediction,
• 1:47
  bold
• 1:47
  right
• 1:47
  at
• 1:47
  the
• 1:48
  start
• 1:48
  of
• 1:48
  this
• 1:48
  podcast,
• 1:49
  my
• 1:49
  prediction
• 1:50
  is
• 1:50
  that
• 1:50
  all
• 1:50
  the
• 1:50
  activity
• 1:51
  in
• 1:51
  this
• 1:51
  area
• 1:51
  is
• 1:52
  going
• 1:52
  to
• 1:52
  cease,
• 1:53
  particularly
• 1:53
  among
• 1:53
  grocers,
• 1:54
  and
• 1:54
  that
• 1:55
  more
• 1:55
  investment
• 1:56
  and
• 1:56
  energy
• 1:56
  will
• 1:56
  be
• 1:57
  put
• 1:57
  towards
• 1:58
  things
• 1:58
  like
• 1:58
  in
• 1:58
  store
• 1:58
  robotics,
• 1:59
  which,
• 1:59
  as
• 1:59
  I've
• 1:59
  said
• 2:00
  before,
• 2:01
  will
• 2:01
  make
• 2:01
  2025
• 2:02
  the
• 2:02
  year
• 2:02
  of
• 2:03
  the
• 2:03
  in
• 2:03
  store
• 2:03
  robot.
• 2:04
  Because
• 2:05
  just
• 2:05
  walk
• 2:05
  out
• 2:05
  systems
• 2:06
  are
• 2:06
  getting
• 2:06
  pulled
• 2:06
  back.
• 2:07
  Robotic
• 2:07
  implementations
• 2:08
  are
• 2:08
  already
• 2:08
  on
• 2:08
  the
• 2:09
  rise.
• 2:09
  You're
• 2:09
  seeing
• 2:09
  them
• 2:10
  go
• 2:10
  from
• 2:10
  grocers
• 2:11
  to
• 2:11
  warehouse
• 2:11
  clubs.
• 2:12
  The
• 2:13
  trend
• 2:13
  is
• 2:13
  already
• 2:14
  heading
• 2:14
  in
• 2:14
  that
• 2:14
  direction.
• 2:14
  And
• 2:15
  this
• 2:15
  news
• 2:15
  just
• 2:16
  further
• 2:17
  intensifies
• 2:17
  that
• 2:18
  trend,
• 2:18
  in
• 2:18
  my
• 2:18
  opinion.
• 2:19
  Yeah,
• 2:19
  I
• 2:20
  agree.
• 2:20
  I
• 2:20
  mean,
• 2:20
  I
• 2:20
  think
• 2:21
  that,
• 2:21
  you
• 2:21
  know,
• 2:21
  retailers
• 2:22
  like
• 2:22
  we've
• 2:23
  talked
• 2:23
  about
• 2:23
  multiple
• 2:23
  times,
• 2:24
  they
• 2:24
  really
• 2:24
  have
• 2:24
  had
• 2:24
  to
• 2:25
  focus
• 2:26
  you
• 2:26
  know,
• 2:26
  shifting
• 2:27
  their
• 2:27
  technology
• 2:28
  investments
• 2:28
  to
• 2:29
  things
• 2:29
  that
• 2:29
  are
• 2:29
  really
• 2:30
  impacting
• 2:30
  their
• 2:30
  core
• 2:30
  business.
• 2:31
  And
• 2:31
  to
• 2:31
  your
• 2:32
  point,
• 2:32
  like
• 2:32
  this,
• 2:32
  this
• 2:33
  is
• 2:33
  still
• 2:33
  kind
• 2:33
  of
• 2:34
  something
• 2:34
  on
• 2:34
  the
• 2:35
  roadmap
• 2:35
  that
• 2:35
  was
• 2:35
  more
• 2:36
  of
• 2:36
  a,
• 2:36
  like,
• 2:37
  very
• 2:37
  R
• 2:37
  and
• 2:37
  D
• 2:38
  heavy.
• 2:38
  Nice
• 2:38
  to
• 2:38
  have
• 2:39
  even
• 2:39
  some
• 2:39
  of
• 2:39
  these
• 2:39
  Grabango
• 2:40
  stores
• 2:40
  that
• 2:40
  they
• 2:40
  were
• 2:41
  piloting.
• 2:41
  It
• 2:42
  wasn't
• 2:42
  the
• 2:42
  only
• 2:43
  way
• 2:43
  to
• 2:43
  shop
• 2:43
  those
• 2:44
  stores
• 2:44
  either.
• 2:44
  So
• 2:44
  I
• 2:45
  think
• 2:45
  that's
• 2:45
  the
• 2:45
  key
• 2:46
  thing.
• 2:46
  Like,
• 2:46
  it
• 2:46
  was
• 2:47
  still
• 2:47
  in
• 2:47
  test
• 2:48
  mode.
• 2:48
  It
• 2:48
  didn't
• 2:48
  seem
• 2:49
  like
• 2:49
  they
• 2:49
  were,
• 2:49
  you
• 2:50
  know,
• 2:50
  these
• 2:50
  retailers
• 2:51
  were
• 2:51
  willing
• 2:51
  to,
• 2:51
  like,
• 2:51
  go
• 2:51
  all
• 2:52
  in
• 2:52
  on
• 2:52
  it,
• 2:52
  too.
• 2:53
  And
• 2:53
  I
• 2:53
  think
• 2:54
  that,
• 2:54
  for
• 2:54
  me,
• 2:54
  it's
• 2:55
  not
• 2:55
  a
• 2:55
  no,
• 2:56
  this
• 2:57
  technology
• 2:57
  is
• 2:58
  never
• 2:58
  going
• 2:58
  to
• 2:58
  happen
• 2:59
  again
• 2:59
  or
• 2:59
  that
• 3:00
  it's,
• 3:00
  we're
• 3:00
  not
• 3:00
  going
• 3:00
  to
• 3:00
  see
• 3:00
  it
• 3:01
  pop
• 3:01
  up
• 3:01
  again.
• 3:01
  I
• 3:01
  just
• 3:02
  think
• 3:02
  that
• 3:02
  because
• 3:03
  of
• 3:03
  the
• 3:03
  things
• 3:03
  you
• 3:04
  said,
• 3:04
  you
• 3:04
  know,
• 3:04
  there's
• 3:05
  other
• 3:05
  ways
• 3:05
  that
• 3:05
  you
• 3:06
  can
• 3:06
  achieve
• 3:06
  some
• 3:07
  of
• 3:07
  the
• 3:07
  benefits
• 3:07
  that
• 3:08
  this
• 3:08
  provides,
• 3:10
  like
• 3:10
  robotics,
• 3:11
  like,
• 3:12
  you
• 3:12
  know,
• 3:12
  controlled
• 3:13
  entry
• 3:13
  and
• 3:13
  exit
• 3:14
  and
• 3:14
  other
• 3:14
  things
• 3:14
  that
• 3:15
  don't
• 3:15
  require
• 3:16
  as
• 3:16
  much
• 3:16
  capital
• 3:17
  investment
• 3:17
  right
• 3:17
  now
• 3:17
  from
• 3:18
  retailers
• 3:18
  that
• 3:18
  they
• 3:18
  just
• 3:18
  don't
• 3:19
  have.
• 3:19
  They
• 3:19
  just
• 3:19
  have
• 3:19
  to
• 3:20
  focus
• 3:20
  on
• 3:20
  other
• 3:20
  things,
• 3:21
  like,
• 3:21
  you
• 3:21
  know,
• 3:22
  labor
• 3:22
  shortages
• 3:23
  shrink
• 3:23
  all
• 3:23
  these
• 3:23
  other
• 3:24
  things,
• 3:24
  and
• 3:24
  there
• 3:24
  are
• 3:25
  ways
• 3:25
  to
• 3:25
  do
• 3:25
  that
• 3:25
  more
• 3:25
  affordably
• 3:26
  than
• 3:26
  I
• 3:26
  think
• 3:27
  this
• 3:27
  technology,
• 3:28
  unfortunately,
• 3:29
  it's,
• 3:29
  we're
• 3:30
  so
• 3:30
  big
• 3:30
  on
• 3:30
  it.
• 3:30
  I'm
• 3:30
  so
• 3:31
  sad
• 3:31
  to,
• 3:31
  like,
• 3:32
  make
• 3:32
  this
• 3:32
  the
• 3:32
  final.
• 3:33
  Final.
• 3:34
  But.
• 3:35
  But
• 3:36
  you're
• 3:36
  kind
• 3:36
  of
• 3:36
  feeling
• 3:36
  that
• 3:36
  way,
• 3:37
  too,
• 3:37
  then.
• 3:37
  Yeah,
• 3:38
  yeah,
• 3:38
  I
• 3:39
  think,
• 3:39
  yeah.
• 3:40
  I
• 3:40
  mean,
• 3:40
  to
• 3:40
  your
• 3:41
  point,
• 3:41
  like,
• 3:41
  even
• 3:41
  though
• 3:41
  we
• 3:42
  talked
• 3:42
  about
• 3:42
  last
• 3:42
  week,
• 3:42
  Sam's
• 3:43
  club's
• 3:43
  exit
• 3:44
  setup,
• 3:44
  you
• 3:44
  know,
• 3:45
  which
• 3:45
  uses
• 3:46
  some
• 3:46
  computer
• 3:46
  vision
• 3:46
  but
• 3:46
  uses
• 3:47
  it
• 3:47
  in
• 3:47
  a
• 3:47
  different
• 3:47
  way
• 3:48
  with
• 3:48
  scan
• 3:48
  and
• 3:48
  go
• 3:49
  or
• 3:49
  even
• 3:49
  Instacart
• 3:49
  smart
• 3:50
  card,
• 3:50
  you
• 3:50
  can
• 3:51
  still
• 3:51
  get
• 3:51
  at
• 3:51
  that
• 3:51
  in
• 3:52
  the
• 3:52
  long
• 3:52
  run
• 3:52
  in
• 3:52
  a
• 3:53
  very
• 3:53
  simpler,
• 3:54
  less
• 3:54
  capitally
• 3:54
  intensive
• 3:55
  way
• 3:55
  to
• 3:55
  do
• 3:55
  it.
• 3:56
  And,
• 3:56
  you
• 3:56
  know,
• 3:56
  you
• 3:57
  just
• 3:57
  get
• 3:57
  down
• 3:57
  to
• 3:57
  it,
• 3:57
  like,
• 3:57
  keeping
• 3:58
  all
• 3:58
  those
• 3:58
  items
• 3:59
  tracked
• 4:00
  in
• 4:00
  a
• 4:00
  store
• 4:00
  with
• 4:01
  a
• 4:01
  degree
• 4:01
  of
• 4:01
  accuracy
• 4:02
  that
• 4:02
  you
• 4:02
  need.
• 4:02
  And,
• 4:03
  and
• 4:03
  then
• 4:03
  the
• 4:04
  impact
• 4:04
  it
• 4:04
  puts
• 4:05
  on
• 4:05
  merchandising,
• 4:05
  like
• 4:05
  Amazon
• 4:06
  talked
• 4:06
  about,
• 4:06
  just
• 4:06
  seems
• 4:07
  like
• 4:07
  it's
• 4:07
  really
• 4:07
  hard.
• 4:08
  Yeah.
• 4:09
  Yeah,
• 4:09
  I
• 4:09
  agree.
• 4:10
  Well,
• 4:10
  we'll
• 4:10
  see.
• 4:10
  We'll
• 4:11
  see
• 4:11
  what
• 4:11
  happens
• 4:11
  and
• 4:11
  follow
• 4:12
  suit,
• 4:12
  but,
• 4:12
  yeah,
• 4:13
  Amazon
• 4:13
  closed
• 4:13
  some
• 4:14
  go
• 4:14
  stores
• 4:14
  this
• 4:14
  past
• 4:15
  week,
• 4:15
  too.
• 4:17
  It's
• 4:17
  not
• 4:17
  looking
• 4:17
  great.
• 4:19
  Yeah.
• 4:19
  And,
• 4:19
  well,
• 4:20
  and
• 4:20
  you
• 4:20
  know
• 4:20
  what,
• 4:20
  though?
• 4:20
  We'll
• 4:21
  always
• 4:21
  have
• 4:21
  Germany.
• 4:22
  We'll
• 4:22
  always
• 4:22
  have
• 4:22
  our
• 4:23
  summer
• 4:23
  of
• 4:23
  2020.
• 4:24
  We
• 4:24
  will
• 4:25
  try
• 4:26
  out
• 4:26
  all
• 4:26
  these
• 4:27
  different
• 4:27
  stores.