1 TERMS OF REFERENCE

1.0 RATIONALE

Grocery industry in the United Kingdom (UK) is considered as one of the largest private sectors in terms of employers and was valued at £184.5 billion in June 2017 (Phillips, 2017).

This industry aim is to provide affordable and quality food in all over the country. There are approximately 87,141 grocery stores in UK which are divided into four sectors: supermarket chains, traditional retail and developing convenience, convenience stores and alternatives channels.

The supermarket sector is dominated by three major’s supermarkets which are Tesco, Sainsbury’s and Asda; and some smaller stores such as Iceland, Waitrose, Aldi and Lidl operating all in the same market. This industry is registering the strongest growth in the UK retail industry. This has been more driven by the introduction of online shopping and the expansion of convenience stores in all over the country.

In the last two decades there has been a heavy and continuous competition in supermarket industry (Wood, 2014). This has pushed large grocery chains to innovate and invest in new technologies in order to improve consumers shopping journey, effectively manage their satisfaction and therefore attract them as many as possible.

Recently among the new technologies introduced in supermarket industry, we are witnessing an increase in Self-Scanning Checkout technology in almost all the largest and smallest supermarket chains. These shifts of economy and technology with the use of Self-Scanning Checkout in supermarket has not only revolutionised the industry but it has also rewritten consumer’s shopping habit.

This research is seeking to find out whether this proliferation Self-Scanning Checkouts in supermarket industry has been really benefiting consumers. Additionally, it seeks to assess different constraints and struggles faced by consumers while using this new technology.

1.1RESEARCH QUESTION

Did Self-Scanning Checkout Technology lead to high consumer’s satisfaction in UK supermarket industry?

1.2 RESEARCH AIM

The aim of this research is to critically evaluate the effect of Self-Scanning Checkout technology on Consumer Buying Behaviour in UK supermarket industry.

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1.3 RESEARCH OBJECTIVES

• To explore the true raisons behind the increase in Self Scan Checkout technology in UK grocery industry.
• To compare Self-Scanning Checkout usage within UK grocery industry.
• To analyse consumer experience while using the Self-Scanning Checkout and their potential attitude, behaviour and responses towards this new checkout system.

2 LITTERATURE REVIEW

2.1 Consumer Buying Behaviour

Consumer behaviour can be defined as the study of the processes involved when consumers acquire, consume and dispose of goods, services, ideas, activities in order to satisfy their desires and needs (Noel, 2009).

Consumer buying behaviour examines how consumer acquires, dispose and use products and services which can be acquired through purchases (Kotler, 2013).

Business leaders and marketers have to understand consumer behaviour theory in order to be successful and gain competitive advantage in market environment. In addition, their big challenge is to understand the different factors that influence consumers in their buying decision; because they have a huge impact on their business survival (Noel, 2009).