ABSTRACT

We believe all our readers will be familiar with how barcoding is used at the checkout counter in supermarkets. Most customers realise that computer systems are triggered by swiping barcoded goods over a reader which links sales to stock records and subsequently raises re-orders based on stock levels. We also understand that computergenerated orders make allowance for stock already on order but not yet received, adjust for seasonality, allow for promotions and take into account stock on hand but nearing the use-by date. Such systems are also meant to calculate stock turn and profit margin by line item, and can indicate the customer profile for a particular store. For example, the products being purchased in a particular store could suggest that most of the customers in that store’s location have young families, one pet animal, buy lower-priced wine and will be susceptible to promoted ‘specials’ which are targeted to their profile. When combined with a loyalty card, where customers gain points for each purchase with a reward once a certain amount has been spent, the computer system could ‘know’ more about the purchasing habits of a household than will be known by the customer. How many of us know how much bread and milk we buy a week or how much we spend on fruit a week?