The world’s largest semi-conductor company has teamed with an industrial design firm to create a POS system that promises to enhance the customer experience while reducing energy consumption by up to 70 percent.

Intel is focusing on the in-store experience, seeking to engage customers in a collaborative, non-pushy way through a POS system made of “green” materials. It unveiled a proof of concept design for this next-generation POS last month at NRF’s 98th Annual Convention & EXPO.

The demo interface used at the NRF BIG Show simulated an apparel retailer, but Intel “also developed a demo user interface that simulates an electronics retailer,” says marketing manager Ed Hill. Regardless of store format, the modularity of the system allows retailers to use it as a digital sign, kiosk, POS terminal “or potentially all three in an integrated solution.”

As a sleek kiosk equipped with digital signage, the system has the ability to make suggestions without the aid of an associate. As the customer nears the unit, the kiosk awakes and digital messages are displayed. (It also is possible to “sell” advertising on the system.)

Once at the kiosk, the customer uses her RFID-enabled loyalty card — facial recognition also is possible — to log in and view her profile, which displays relevant promotions based on her prior shopping history. Should the customer desire further details for a particular item, she can select it through the interactive screen. The item is then displayed with product information, customer reviews, related product suggestions and the location of that item in the store.

When deployed as a POS system, it allows a sales associate to work with a customer to speed checkout as well as introduce both cross- and up-selling. To begin the checkout process, the sales associate drags items into the shopping cart, which appears on the screen. By selecting one of the items, the sales associate can show the customer related product suggestions, upcoming and in-stock inventory, promotions and customer reviews. If the customer likes one of the suggested items, she can add it to her cart.

Finally, the sales associate chooses “checkout” and the customer selects NFC (near-field communication) payment. By waving her mobile phone near the reader, the customer completes the transaction and an e-receipt is sent to the mobile device.

“We’re calling this a kind of ‘concept car’ that showcases the technologies of the future and how they can interact,” says Ryan Parker, director of marketing for Intel’s embedded computing division.

Energy-efficient operation
Retailers often leave POS terminals running 24/7 to allow for off-hours software updates. Intel’s research showed that current IT processes are not energy-efficient because the majority of terminals operating at the retail level are not power-management enabled, which becomes a costly proposition as energy costs continue to rise in most parts of the country.

Through Intel’s active management technology, “we have the ability to use a server to shut down [the system remotely], so they don’t need to worry about the consistency of how the shutdown takes place,” Parker says. Should updates and patches be required, “we can remotely wake up the system, patch them and shut them back down.”

Intel’s hardware-based vPro technology enables remote access even if the system is off, the OS is down or a terminal resides outside a firewall via wired LAN. When the store is open, the system also goes into sleep mode during periods of inactivity.

Assuming a chain with 2,800 locations and approximately 33,600 terminals, Intel estimates that deploying Intel Centrino CPUs with vPro would provide a total cost of ownership savings of approximately $67 million over five-year asset life compared with the retailer’s legacy POS.

Intel turned to San Francisco-based Frog Design to create the proof of concept “to demonstrate the potential of their technology and show how it could revitalize the point-of-sale system and offer retailers, and the customers they serve, better benefits,” says Katie Dill, a design analyst with Frog Design.

On-site display
At its unveiling in New York, all functions were integrated into one device for ease of demonstration, “but it could be many things, from a digital sign to a point-of-sale system to a training terminal or a place to check and track inventory levels,” Parker says.

What visitors encountered at Intel’s booth was a sleek and futuristic freestanding unit made of lightweight aluminum, a recyclable material that can be milled and extruded. Other components include 26-inch LCD screen modules, RFID readers and motion and distance sensors. And at approximately 78 inches tall and 69 inches long, the unit would be tough to miss in most retail establishments, making it a defacto department beacon to welcome customers.

The unit also features acrylic chosen for its optical clarity, scratch resistance and machining properties. Powdercoating was selected for its durability and the ability to recycle extra powder; back painting (black on the clear acrylic) was greenlighted because it is a known, low-risk procedure.

“The materials were chosen because they are timeless, sophisticated and elegant,” Dill says. “Like the clean and simple geometry of the product, the materials are neutral and can fit a wide variety of brand identities.”