Commentary: Meet the next generation of store associate

Retailers will be excited by the prospect of employees that are never late and don’t need to take breaks or even be paid, but will customers accept them?



We are going to find out. MasterCard is unveiling the first commerce applications for “Pepper,” a new humanoid robot from Softbank Robotics. The app will be powered by the MasterCard MasterPass digital payment service. Pizza Hut Restaurants Asia P/L will be the inaugural launch partner, with an in-store pilot expected by the end of 2016, but it stands to reason Pepper will make his way to North America if Asian consumer response is positive.



Pizza Hut Asia will be piloting Pepper for order-taking and personalized service. A consumer will be able to initiate an engagement by greeting Pepper and pairing the consumer’s MasterPass account by either tapping the Pepper icon within the wallet or by scanning a QR code on the tablet that the robot holds.



After pairing with MasterPass, Pepper will be able to assist cardholders by providing personalized recommendations and offers, additional information on products, and assistance in checking out and paying for items. Pepper will be able to initiate, approve and complete a transaction by connecting to MasterPass via a Wi-Fi connection and the entire transaction happens within the wallet.



“Consumers have come to expect personalized service, customized offers and simple and seamless processes both in-store and online,” said Tobias Puehse, VP, innovation management, digital payments & labs at MasterCard. “The app’s goal is to provide consumers with a more memorable and personalized shopping experience beyond today’s self-serve machines and kiosks, by combining Pepper’s intelligence with a secure digital payment experience via MasterPass.”



There are obvious limitations to how deeply Pepper can engage in conversation with a consumer or determine their unstated needs. Also, Pepper cannot currently stock shelves or retrieve items. However, as artificial intelligence, natural language comprehension, and kinetic technology continue evolving at a rapid pace, it is likely in the not-too-distant future robots will be able to perform most or all of the functions currently performed by human associates,



Within the U.S., Lowe’s has been running a robotic pilot at its Orchard Supply Hardware subsidiary. Robots assist customers in finding specific products and obtaining real-time information on promotions and inventory levels. They also remotely connect with expert employees to answer project questions.



It is too early to say for sure exactly how robotic associates will fit into the store of the future, or whether they will mostly or totally displace human workers. But it is nearly certain that a customer visiting a store in 2026 will interact with fewer people and more machines than they do in 2016.