Retail Segment


Our business with the retail industry remained slightly below the previous year’s level (–2%) with net sales of €772 million (2006/2007: €787 million).

Nevertheless, we were able to boost profitability in this segment thanks to a strict approach to cost and portfolio management. Despite a fall in net sales, EBITA (Glossary remained at €44 million (2006/2007: €44 million), giving an improved EBITA margin of 5.7% (2006/2007: 5.6%).

Net Sales and EBITA History: Retail.                                                                               €m

Net Sales and EBITA History: Retail (bar chart)
Further Developments in the Checkout Process.

The checkout is one of the central processes in the retail industry. This area offers great potential as a data and IT interface at both branch and group level. Another important consideration is that every single shopper has to pass through the checkout area, so customer-friendly systems are an absolute must.

Wincor Nixdorf can draw on a flexible and modular portfolio covering all the relevant hardware and software components needed for the checkout. Consequently, one of the main aspects of our work with customers during the year under review was the further development of the checkout.

Cutting-edge Programmable Electronic Point of Sale (ePOS (Glossary) Systems:

Given the high level of demand for new and replacement investment, we pushed ahead in 2007/2008 with new developments to expand our market position.

Customized Checkout Solutions for Individual Scenarios:

Each retailer has its own view of what the checkout area should be like, and based on this view it will have a specific set of needs. Our strength – one that we further consolidated over the last year – lies in being able to offer a superbly coordinated portfolio of solutions. We are guided in all cases by the different requirements of each type of retail outlet. In the case of discounters, for example, these might be large trolleys and rapid progress through the checkout; in DIY/furniture stores there may need to be provision for bulky objects. All these store requirements – as well as those of the consumer – are incorporated into our solutions portfolio. There are a number of possible scenarios, one of which, for example, might involve the shopper scanning the goods using a mobile device as they are placed in the trolley and then paying for them at an unstaffed payment terminal in cash or by card. Combinations of retail type and checkout scenario are also possible within the same branch.

Simple Individual Implementation of Standardized Solutions:

As part of the ongoing development of our solutions portfolio, the focus here lay on enabling retailers to handle different checkout scenarios as simply as possible.

Boosting Process Efficiency through an Open IT Infrastructure:

To avoid a situation where each type of checkout requires its own IT infrastructure with its own software platform to process sales and customer data, Wincor Nixdorf has developed a consistent, comprehensive solution. Given the different requirements involved, this means a substantial saving in IT costs. Our TP Application Suite (Glossary can be used to control all types of checkout – including those of other manufacturers – regardless of whether they are equipped with cash or non-cash components. Furthermore, this global approach also leads to a high level of efficiency in the analysis of all transactions.

Fast and Simple Procedures for Cash Float Supply/Disposal and Daily Closing:

Our brand new, standardized modular cash handling solution for every conceivable checkout concept offers one very important advantage: Whatever the checkout scenario, the upstream and downstream procedures for retail staff are always the same. As a result, the same coin and note recyclers can be equally well integrated into both conventional, non-automated checkout processes and modern self-service systems (Glossary. This kind of integrated IT support also gives staff a permanent overview of cash levels and notifies them when systems need to be resupplied or emptied.

Security for Staff and Money:

This is a very important aspect of the checkout process. It is vital, for example, to take proper account of the legal framework, the processes of cash-in-transit security firms and the need to ensure that details of all staff contact with the cash are traceable.

Greater Transparency in Branch Management.

During the year under review, our focus here was on the expansion of our software portfolio to meet the needs of global retailers. This included the integration into the TP Application Suite of new functions for the central control and administration of all systems. In response to different requirements, this makes it possible, for example, to obtain decision-critical information at any time, such as the sales figures for individual ranges or locations, campaign follow-up data or the detection of potentially fraudulent activities.

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