Woolworth’s move is intended to make shopping more convenient.

Woolworths (ASX: WOW) is expanding the use of its self-checkouts with cameras and artificial intelligence in over 250 stores in New South Wales, Queensland, and Victoria, Australia. The system uses camera vision and AI to detect when items are not scanned correctly, and if an item is missed, a short video is replayed for the customer to rescan it.

After initial trials in Seven Hills in New South Wales were held a year ago, the retail chain rolled it across more than 250 stores. (9NEWS)

The technology is not viewed on a live basis but is only reviewed later for training purposes or to address an issue with scanning. A customer’s face and pin pad are blurred to protect their privacy.

Furthermore, Woolworths has implemented strict privacy policies and mandates stores to have signage that alerts customers about the technology.

“It helps reduce mis-scans and is one of a number of initiatives we’ve rolled out across our checkouts to make shopping more convenient and seamless,” said a Woolworths spokesperson. “While most customers do the right thing at our self-serve checkouts, we’re all busy and mistakes can easily happen.”

On the flip side, Kate Bower, consumer data advocate for consumer group Choice, said urgent legislative measures needed to be adopted to protect consumers’ privacy given the rising adoption of AI in retail.

Bower also assured that the Woolworths cameras did not collect sensitive biometric data or any personal information.

“Woolworths has also taken steps to keep customers informed using a combination of in-store signage and public statements,” she said. “Importantly, customers can opt-out by using the traditional checkout process.”

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