German Retailers Prepared for Latest VAT Rate Cut Thanks to ESLs

German Retailers Prepared for Latest VAT Rate Cut Thanks to ESLs

As Covid-19 is still having great impacts on global markets, retail is adapting to these challenging times and so are countries such as Germany and its short-term value-added tax rate cut on retail. Michael Gerling, GM of the EHI-Institute, made a great contribution with his critical analysis of June 18, by estimating that in-store retail demand for new price labels will surge due to this change.

German Retailers Prepared for Latest VAT Rate Cut Thanks to ESLs

As Covid-19 is still having great impacts on global markets, retail is adapting to these challenging times and so are countries such as Germany with its short-term value-added tax rate cut on retail. Michael Gerling, GM of the EHI-Institute, made a great contribution with his critical analysis of June 18, by estimating that in-store retail demand for new price labels will surge due to this change.

Internal surveys conducted by SES-imagotag showed that the correct change of a paper price label in store takes about one minute. In an average German supermarket with a product range of around 10,500 items, this process takes up to 175 hours.

ESL covid-19

Gerling views retailers that already invested in digital price labels, to have a clear advantage in this situation. The benefit is obvious: in a single click, VAT can be automatically changed and displayed on electronic labels. Integration with the point of sale system is also automatic. This results in significant material and time savings for merchants.

Thanks to fully graphic electronic shelf labels and a cloud-based platform developed by SES-imagotag, physical retailers can completely digitize their stores.

As technology evolved, digital labels also became a true media, right at the shelf, able to display rich content and information for shoppers: hygiene rules, admission restrictions, delivery dates, offers, discounts – all of these contents can be individually presented and very easily adapted.

Since the launch of the new VUSION Product Line in 2018, SES-imagotag has massively expanded the development of in-store applications and digital services for retailers and shoppers. More and more, technology is seen as an essential factor to the transformation of commerce. Many retailers ignored for a long time the disruptive power of digitization. Now there’s a situation, where the Covid-19 Pandemic abruptly demonstrated the local and global effects of a disruption. Yet, German retailers who invested in digital will now benefit from this technology to adapt themselves to the value-added tax rate cut.

Our latest news

Finance United Nations Global Compact Visuel

SES-imagotag joins United Nations Global Compact

The Group commits to the ten principles of the UN initiative, in addition to its Roadmap for Positive Retail launched a year ago

View more
Nrf Linkedin Generique (1)

Join SES-imagotag at NRF 2021 – Chapter 1

We are delighted to invite you to join us at NRF 2021, Chapter 1 – the new digital format from retail’s big show! Join us at retail’s largest virtual show in January to discover the future of re...

View more
Covid Q4 Update

Recovery in orders in Q4

The strength of the recovery in orders in Q4 2020 indicates that customer confidence is returning, after the relative slowdown in activity in the previous quarters.

View more
Kesko

Kesko, a leading Nordic retailer, selects SES-imagotag

6.6+ million VUSION labels will be implemented in K Group’s stores

View more
Shutterstock 175046003 Website

The dying of the inner-city – The digital vs “Actual Perception”

At which point become IT innovations visible in retail?

View more
China smart retail

SES-imagotag wins 4 Intelligent Star in China Smart Retail awards

SES-imagotag announces today that it has won four « Intelligent Star » awards as part of the annual China Smart Retail Annual Selection. This event is organized jointly by the Asia Pacific Intellige...

View more