Bionic mannequins spy on shoppers

Why settle for the plain, boring closed-circuit TV camera when you could have a mannequin spying on shoppers? Italian mannequin maker Almax SpA is selling the mannequins, dubbed EyeSee, with cameras and software similar to equipment used to catch criminals. A report on Bloomberg quoted Almax Chief Executive Officer Max Catanese as saying at least five companies are already using "a few dozen" of the mannequins and are ordering more. “It’s spooky... You wouldn’t expect a mannequin to be observing you,” Bloomberg quoted Luca Solca as saying, head of luxury goods research at Exane BNP Paribas in London. Each mannequin costs some 4,000 euro ($5,130), but may help guide shops on how to arrange window displays, store layouts and promotions to bring in consumers and get them to spend. Its job is to profile users to help retailers personalize their offers as growth slows in the $245 billion luxury goods industry, Bloomberg said. “Any software that can help profile people while keeping their identities anonymous is fantastic ... (It) could really enhance the shopping experience, the product assortment, and help brands better understand their customers,” said Uché Okonkwo, executive director of consultant Luxe Corp. So far, Almax's Catanese said it has not experienced obstacles in selling the dummy. He said that since the mannequin does not store any images, retailers can use it as long as they have a CCTV license. No dummy This mannequin is no dummy, despite its slender polystyrene frame, blank face and improbable pose. Embedded in the mannequin's eye is a camera that works with facial-recognition software to determine the age, gender, and race of passers-by. It quoted Bain & Co. as saying the luxury market may expand only five percent in 2012, less than half the rate in 2011. Also, the EyeSee has an advantage over security CCTV cameras as it stands at eye level and invites customer attention. The mannequin went on sale last December and is now being used in three European countries and the United States. 'Spooky' While some may regard the mannequin as spooky, it has led one outlet to make adjustments to bring in more customers. Bloomberg quoted Almax as saying data from the mannequin has prompted one outlet to adjust its window displays. The data had showed men who shopped in the first two days of a sale spent more than women. It said another outlet introduced a children’s line after the mannequin's data showed children made up more than half its mid-afternoon traffic. Yet another store, which found a third of visitors using one of its doors after 4 p.m. were Asian, placed Chinese-speaking staff by that entrance. Non-users Bloomberg quoted Benetton Group SpA as saying it is not using EyeSee or comparable technology, and buys some mannequins without technology from Almax. Burberry Group Plc and Nordstrom Inc. are also saying they do not intend to buy, though they set up WiFi, iPads and video screens at their outlets to engage shoppers. Nordstrom added facial-recognition software may go a step too far. “It’s a changing landscape but we’re always going to be sensitive about respecting the customer’s boundaries,” said spokesman Colin Johnson. Future uses Bloomberg said some clients have asked that the EyeSee be customized to recognize employees so they will not influence its observation of customer behavior. A similar option may be extended to shoppers, where loyal spenders would be invited to opt-in in return for rewards, he said. Meanwhile, Almax is now testing a technology that recognizes words to let retailers eavesdrop on shoppers' comments about the mannequin’s attire. Other plans include placing screens next to the dummies to prompt customers about products relevant to their profile, like pop-up ads. — LBG, GMA News