Trigo raises $60m for smart checkout technology

  • January 13, 2021
  • Steve Rogerson

Israeli smart checkout start-up Trigo has completed a $60m series B funding round led by 83North, bringing the company’s total funding to $94m.

Trigo uses AI-powered computer vision technologies with off-the-shelf hardware to retrofit existing stores. The company applies its proprietary algorithms to ceiling-mounted cameras that automatically learn and upload data on shoppers’ movements and product choices, enabling shoppers simply to walk into a store, pick up their desired items, and walk out without stopping at the checkout. Payments and receipts are settled digitally.

“Our technology enables grocers to integrate the efficiencies and insights of digital commerce into the physical world while providing a frictionless checkout experience for customers,” said Michael Gabay, Trigo’s co-founder and CEO. “Ultimately, our solution reduces physical contact and does away with waiting in line, enabling a safe, secure and streamlined shopping experience that’s a win-win for retailers and consumers.”

Trigo’s technology has been tapped by Tesco, one of the world’s largest grocers with stores across the UK, Ireland and central Europe. Tesco, which also joined the funding round, has been working on a trial with Trigo at a Tesco Express convenience store at its headquarters about 32km north of London.

“We’re delighted to be working with Trigo as they continue to grow their business,” said Guus Dekkers, Tesco chief technology officer. “Together, we have made great progress testing the frictionless checkout in our trial store in Welwyn Garden City and we are excited by this technology and the opportunities it brings.”

Trigo’s technology is built with a privacy-by-design architecture: no biometric or facial recognition data are gathered or analysed. Based on anonymised movement and product choice data within stores and across a chain’s stores, Trigo offers grocery retailers a range of additional technology powered by its RetailOS 3D engine model including predictive inventory management, pricing optimisation, security and fraud prevention, planogram compliance, and event-driven marketing. This layer quickly enables actionable insight that boosts the chain’s efficiency.

As well as venture capital firm 83North and Tesco, the round was joined by existing investors Vertex Ventures Israel, Hetz Ventures, Red Dot Capital Partners and Morrag Investments. The funds will be used to scale the company’s ability to meet growing demand, boost R&D, and expand its global presence.

“Trigo gives grocers a competitive edge with an option that is affordable and scalable, without having to make significant changes to their stores’ infrastructure,” said Yoram Snir, a partner at 83North. “While Amazon might be first out the gate to use its scale to capitalise on new consumer demands, it is no surprise to me that Europe’s biggest grocery retailers have tapped Trigo’s exceptional team to position them as leaders in frictionless checkout.”

The company has seen rapid growth and increasing demand for its technology throughout 2020 and is working with retailers on the European mainland to open stores this year.

Smart checkout technology will process nearly $400bn of transactions within the next five years, according to Juniper Research, which also predicted that retailers would invest $23bn into artificial intelligence by 2025, up from $5bn in 2020.