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Implementing RFID in the Retail Industry (Episode 013)

What major benefits are early adopters in retail seeing?
How do you choose which RFID application to implement?
Can retailers leverage their EAS investment?

André Côté from Checkpoint Systems
Picture : André Côté from Checkpoint Systems

In this episode of RFID Radio, Anthony Palermo from Academia RFID presents his third and last interview from the American Apparel and Footwear Association RFID Summit that took place in New York city. He asks André Côté, Senior Director at Checkpoint Systems his approach to identify which RFID application to implement, what are the most common RFID applications being implemented and the major benefits gained by retailers. He also presents an interesting alternative that Checkpoint offers retailers who want to leverage their EAS investment towards RFID.

Listen to the podcast here:

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Show Notes (below)

Interview Summary

André Côté, from Checkpoint talks about his experience with retailers that are implementing RFID.

Identifying the Retail RFID Application

He recommends that before choosing an RFD application to evaluate, a retailer should first identify problem areas. When retailers have too much backroom inventory, are constantly experiencing Out of Stocks (OoS), need to manage their store inventory or backdoor receiving operations more efficiently, this makes them ideal candidates for RFID. Once the problem area has been defined, then it’s just a matter of building the solution architecture comprising of hardware, software and consumable pieces to manage the system.

RFID Applications in Retail

Retailers usually implement RFID in the back store to perform automated receiving; in the midstore to better track movements from the backroom to the front room; and in store to identify inventory location on the store floor and take physical inventory much more quickly.

RFID Benefits

Current retail RFID adopters are experiencing reductions in backroom inventory, increasing retail floor space that their taking over from the backroom and reducing OoS which translates directly into increased revenue. André therefore expects that major retailers will continue expanding on their pilots for a few years and then foresees that they will go live using a staged store-by-store deployment approach.

EAS vs RFID?

Checkpoint is developing dual technology solutions for security Electronic Article Surveillance (EAS) systems in retail. As such, the solution provider presents a vision where the retailer doesn’t have to choose exclusively between EAS and RFID. It can use both. A part of the solution can be EAS, another can be RFID.

 

Links to topics discussed in the podcast :

Academia RFID

Checkpoint Systems

Wal-Mart OoS study

 

Definitions of terms mentioned in the podcast

Back room of a store / Backstore : The part of a store that consumers don’t usually see. It’s where products are received and temporarily stored.

Midstore / Instore : movements from the backroom to the front room

“Consumable piece” : The portion of the RFID system that is disposable. For example, the passive tags.

 

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2 Responses to “Implementing RFID in the Retail Industry (Episode 013)”


  1. 1 Danny Almare Jun 7th, 2008 at 8:46 am

    Hi, We’re a System Integrator based here in the Philippines focused on RFID Solutions. We must commend your program is indeed a very rich source of information in the real world scenarios of RFID. Let me just ask something about combined EAS and RFID technology like what the Checkpoint system is all about.

    We’re just wondering if the two technologies are really combined into just one monolithic package or are the two (EAS & RFID) technologies separate tags that must be incorporated in the retail items. And lastly, will these combined technologies really address the issue of pilferage or bottomline is ..stop the shoplifters dead on their tracks as they exit the store.

    Hope to hear from you soon. We have lots of skeptically clients we need to convince :)

    More power to your program and all the best to you.

    Sincerely yours,

    Danny B. Almare
    President & Managing Director
    GTK Phils. Global Technologies, Inc.
    63.917.522.1173

  2. 2 khan Jul 31st, 2008 at 12:59 pm

    hello andre this is quite helpful, i am writing thesis on the impact of RFID in retail, do u have case studies that retailer are getting benefits from RFID


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