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RFID Technology Is Changing The Retail Industry

RFID Technology Is Changing The Retail Industry

RFID (radio frequency identification) is not a new thing, and it has been widely used for many years, such as a lot of American retail stores, including Messi ZARA, Decathlon sports, in the use of this technology. Its working principle is very simple, that is, each product has a radio frequency ID label, and the label has its own unique magnetic signature. The signature is extracted by the receiver or RFID reader, not only unique, but also can display the location of the tagged product.

RFID is also applied to credit cards with flicker function.

Because tags are magnetically read, and they are much more efficient than general vision scanning systems, and labels and readers which do not need messy communication lines. Therefore, the direct benefit of the RFID system is that the retailer can reduce the time of the acquisition of inventory data by 90%. In other words, it takes three days to learn the inventory data, and RFID takes only 45 minutes.


RFID also greatly improves the accuracy. By manual scanning, the actual inventory has about 4% error, and this value will superimpose every year, which will lead to the whole sales year cycle inventory, which may produce more than 60% errors in the selling season. In contrast, the RFID error is usually only 0.5%, which means that the stock will be more accurate throughout the year.


Many excellent managers have recognized the advantages of RFID in terms of the time and accuracy of the actual inventory. RFID has a lot of functionality, but there will be more functionality in the future.


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