Applications and Benefits of RFID Technology in Fashion Retail
The fashion industry has always been notorious for its slow adoption of technology. Nonetheless, when industry leaders finally take the leap of faith, they revolutionize their businesses in ways that set them apart from the competition. Following the pandemic, fashion retail companies are rushing toward improving their operations, saving costs, and increasing revenue. Thus, it is no surprise that more and more businesses are implementing RFID technology. In practice, RFID technology offers a solution to many previous industry challenges, from inadequate inventory management to poor customer experience.
In this article, we will discuss RFID technology in fashion retail. Other than explaining the RFID technology, we will introduce you to some of its main applications related to the apparel industry. By the end, we hope you can make a more informed decision on whether or not to implement RFID handheld readers and software in your business.
RFID Technology in Fashion Retail
According to "Research and Markets," the global RFID market is expected to grow from about $10.7 billion to $17.4 billion by 2026. In addition, the report estimates that about 70% of retailers are interested in implementing RFID within the next year. First of all, let us know more about RFID technology itself.
Radio Frequency Identification (RFID) is an automatic identification method consisting of several components, including an RFID tag, RFID reader, and software for data processing. The RFID reader can scan for tags and acquire information relevant to products (e.g., brands, batch and year of manufacturing, price etc). Overall, relying on RFID handheld readers and software in retail offers key benefits. By improving stock management, optimizing inventory purchases to boost sales, and reducing handling costs, RFID asset tracking equipment has a positive impact on the whole business.
Following, we have briefly listed some of the main advantages brought by Radio Frequency Identification:
- Increased information sharing
- Improved traceability of stocks
- Higher sales and margins
- Enhanced handling efficiency
- Better customer experience
- Theft prevention
Main Applications of RFID in the Fashion Retail Industry
In most retail shops, the space is a constraint that needs to be used efficiently. In this context, RFID has seen many applications, from stock identification and handing items to enhancing the customer experience.
Now let us look at the main applications of RFID technology in retail stores.
Stock identification
RFID handheld readers can track items' locations in the store, warehouse, or throughout the supply chain process. For example, RFID terminals can pinpoint a specific tag's location within a millisecond speed response through long-range scansions.
Bulk scanning
Since the line of sight is unnecessary and RFID antennas work, a cycle count can be carried out significantly faster than any traditional process. Besides, RFID devices can scan tags within complex environments with metal interferences and still ensure accurate readings. This is a significant improvement compared to time-consuming individual item scanning.
Handling items
With RFID handheld readers, shipments to the store can be instantly and accurately received into inventory. When the supplier delivers the goods to the warehouse, the consignee scans the product's RFID terminals, and the receipt is automatically prepared.
Item tags update
Especially during peak holidays seasons, many products see changes in pricing. The staff can complete batch updates and temporarily supplement the price tags by using RFID handheld readers. Furthermore, other information relevant to products can also be updated on the go with mobile computers or tablets. Subsequently, updates are shared among workers, greatly improving efficiency.
Auto reorder
Following the same premises, thanks to RFID hardware and software, we can set up specific rules for stock management. As an example, business owners can set up auto reorders, which means that if an item goes below a certain quantity, the system purchase new stocks. With no more need for manual spot-checking, the process becomes automated and significantly improved.
Enhance Customer experience
The salesperson can scan the commodities through the PDA devices to display the price, quantity, inventory, and other data in real-time. In this way, staff can promptly answer customers and provide them with a more diverse and convenient shopping experience.
Urovo Product Recommendation: DT50U UHF RFID Handheld Terminal
At Urovo, our team has developed a new one-stop reliable solution for your apparel business - the DT50U UHF RFID Handheld Terminal. The DT50U RFID readers combine RFID and barcode scanning technology in one device. The equipment can fast and accurately provide professional code scanning and RFID tag batch readings.
As for the RFID reader, the DT50U's internal 5dBi high-sensitivity RFID antenna can cover a more comprehensive scanning range, enabling a quick reading of a large number of RFID labels within 20m. Thanks to its self-adaptive interference cancellation (SIC) technology, the device can efficiently deal with complex environments and smoothly identify high-density labels. Yet, the DT50U is also equipped with a patented professional code scanning module, which enables it to quickly scan international universal 1D/2D/distorted/stained/old barcodes.
0ur solutions are suitable for various work environments (e.g., in-store, back office, and warehouse). The DT50U RFID reader has been certified for an IP67 rating. The equipment is dustproof, waterproof, and has passed drop tests ensuring the highest quality standards in the industry.
Conclusion
Urovo is the first PDA-listed company in China. Our focus is on the design, R&D, production, sales of intelligent data terminals, payment terminals, professional printers, systems, and cloud solutions.
Our mission is to help enterprises realize digital management of various store operations, improve supply chain efficiency and enterprise competitiveness.
Contact us to know more about Urovo's PDA solutions for the inventory management system.