Retailers are moving quickly in adopting RFID. That affects brand owners and manufacturers, too.

You probably already know RFID technology can improve your inventory accuracy up to 99.99%. However, to reap the benefits of a strong, accurate supply chain, retail brand owners need to be convinced that RFID is fully worth the investment. Because simply encoding your items with RFID tags is not what will get the cost saving benefits you’re looking for.

RFID is neither an expense nor some magical tool. It’s an investment that can cut costs out of your supply chain if implemented correctly. If you have been hesitant to implement RFID tagging your supply chain, consider the following statistics.


Retail manufacturers & distributors who implement RFID technology into their supply chain see an 80% improvement in shipping/picking accuracy.

One of the biggest benefits for manufacturers, as well as managers of warehouses and distribution centers is the improvement in shipping and picking accuracy. This advantage directly impacts your wallet. When we talk to manufacturers and distributors, a chief concern they have is minimizing shipping errors in order to mitigate chargeback penalties.

Chargebacks can cost thousands of dollars. With the right combination of RFID hardware and software, you can verify outbound shipments at incredibly high rates. By minimizing chargebacks, RFID adoption can quickly pay for itself.


Retail manufacturers & distributors who implement RFID technology into their supply chain see a 90% Improvement in receiving time.

By automating your receiving processes with RFID, the time and energy required for receiving goes down significantly. Not surprisingly then, receiving costs go down as well. Manually inputting data, scanning every barcode or checking inbound items is a major time suck. RFID alleviates these constraints. Scanning the GS1-128 barcode does not confirm whether or not the correct product is in the carton and whether it has concealed shorts. Operations must audit a fair number of cartons to see if in fact the contents match the purchase order to the factory.

Fixed RFID readers read the tags of every single item in the carton. The system compares the ASN (Advance Ship Notice) from the factory and confirms that each carton contains exactly what was ordered. This validation is an audit of every single carton arriving from overseas and it happens in real time without any misreads and without slowing down the receiving line. For one customer whose goods are tagged at source, fixed RFID readers on inbound conveyors read the tags of every single item in the carton.

With merchandise tagged with RFID, retail brand owners can increase inventory count rates from 200 to 12,000+ items per hour.

A small team armed with mobile RFID readers can count inventory in a fraction of the time compared to traditional barcode based methods. Because it is easier and faster to count, you can cycle count more often with greater accuracy. RFID tags on your items are way more effective than barcode tags. It’s just that simple.

So, what does that do for you? No more shutting down your warehouse to do inventory. No more bogging down your team when it’s time to do inventory. Now, your employees can be elsewhere doing other important things. It’s efficiency on a whole new level.