RFID In Retail Industry

RFID in retail industry has solved major problems related to customer services. Improved customer service would ultimately lead to increased sales. With the help of RFID, it becomes easy for the sales staff to locate a particular item in the store and check its availability in less time. It gives accessibility to the products from store to store and also to the entire database.

Improves the level of customer service

The overall time spent by the customer in shopping is reduced as the desired item is found in less time making shopping a better experience. Also while scanning of a particular product is done this technology provides access to the information about the product. It calculates the prices of the products kept in the shopping bag simultaneously, so the shopper is aware of how much he/she is spending. As the total of the shopping done is already calculated the customer has to just pay, thus waiting time for billing is reduced.

Increases customer's loyalty

The RFID tags attached to the items has the ability to provide feeling of a 'virtual personalized shopper' to the customer. It also facilitates in tracking down the shopping preferences and habit of the customers and thus helps in introducing right rewards connected to it. The information about customer's shopping style, their shopping history, past purchases, etc can be tracked down, thus value added services could be provided to them giving the customer the feel of personalized treatment. Even decision regarding purchase of a product could be made in fitting room, as the RFID readers in fitting rooms that are connected to the computer, provides all information regarding the garment. Also the information related to the item is confidential and not to be unveiled to the customer, can be protected by your IT department. Thus security is also ensured from seller point of view also. These added benefits lead to better shopping experience for the customer which ultimately leads to customer loyalty towards your shopping hub.

Better inventory management

Scanning of bar code has become mandatory in inventory processing, but it has certain drawbacks compared to RFID technology. The bar code stickers show human errors as it has the capacity to encode limited and stagnant information. Bar code is unable to read or write multiple codes. RFID's capacity to track the items efficiently and encode multiple codes, resulting improved inventory management. It provides better safety in terms of fast recall of the stock and minimizes the theft also. It helps the supplier in maintaining the stock of goods and keeping the shelf filled with goods whenever needed. So the customers would never face storage of a product thus avoiding loss of sales and profit. The key element in today's market is to maintain appropriate in-stocks and not having too much additional inventory.

To manage inventory is a costly affair for the retailer. The information accessed through RFID helps in keeping a check on the inventory and its supply. Thus, maintaining the right percentage of inventory. The ratio of demand and supply can be well maintained as the items which has increased sales is tracked down and the stock is uploaded likewise.

Item level tracking

Item level tracking is the most important objective of RFID system. This tracking gives a personalized ID to every unit of inventory. This results in better tracking of the items. As it saves time, the re-ordering of the items becomes easy and can be done in lesser time. The percentage of shrinkage is reduced due to proper and timely shipments of the items.

Futuristic view

Advanced technologies are being developed in the field of RFID tags that are more advanced technologically and are of reduced costs. Generally the cost of RFID tags range from twenty cents to one dollar which is not so reasonable cost. Therefore in order to make it cheaper, the prices are required to fall to five cents instead of twenty cents. RFID tags are a part of RFID system so in order to increase its usage, and required to be cost effective. The future of RFID is very bright in retail sector as right from inventory management to product manufacturing, this system provides more efficient and advanced retail experience to both customer and the seller.

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RFID buzz creates market for more secure services

RFID or Radio Frequency Identification for a layman is all about collecting data at the physical level using RFID readers and tags and then using that data for business applications.

RFID number plates are expected to bring in a revolutionary transformation in the traffic monitoring system. Those gazing surveillance cameras on the roads are soon going to be outdated with the introduction of these hi-tech number plates.

Only 5-6 sectors are utilizing this technology at present. The areas where this technology has already made its place include Security & Access Control where RFID is used for authentication of products, documents & asset management, validation & verification of vehicles and people & attendance check etc.

Besides installing RFID number plates to watch the movement of vehicles on the road, the transportation sector also employs the RFID technology to collect taxes with contact-less cards and keep an eye on public and cargo vehicles.

RFID plays a major role in health care services equipments such as mobile diagnostic equipments or RFID patient wristband. Quality checks in retail & consignment tracking, point of sale terminals, luggage handing and other areas of commercial services also use RFID technology.

Besides assisting the suppliers in meeting the requirements of the retailers, the inclusion of RFID system in supply chain management has also broadened the marketing scope for service providers.

As per a latest research report published by RNCOS named ?RFID: Outlook China? predicts that the application of RFID in the shipment system of China's Ministry of Railway will save more than $ 36Mn, i.e. 300Mn Yuan, during the current financial year.

The report also offers statistical information of the RFID market in China. As per the report, the RFID market in China that was worth $150 Mn in 2004, which is expected to cross $621 Mn by the year 2009 at a CAGR (Cumulative Annual Growth Rate) of 32%.


As per the analysts, China is becoming the latest center of this technology with RFID-based systems being included in Shanghai and Guangzhou?s subways and several buses are also equipped with card reader in Beijing.

As per the report ?RFID: Outlook China?, RFID has entered in every sphere of the Chinese Market. The 2G identity cards cover approximately 50%, whereas each of the sectors such as e-ticketing, expressway toll taxation, university campuses & community services on an average adds to 6% of the RFID market with public transport and subways making a contribution of 10%.

The report offers a complete overview of the current trends and activities in the RFID Market in China. The international exhibition of RFID technology called RFID CONNECT CHINA 2006 event is also discussed in this report.

To purchase your copy: http://www.rncos.com/Report/COM27.htm
For more information please visit www.rncos.com

RFID readers guide

RFID or Radio Frequency Identification is a constantly evolving technology that has made its foray into our lives from the inner circles of science very rapidly. It is basically one of the automatic identification systems like bar codes, smart cards, etc. which helps in identification of objects. However, because of its advanced and user friendly features RFID scores an edge above these antiquated technologies.

RFID system consists of specially designed RFID tags, readers, edge servers, middleware, and application software. The system works by transmitting the data stored in the tags to a RFID reader that in turn reads it and processes the data according to the application's specifications. This transmitted data can possess information about the location of the tag, or specifics concerning the product tagged. The system also includes an interrogator, which has a certain range in which it detects the RFID tag, activates it, and receives the response.

RFID tags, which are being used for a variety of purposes across different sectors, are primarily of three types. These three types are- passive, semi-passive or semi-active and active tags. This classification is based on the source of power supply in the RFID tags. The passive RFID tags do not have a power supply of their own. They make use of the electrical current induced by the radio frequency signal to transmit their response. Thus, despite of having no internal power supply these tags don't require batteries. These tags are small in size and have a range extending from 2mm to few meters. Moreover, they are the cheapest among the three varieties and thus, most widely used. The semi-passive or semi-active RFID tags have a small battery inside. Hence, they are a bit faster in responding and collating data than the passive tags. Besides this, their size and range are quite similar to the passive tags. The active tags have their own internal power source. Thus, they are bigger in size and possess a larger memory size with the ability to communicate with their readers even with large distances between them. However, they are the most expensive of all the three variants. Hence, so far their usage is quite limited.

The basic function of RFID reader is to communicate with the RFID tag by emitting radio waves through its antenna. The RFID readers are classified on the basis of their range like UHF, HF (13.56 MHz) and microwave (2.45 GHz). Their range also governs the prices of these readers. Hence, the UHF readers are the costliest and their prices range anywhere from $2500 to $3000. The reason why these readers are so expensive is because there is no IC integration and also because of its low volume of production and the non-availability of customized components. However, according to a new prediction by a research company, the prices of UHF readers are bound to fall by the end of 2006 or in 2007. This is because as more and more vendors will invest into this technology and as the demand levels will increase the component prices will fall.

Thus, RFID is a technology that has a bright future and is capable of benefiting the mankind.

Mansi gupta recommends that you visit RFID readers for more information

The Disadvantages of RFID Credit Cards

RFID credit cards are taking the nation. Also known as Radio Frequency Identification, RFID for short, these cards allow you to make purchases with your credit card without even having to type in a pin number, swipe your card through a reader, or even sign for the sale. Instead, a coil radio transmitter insider your card--imagine how small it must be!--sends out a tagged radio signature, that then gets transformed by the way you move your finger over the card.

In essence, your personal way of "swiping" your card with your finger gives the signal a distinct "shape" that acts like an electronic fingerprint. In theory, no one else could have this electronic fingerprint. It's not so much theory anymore. Some credit card companies are already experimenting with RFID technology. You can use them at gas stations, convenience stores, maybe even vending machines.

But is this technology as secure as all the experts say it is? It may be, but the thought of not signing for your purchase may make you have the heebie-jeebies. Also, usually with regular credit cards, the cashier is supposed to look at your card and compare signatures, to make sure you are you, each and every time you make a purchase. With RFID cards, you forgo this extra step of security.

Another issue with RFID cards, and one you won't hear the credit card companies make, is that RFID cards make it possible to too easily to spend and drive up your debt. If all a person has to do is wave their card at the fast food restaurant, to get gas, to buy that expensive new flat-screen televisions set, then chances are they may start waving their card more and more. In the long run, that will make a ton more money for the credit card companies. But for the buyer, that could mean a long lifetime of living in debt.

Another potential issue with RFID technology is that it could be the next wave of the future for everything from passports to security to get into buildings. It could be used possibly to even track your movements throughout the day, the week, and the year. Just imagine--your car, every building that you enter into, your house, your work--all of them have RFID security technology. That makes for a chance for Big Brother to keep an eye on you. A scary thought, and pretty far-fetched, yes, but a possible reality none the less thanks to RFID.

Joshua Shapiro recommends Find Credit Cards to find a Citibank credit card offer that's tailored to suit your financial needs

RFID Spychips! Grocery Store Surveillance

Privacy Storm Over RFID Chips by Mike Banks Valentine

American consumers

RFID stands for Radio Frequency Identification and is a term that will become increasingly well known as usage of the new technology becomes pervasive. There is no question that the tiny chips, which enable tracking of physical goods from the assembly line to warehouse to retail outlet to checkstand, will replace the barcodes previously used for that purpose.

Some RFID chips are tiny, they are nearly indistiguishable from dust in many cases. Photo link:

These dust sized RFID chips are capable of transmitting their own SKU (Sales Keeping Unit), the same info currently encoded in barcodes, distances of up to 20 feet to an "RFID Reader". But that's not all these diminuitive little chips can do. They are capable of sending a unique serial number that can identify the item it's embedded in - down to it's date and location of manufacture. Barcodes were limited to carrying information that identified classes of products. RFID carries information equivalent to the product DNA, while allowing a number for every item on the planet!

When that item passes an "RFID reader" at the manufacturer's door, the tracking system knows the item has passed out of the building. Another reader signals that it has now passed into a train or plane to be shipped to a warehouse, where another reader tracks arrival and storage information, then successive readers know it passes to truck, grocery shelf, retail check- stand and out the door. All of this can now be accomplished without opening containers, leading to huge cost savings throughout the "supply chain".

Privacy issues don't arise until consumers link that chain. Walmart is now REQUIRING their 100 largest suppliers to use RFID tags at the pallet level. Meaning that those tags are currently in use to identify and track groups of products as they arrive at the Walmart warehouse up until shelving at the giant retailer. Some products, such as Gillette razors, had been testing individual item tracking up until final sale and removal from the Walmart store. Privacy advocates slowed that practice by launching a boycott of Gillette.

If the privacy concerns over tracking of a single product through the store to sale caused slowing of implementation of this technology, what can we expect when EVERY product is RFID tagged? There is no doubt this is coming and not in the distant future, but within the next 5 years or so. The US Department of Defense is now requiring ALL vendors to use RFID technology and embed tags in products sold to the US military by next year.

Clearly there will be little or no outcry from military and government personnel about privacy invading technology since government is rarely expected to respect privacy "in-house". But if all military vendors are compelled to use RFID chips in every item used in every one of the millions of supplies sold to and used by the military - by next year, 2005 - then there is little doubt that the entire US goverment will soon implement this same policy for all items purchased by Uncle Sam and used by government employees.

More and more giant retailers like Walmart are requiring suppliers to use RFID technology. The German chain Metro Group, which operates 2300 stores in Europe and Asia has demanded the same of their suppliers. Metro Group has gone even further with RFID to operate what they call the "Store of the future" where shoppers needn't remove items from shopping carts to pay for them. They simply pass by RFID readers and all items will be tallied and paid for. Metro stores provide RFID tagged "loyalty cards" to consumers that identifies those shoppers by reading within purses and wallets as those consumers enter and leave any of the 2300 Metro stores.

Business Week Article on
Metro Future Stores Protest

Target Stores announced this month that they too, would be requiring suppliers to RFID tag at the pallet and case level by 2005.

Privacy loving Americans may not stand for the "Big Brother" implications of a system like that used by the German retail chain. An anti-RFID web site has been launched by privacy advocates and named "Spychips" for the ability of the chips to track consumers and link their buying habits to other personally identifiable information.

A recent piece by technology commentator Jeffrey Harrow has a chilling description of how RFID technology might betray consumers movements and link their buying habits in a huge database. Harrow is a consultant and analyst of emerging technology. He often comments on privacy implications related to implementation of emerging technology. ------------------------------------------------------------- Harrow paints a harrowing picture of RFID readers.

"The issue is that these many sensors . . . would also note the passing of your car key's unique ID; the unique ID of your driver's license, and even the unique ID of each and every dollar bill in your wallet. ... And if all the chains' main computers and those of smaller stores made this mass of random information available to say, a Marketing firm, or to other stores along your path (for a fee, of course), or to a government organization upon demand, then a very detailed picture of "You" - your travel habits, your spending habits (remember those individually tagged dollar bills?), almost everything about you, could be mixed, matched and dissected in ways that you might, or might not, agree with. This might be the ultimate "data mining" warehouse."

Harrow Technology Report

RFID is publicly discussed only by technology enthusiasts like Harrow and a few privacy advocates concerned about the implications of that "data mining warehouse". But as those RFID chips supplant barcodes over the next couple of years, we'll be hearing from privacy advocates when the Big Brother implications become clearer to consumers. Mark your calendar for early in 2005 and prepare to weather the coming storm of privacy concerns that could reach hurricane proportions.

------------------------------------------------------------ Mike Banks Valentine is a web journalist covering privacy issues where you can learn about Automotive Event Data Recorders or EDR's, Computer SpyWare, Identity Theft, Surveillance, HIPAA, COPPA, TIA, GLB and privacy implications of the USA Patriot Act.

RF Engineering for 802.11 WLANJoe Bardwell

The article describes electromagnetic propagation and how RF engineering concepts can be applied specifically to 802.11 Wi-Fi WLANs. The popular formulae often applied to wireless networking are explained in clear, concise terms, with the math and physics being included. These include free space path loss, Fresnel zone calculation, and even an introduction to the Maxwell wave equations. The official title of the paper is, "I'm Going to Let My Chauffeur Answer That.", an allusion to a humorous story explained in the paper. The full text of the paper is available on the Connect802 website, in the Literature section at: www.Connect802.com/literature

Mr. Bardwell is a recognized technical expert and speaker and is co-author of the book, "Troubleshooting Campus Networks" (Wiley). He is Chief Scientist and President of Connect802 Corporation, a Wi-Fi design and systems integration company in California. (www.Connect802.com)

RFID Privacy and You

RFID (Radio-Frequency Identification) is a tiny wireless technology which has the potential to radically transform the commerce world. It consists of an inexpensive chip, often smaller than a grain of sand, which can be read up to several meters away. The hope among retailers, is that the technology can be used as a next-generation barcode, automating inventory levels, and thus cutting costs for manufacturers and retailers. While the technology does offer some potentially remarkable opportunities, it also raises some concerns with regard to individual privacy and corporate espionage.

While barcode-type RFID tags are not likely to reach consumers on a regular basis in the near future, there is little doubt that with the success of early trials, they eventually will. Consequently, concerns about privacy infringement with regard to RFID are important not only in the theoretical sphere, but increasingly such discussions have vital practical applications.

SPECIFIC PRIVACY CONCERNS

RFID tags differ from conventional barcode tags in a number of ways. It is these differences that create the benefit of adopting the technology, while simultaneously creating the greatest concern over the privacy issues involved. For example, under today's bar code technology, a pack of Wrigley's Gum sold in Houston, Texas has the same barcode as a pack sold in New York City or Ontario. With RFID, however, each pack would have a unique ID code which could be tied to the purchaser of that gum when they use an 'item registration system' such as a frequent shopper card or a credit card.

Continuing with the Gum example, the purchaser could then be tracked if he/she ever entered that same store again, or perhaps more frightening, if they entered any other store with RFID reading capability. Because unlike a barcode, RFID can be read at a distance of up to a few yards. Meaning that if you enter a store with a pack of gum in your pocket, the reader can identify that pack of gum, the time and date you bought it, where you bought it, and how frequently you come into the store. If you used a credit card or a frequent shopper card to purchase it, the manufacturer and store could also tie that information to your name, address, and email. You could then receive targeted advertisements by gum companies as you walk down the aisle, or receive mailings through your e-mail or snail mail about other products.

As the technology behind RFID advances, the potential for privacy infringement does as well. A more recent development is a study which reveals that RFID already has the capability to determine the distance of a tag from the reader location. With such technology already available, it is not difficult to imagine a situation in which retailers could determine the location of individuals within their store, and thus target specific advertisements to that customer based upon past purchases. In effect, that store would be creating a personal log of your past purchases, your shopping patterns, and ultimately your behavioral patters. While such information gathering would be considered intrusive enough by many consumer's standards, the danger that such information could be sold to other retailers, (similar to the way such profiles are currently sold regarding internet commerce), could create potentially devastating information vulnerabilities. While some RFID critics have pointed out that the technology could lead to some sort of corporate 'Big Brother' there is a more widespread concern that allowing RFID to develop without legal restrictions will eliminate the possibility for consumers to refuse to give such information to retailers.

COUNTER-MEASURES

Despite these and other such dangers, however, there are some steps being taken to mitigate these privacy issues. For example, a recent proposal would require that all RFID-tagged products be clearly labeled. This would give consumers the choice to select products without RFID, or at a minimum to recognize that the items they select are being tracked. For those unsatisfied with disclosure, there also exist a growing number of products designed to limit their exposure to RFID tagged products. One such product is Kill Codes a command which turns off all RFID tags immediately as the consumer comes into contact with them, thus entirely eliminating the effectiveness of the technology. Another proposal, however, RSA Blocker Tags, try to address privacy concerns while maintaining the integrity of the product. Under this technology, the item can only be tracked by that store's authorized reader, meaning that customers cannot be tracked outside of the store in which they purchased the item.

CONCLUSION

While some of the dangers posited here seem far-fetched and unlikely, the technology already exists and is developing rapidly to ensure that such hypotheticals can become realities. RFID tags have the potential to revolutionize the shopping experience by bringing us targeted products and allowing retailers and manufacturers to track purchases and shopper behavior more accurately and cost-effectively. The concern, however, is that if we are not aware and careful about the potential abuses of such technologies early on, we may fail to incorporate them at a time when the laws and mores of such a system are still developing, ultimately suffering the consequences later on.

Rich McIver writes for http://www.rfidgazette.org, a free informational resource on RFID. See http://www.rfidgazette.org/privacy/ for more information on RFID privacy issues.

Why RFID Credit Cards Will Make Your Life Easier

What if you could simply hold your wallet up and wave it at the cashier to pay for your groceries? Sound like science fiction? Well, it’s not. Radio Frequency Identification, or RFID, credit cards are already on the streets. In most cases, you have to actually take the card out of your wallet, but the technology exists where all you would need to do is run your wallet with the card inside a few centimeters in front of a sensor to pay for your purchase.

RFID technology is still fairly new, but it has been successful in most test markets. You may familiar with Exxon’s speed pass or American Express card’s Express Pay. These cards use the same technology as the toll tags that many drivers have on their front windshields. The electronic pass carries all the information that your regular credit card carries on its magnetic strip. But because you don’t have to swipe it through anything, you get in and out much faster.

This means one less hassle at the gas station, grocery store, or department store. And it if you are a business owner, it means you can process more customers in a shorter amount of time. When customers only have to tap a card on a reader or wave the card in front of a sensor, this dramatically reduces check out time usually spent entering PIN codes or signing electronic pads.

While there have been some concerns about security, the companies issuing the cards assure consumers that they have taken all necessary precautions. In fact, the new contactless cards could actually improve security as there are fewer people who see your card number and no risk of anyone seeing your PIN as you type it in at the check out counter. A merchant will only be able to see the last four digits of your card rather than the entire number, as well as the three-digit code on the back.

Overall, the time you spend in the check out and drive thru lines will be reduced from thirty to forty percent. This is great news for time challenged folks with places to be.

Rebecca Spitzer recommends Find Credit Cards for comparing RFID credit cards.

RFID – A Gift From The Past

RFID technology that is being used by companies world over has been around us since 1920s. Many companies are using RFID tags which are embedded in many products to store and retrieve data and information. These tags have tiny antennae that allow them to send a signal to an RFID reader or receiver.

There are primarily two types of RFID tags – Active Tag and Passive Tag.

Active RFID Tag

An active RFID tag has its own power supply and as a result can be used to receive information from a greater distance. Active RFID tags can also store information Batteries of some active RFID tags can last for as long as 10 years.

Passive RFID Tag

In contrast, passive RFID tag does not have its own power supply. This type of RFID tag receives its power supply from an electrical current in the antenna that is produced as a result of the incoming radio frequency scan. A passive RFID tag can be used for sending and receiving information and data over a short distance only.

Nowadays RFID tags and readers are omnipresent. You will find RFID technology in bookstores and CD shops. It is used as an anti theft device. If a book or a CD has not been scanned, then it is the RFID technology that starts the alarm. RFID technology is being used in car alarms and car locking systems. Even animal are being tagged with RFID tags to keep a check on their whereabouts. This is specially true for wildlife where scientists keep a record of animals. A future use of RFID technology will be with prisoners. It is envisioned that prisoners could wear RFID tags to keep a watch on their movements and whereabouts.

There is immense use for RFID technology in today’s world and soon more and more companies and industries will start using this technology once the importance is realized.

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RFID for Beginners

RFID technology is used frequently today and has been around since the 1920s, but not many people know about, or understand it. RFID stands for Radio Frequency Identification and is used to store and retrieve information. This information is stored and retrieved using RFID tags or transponders. RFID tags are small and can be incorporated into many products. The tags have antennas that allow them to receive and respond to radio-frequency queries from an RFID transceiver.

Two Types of RFID Tags

There are two types of RFID tags; active tags, and passive tags. Passive tags do not have their own power supply, but rather receive their power from a tiny electrical current present in the antenna that is induced by an incoming radio frequency scan. Because of the small power present in the system, passive RFID tags are used only in short distances (such as an ID card).

Active RFID tags have a power source and therefore are much stronger and can be used over larger distances and are therefore more highly effective. Active RFID tags also have the potential to store more information than their passive counterparts. Some active RFID tags have a battery life of up to ten years.

The System of RFID

RFID works off of a system that relies on tags, tag readers, tag programming stations, sorting equipment, circulation readers, and tag inventory wands. RFID is generally used in security, because security gates are programmed to read the RFID tags and then either open or close accordingly. The system helps the information be easily transmitted via an RFID device. Systems have evolved over the years along with RFID chips. The hope is that RFID will one day be available to everyone (meaning consumers) because it will be more efficient and cost effective to implement RFID processes.

Where is RFID Used?

RFID can be found almost everywhere. RFID can be found in bookstores and CD stores. The little alarm that sounds if a CD has not been scanned is made possible by an RFID chip. RFID chips are found on animal tags, on books in libraries, in car alarms and car lock systems. RFID can also be used to detect motion. This could be very useful in the coming years in terms of prisons. In 2004 the Ohio Department of Rehabilitation and Correction (ODRH) approved a $415,000 contract to test RFID technology in prisons. The idea is that the prisoners will ware wristbands that will watch their movement. If there is any movement, which is out of the ordinary, security will be alerted. This technology will be employed in many states in the coming years.

Conclusion

RFID technology seems to have endless possibilities. Some critics of RFID technology say that it violates the privacy of citizens. This is based on the fact that RFID can be used to track whereabouts of people and obtain personal information. Putting all of this power into a little chip makes it undetectable. However, RFID can also possibly be used in driver’s licenses for faster police scanners, and as a way to monitor hospital patients. With every potentially harmful application of RFID, there are several wonderful applications. It will be interesting to see all of the wonderful applications of RFID in the future.

Amie Kandowski is very interested in RFID Technology and loves writing about RFID