How Retailers Can Utilize RFID for Brand Verification
For many global brands, counterfeit goods are a significant problem. According to a survey by The International Chamber of Commerce, the cost of counterfeit and pirated goods in G20 has nearly tripled in the past three years. Globalization within the retail sector has caused vulnerability within product supply chains and has resulted in counterfeit goods becoming a widespread issue making an impact on every responsible retailer.
Whilst there are some items that are inherently more at risk, counterfeit products mean much more than merely a loss in revenue. It also diminishes trust in your brand and causes a risk to the customer. Retailers that want to protect their brand need to preserve trust while avoiding the consequences.
One of the most effective solutions to verify a brand and prevent counterfeiting is Item-Level RFID technology. With most retailers ramping up to secure RFID in their future business roadmap when combined with 2-D barcode and smart systems, they have the secret weapon in the retail industry. Since its early development and implementation in the early 2000’s RFID has come a long way.
One of the primary ways Item-Level RFID technology has made an impact within the retail industry is to accurately manage inventory. However, the advantages to RFID don’t end there.
Counterfeiters are becoming increasingly adept at their crime. Some of the ways this is happening is by using their own complex supply chains with multiple locations for distribution and using cutting-edge technology to dodge anti-counterfeiting methods. The result is that it is even more difficult to distinguish the difference between authentic and counterfeit goods.
As a result of RFID technology all products that a retailer has is given its own ‘DNA’. This allows retailers to simultaneously and automatically count hundreds and even thousands of items. It can also indicate when quality checks on a product have been carried out. When all this data is processed retailers can manage the complete supply chain, simplify the process of any product recalls, identify any counterfeits and protect their customers.
When compared with other anti-counterfeiting products, item-level RFID and intelligent 2-D barcodes is a more efficient process by using a multi-faceted approach to prevent unauthorized and fake items from entering the supply chain. Along with this, it lets the retailer interact with their customers in a more meaningful and engaging way and it allows them to authenticate items in real-time, at the point of sale. All of this gives retailers exciting new ways to enhance the customer experience and increase the confidence and loyalty in their brand.