Wednesday 9 February 2011

Marketers still thinking about RFID

Fakes and thefts are a problem for upmarket apparel marketers, pharmaceutical firms and other marketers of expensive goods. Can RFID (radio frequency identification) tagging help?

An RFID tag (or chip) contains unique and specific data about the item, such as manufacturer name/origin/date, size, colour, model number, and so on. When read electronically, the RFID tag indicates whether that item is what and where it should be. This enables companies to track their products throughout the supply chain and, just as important, determine which items are genuine and which look-alikes are fakes.

The tags have been tested before, but as the price of the technology continues to drop, more marketers are likely to give RFID a try. Gerry Weber, the German fashion firm, is attaching RFID tags to distinguish its genuine products from fashion fakes made by counterfeiters. Other marketers have tested RFID, as well. One use is to check inventory levels and pinpoint any losses.

However, privacy issues remain a concern for consumers. The European Commission has a page devoted to practical RFID uses. For more on the latest RFID news, click to the RFID Journal.