The largest bookseller in the Netherlands is done testing radio frequency identification (RFID) in its stores. Selexyz (formerly Boekhandels Groep Nederland) had decided that it is time to roll out the technology chain wide.
"The project was so successful that the company is about to open its second RFID enabled store and has plans to push this out to all our locations in the Netherlands by the end of 2007," said Jan Vink, chief information officer of Selexyz.
A report on Forbes.com, said the retailer is tagging products with the intent of lowering labor costs, improving inventory management and putting technology tools at the hands of consumers to increase sales.
Kiosks have been designed for the retailer that track books by section and shelf location as well as the ability to order. Customers using the kiosk have increased their purchases by 50 percent compared to what they were buying prior to the technology tool being placed in stores.
Selexyz' RFID system allows the retailer to track books on an individual basis from the point where a sku leaves the distribution center to the point it is purchased. The system can even identify when a book has been placed in the wrong section of the store.
According to the bookstore chain, it has achieved an almost 100 percent accuracy rate. Errors have resulted when tags were placed in the wrong area on an item or because they fell off.
Mr. Vink told Forbes the company intends to automate returns, increase kiosk functionality and introduce smart shelf technology.
Discussion Question: Is the time right for the use of item level RFID in at least some retail environments in the U.S.?