The radio-frequency identification (RFID) systems comprise tags, middleware, and interrogators, and are used by retail businesses to streamline their supply chain to help them achieve higher ROI by providing transparency and real-time data of inventory levels across supply chains. RFID systems for retail application reduce the delivery cycle time of goods and number of defects. With the help of RFID systems, retailers are also able to capture data, which, in conjunction with data management software and “Big Data analysis” helps them identify buying patterns of customers and formulate promotional schemes to promote their businesses and increase sales. RFID systems can be implemented at different stages of the supply chain depending on the nature of the business.
Technavio's analysts forecast the global RFID market for retail applications to grow at a CAGR of 40% over the period 2014-2019.
Covered in this report
This report presents a detailed study of the present scenario and growth prospects of the global RFID market for retail applications for the period 2015-2019. To calculate the
market size, the report considers revenue generated by its components, which include interrogators, middleware, and tags.
Technavio Announces the Publication of its Research Report – Global RFID Market for Retail Applications 2015-2019
Technavio recognizes the following companies as the key players in the Global RFID Market for Retail Applications: Alien Technology, Avery Dennison, Checkpoint Systems, Impinj, Smartrac and Tyco
Other Prominent Vendors in the market are: Global Ranger, InSync Software, Nedap, RFID4U, Software AG, Tellago, TIBCO, and Xterprise.
Commenting on the report, an analyst from Technavio’s team said: “The emergence of cloud-based SCM systems has provided an opportunity for the software solution-based companies to offer services that include inventory management, goods tracking, data management, and data analysis. The mid-sized retailers are purchasing these solutions as their initial cost of procurement is comparatively lower, transferring the maintenance and upgradation of the software responsibilities to the solution providers. The increase in adoption of UHF RFID tags is another emerging market trend.”
According to the report, inefficiencies, for instance, an incorrect data flow and unaccountability of inventory, in the current supply chain model are prompting the retailers to implement the RFID system, thus driving the growth of the market. The complexities in the supply chain have increased because of the adoption of the omni-channel distribution system by the retailers.
Further, the report states that the high cost incurred by the retailers is generally not passed on to the customers and therefore affects the vendors' profit margins at the initial stage. This factor can be detrimental when it comes to the adoption of RFID systems, as a result of which the overall growth of the global RFID market for retail applications will be affected significantly during the forecast period.
Alien Technology, Avery Dennison, Checkpoint Systems, Impinj, Smartrac, Tyco, Global Ranger, InSync Software, Nedap, RFID4U, Software AG, Tellago, TIBCO, Xterprise.
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