Shrinkage is a common and costly issue that retailers face. Retail shrinkage totaled $61.7 billion in 2019, according to the 2020 National Retail Security Survey results. The Pandemic brought about major changes including fewer employees working in retail stores, which contributed to shrinkage issues. Showing a significant increase two years later, the survey revealed retail shrink to be close to a $100 billion issue.  According to the National Retail Federation, a survey revealed that for every $100 in returned and accepted merchandise, retailers lose $10.40 to return fraud. 

One of the most effective ways to fight retail shrinkage is the use of RFID technology, which uses electromagnetic fields to identify and tag items that are loaded with data that is electronically stored.

Let’s dive in a bit deeper and look at specific ways RFID technology can help fight the battle against retail shrinkage.

  • RFID readers at all entry and exit points will alert you if an item goes missing from the shelf or stockroom
  • RFID labels contain unique data that can’t be copied, reducing the risk of someone wrongfully returning a product
  • RFID technology ensures safety at your receiving dock
  • RFID labels can help identify theft problems and improve safety strategies based on learned information 
  • RFID tools eliminate the need for workers to do daily counts of high-shrink items 

Modern technology, produced by companies such as Zebra Technologies, offers a large variety of RFID products including sensors, readers, antennas, labels, printers, and more.

Sensors help to reduce shrinkage and operational costs. The cutting-edge technology offers real-time solutions by sensing and recording the movement of merchandise throughout the entire store. The RFID sensors can track merchandise in the backroom, at points of exit and entry, and at points of sale.

Hands-free RFID readers allow retailers to track and tally items throughout the entire store in real time.

RFID helps prevent shop-lifting and internal theft by employees and it also helps combat return fraud, which is a significant ongoing issue that retailers are forced to face.

Product shrinkage is definitely a huge concern, but with high-tech RFID products, businesses are better equipped than ever before.

Contact our team today to learn about products to ensure the best protection for your business.