Out of Stock: A Sizeable Problem for Retailers
Have you ever been shopping for clothes and final found the perfect item? In your excitement, you look through the rack, only to find there’re 5 extra smalls, nothing else.
Out-of-stocks tend to be around eight percent for most retailers, but the rate is much higher for specialty apparel retailers.
When out-of stocks occur, its not only the retailer that’s missing out, the customer gets let down as well. So, what’s the solution? RFID.
Approximately 30 percent of out-of-stocks are caused by the individual store, but 70 percent are from supply chain issues.
RFID can help workers at stores identify whether or not an item is in the back room or not. Larger retailers like Walmart can use their handheld mobile devices to cycle count everything on the sales floor, knowing what to retrieve from the stock room.
Smaller retailers such as American Apparel have reaped the benefits of RFID. Their RFID-enabled stores are operating at a 99.8 percent inventory accuracy rate and theft has been reduced by 75 percent.
Learn how RFID can make the difference for you.