Amazon can't be happy about Walmart’s decision to dramatically expand the use of RFID in its fleet of stores.
Retailers typically struggle to maintain an accurate view of the precise inventory holdings of each of their stores. This is a huge problem in some merchandise categories, and less so in others. For companies with large store fleets, this has traditionally been treated as a cost of doing business.
Brick and mortar retailers also struggle to effectively manage —- and in some cases even find —- the inventory residing in their stores. This too has been shrugged off as a cost of doing business. And let’s not forget another chronic drain on profit. Theft of store inventory by organized criminals, petty shoplifters, and dishonest employees.
RFID is already helping Walmart fix these issues in several General Merchandise categories (Apparel, Footwear, Sunglasses, Watches, Jewelry) with more now on their way. Elevating inventory accuracy and visibility benefits Walmart’s e-commerce business too, not merely the stores.
The full article at Forbes Magazine .Will RFID Help Loosen Amazon’s Grip On Retail? (forbes.com)