US: RFID in action at American Apparel
Apparel and retail executives who are interested in RFID now have the chance to see how American Apparel is using the technology to overcome inventory accuracy and replenishment challenges at selected retail stores.
A new video showing how the largest apparel producer in the US deployed item-level RFID can be accessed here.
Titled 'RFID Case Study - American Apparel,' the multimedia production from Avery Dennison takes viewers through each step of the inventory management process.
There's selling floor and backroom footage, merchandise flow animations, comments from customers and store employees, and remarks by key members of American Apparel's RFID team.
American Apparel's new item-level inventory management system consists of Avery Dennison AD-222 RFID inlays; printers and tags from Avery Dennison; RFID antennas, and handheld and portable readers from Motorola; and in-store inventory tracking software.
In operation, the system tracks every SKU from the time it is received until it is processed at the point of sale.
It also facilitates stock replenishment within minutes of a sale, and helps ensure inventory accuracy and the stocking of available product on the selling floor.
Because RFID tags do not require a line of sight to be read, a whole store inventory that once required 120 hours to complete can now be accomplished in 15 hours.
American Apparel is realising solid bottom-line sales benefits with the new item-level RFID system.
"The easiest [benefit] to measure is the 14% sales uplift we've seen at the RFID stores compared with our non-RFID stores," says Zander Livingston, American Apparel's RFID director.
Livingston explains that the item-level RFID inventory management system boosts customer service by facilitating faster selling floor replenishment and greater sales associate availability.
The system guides replenishment specialists to the correct areas in stockrooms, which allows them to quickly retrieve merchandise, restock it on the selling floor and tend to customer needs. As a result, service time has improved 10-25%.
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