Disadvantages Of Grocery Retailing

1080 Words5 Pages

How grocery retailing benefit by adopting RFID
Introduction
With the rapidly change of information technology, radio frequency identification (RFID) technology has been widely used in the business. This essay will briefly introduce the basic features of RFID, then explore how RFID technology impacts the grocery retailing and briefly analyzes its challenges of introducing RFID. Finally, a conclusion will be given.

Basic view of RFID
People tend to compare this emerging technology with barcode label. In fact, with an automatic features that increase the storage and speed of data collection, RFID technology is an improved alternative to barcodes. According to Ferrer, Dew, Apte (2010), RFID is a technology that can used to be identify objects automatically. The system consist of radio-emitting tags, readers, and a host computer …show more content…

However, it still has the potential to further enhance retailers’ competitive advantage in other areas, such as shop floor level and customer relationship management.

For customer relationship management, the issue of RFID-embedded customer card help retailer better monitor customers’ shopping behavior and provide personalized service for the patrons. According to Swedberg (2009), Retailer TOP Food & Drug, a food retail chain in Washington State, began using this card in 2008. Customer can trace their personal purchasing history and input their shopping list, while the company may have an in-depth understanding of customers’ preference and purchasing behavior, and better adjust their personalized marketing strategies. If RFID reader is installed in the entrance of the shop, when a patron with RFID card enter the shop, personalized promotion can be delivered to individual customers through multimedia (Jones et al., 2005). Therefore, the retailer can enrich customers’ shopping

Open Document