The apparel industry is more enthusiastic about using RFID than any other industry. Its near-infinite stock-keeping units (SKUs), coupled with retail’s rapid item turnaround, make apparel inventory difficult to manage. RFID technology provides a solution for retailers, however traditional RFID projects involve some poor trade-offs in labeling cost, minimum order requirements and labelling terms for additional product electronic code (EPC) projects.
But that is changing.

Advances in RFID label technology and production, and the global presence of label manufacturers, allow apparel retailers to implement RFID projects at lower cost to support their brand image building. Specific steps are as follows:

Retailers typically conduct systematic testing of RFID in a store environment before deploying it. Initial assessments focused on hardware and software options and how well they could integrate into existing infrastructure.
The apparel industry is more enthusiastic about using RFID than any other industry. Its near-infinite stock-keeping units (SKUs), coupled with retail’s rapid item turnaround, make apparel inventory difficult to manage. RFID technology provides a solution for retailers, however traditional RFID projects involve some poor trade-offs in labeling cost, minimum order requirements and labelling terms for additional product electronic code (EPC) projects.
But that is changing.

Advances in RFID label technology and production, and the global presence of label manufacturers, allow apparel retailers to implement RFID projects at lower cost to support their brand image building. Specific steps are as follows:

Retailers typically conduct systematic testing of RFID in a store environment before deploying it. Initial assessments focused on hardware and software options and how well they could integrate into existing infrastructure.

RFID tags and stickers (left) also affect brand image. Fashion brands and retailers can reduce the impact of tags on brand appearance by opting for integrated RFID tags (right).

As retailers move from evaluation to project implementation, their attention shifts to operating costs. They will soon discover that the main cost of project labeling consists of the RFID tag or sticker and the labor cost required for its application.

In the original RFID practice, salespeople or inventory workers were often scheduled to apply RFID tags to clothing. Project costs for these employees range from $06 to $0.12 per person.

This kind of label is not sustainable for long-term use, and it is not a good way to use employees to label.

The cost component also includes the retailer’s need to purchase additional RFID tags or stickers to apply to item tags. Whether it’s a secondary hang tag embedded with an RFID inlay, or applied in some way to an existing brand label and price tag, the extra process adds to the price tag for apparel retailers.

Secondary RFID stickers or labels may cover brand logos or important consumer information such as size or price, which can also compromise the branding of garments in-store.

In addition, Linda Sarentino, vice president of PVH, said: “The application of RFID tags to the manufacturing process of clothing labels not only requires more money, but also increases the chance of errors in the application of EPC-coded labels, which in turn, May lead to inaccurate inventory management.”

Integrated RFID tag

Global label manufacturers realize technological advancements in producing labels to help apparel retailers address the overall cost and branding issues that undercut RFID technology.

The original RFID tag technology was not conducive to integrating RFID inlays into different or custom apparel tags. With the advancement of technology, it is now possible to embed RFID tags into a single garment tag of any shape and graphic design, as well as the necessary data variables for RFID inlays. This single integrated RFID tag eliminates the cost of repurchasing and using separate RFID tags or stickers, as well as the downside of potentially obscuring brand labels or price tags. RFID tags are now available in the most fashionable form of promotional brand tags.

In addition, some major label manufacturers have expanded their business to important countries and regions around the world, and retailers can now order RFID labels close to the clothing production site for fast delivery. A 48-hour global turnaround time, with no annual volume or inventory requirements, is also now achievable. In countries such as China and India that apply for RFID clothing tags, the cost can range from $0.007 to $0.014 per person.

The advancement of integrated RFID tag technology and the development of manufacturing processes will further reduce the cost of tags. Low cost will also stimulate the clothing retail industry to accelerate the adoption of RFID technology.
RFID tags and stickers (left) also affect brand image. Fashion brands and retailers can reduce the impact of tags on brand appearance by opting for integrated RFID tags (right).

As retailers move from evaluation to project implementation, their attention shifts to operating costs. They will soon discover that the main cost of project labeling consists of the RFID tag or sticker and the labor cost required for its application.

In the original RFID practice, salespeople or inventory workers were often scheduled to apply RFID tags to clothing. Project costs for these employees range from $06 to $0.12 per person.

This kind of label is not sustainable for long-term use, and it is not a good way to use employees to label.

The cost component also includes the retailer’s need to purchase additional RFID tags or stickers to apply to item tags. Whether it’s a secondary hang tag embedded with an RFID inlay, or applied in some way to an existing brand label and price tag, the extra process adds to the price tag for apparel retailers.

Secondary RFID stickers or labels may cover brand logos or important consumer information such as size or price, which can also compromise the branding of garments in-store.

In addition, Linda Sarentino, vice president of PVH, said: “The application of RFID tags to the manufacturing process of clothing labels not only requires more money, but also increases the chance of errors in the application of EPC-coded labels, which in turn, May lead to inaccurate inventory management.”

Integrated RFID tag

Global label manufacturers realize technological advancements in producing labels to help apparel retailers address the overall cost and branding issues that undercut RFID technology.

The original RFID tag technology was not conducive to integrating RFID inlays into different or custom apparel tags. With the advancement of technology, it is now possible to embed RFID tags into a single garment tag of any shape and graphic design, as well as the necessary data variables for RFID inlays. This single integrated RFID tag eliminates the cost of repurchasing and using separate RFID tags or stickers, as well as the downside of potentially obscuring brand labels or price tags. RFID tags are now available in the most fashionable form of promotional brand tags.

In addition, some major label manufacturers have expanded their business to important countries and regions around the world, and retailers can now order RFID labels close to the clothing production site for fast delivery. A 48-hour global turnaround time, with no annual volume or inventory requirements, is also now achievable. In countries such as China and India that apply for RFID clothing tags, the cost can range from $0.007 to $0.014 per person.

The advancement of integrated RFID tag technology and the development of manufacturing processes will further reduce the cost of tags. Low cost will also stimulate the clothing retail industry to accelerate the adoption of RFID technology.