|The retail industry will be able to benefit from Internet of Things (IoT)-based solutions and further help lower the 65% low accuracy of inventories / Photo by: deklofenak via 123RF|
The retail industry will be able to benefit from Internet of Things (IoT)-based solutions and further help lower the 65% low accuracy of inventories that contributes to “mostly imprecise” inventories that usually result in “loss of sales.”
As stated by Marketing Tech News, data from Auburn University’s RFID Lab showed that warehouse accuracy can be bumped up to 99% if stores are willing to invest. One of the ways in which IoT can be helpful is through improving stores’ “tracking and order-picking capabilities.” Through the use of RFID in stores’ preexisting Store Inventory and Fulfillment (SIF), the efficiency methods can be boosted.
RFID has already helped by holding “precise information on inventory location that helps in 60 percent reduction in the time store associates spend on locating and picking material.” With precise information already on hand, stores are better able to chart the most correct route to take to finish gathering orders.
It’s perhaps unsurprising then that a January study found that companies with a mixture of both physical and digital strategies are often the ones who are more able to “offer consumers a unique, personalized shopping experience in every retail channel.”
While some companies are afraid of investing in new technology thinking it might drive away clientele, the study also provided information that the opposite is actually true: more people are willing to use new technologically linked services if they see that these services help their shopping experience become better.
Already, the numbers are showing that people appreciate new technology in their shopping experiences. The study found that 32% were willing to shop at a store that provides AR experience while 29% are not averse to shopping at a store that offers VR experience.
The goal of these stores is to find something innovative and clever to market to people and make them feel as though they are personally involved in the process at the same time.