RFID Update is running an interesting article about the ”world’s largest item-level RFID application launch” in today’s edition. Essentially, it is the story of how the Portugese retailer, Byblos Amoreiras, is deploying RFID tags to track 150,000 books.
Will it work? Time will tell, but the company is already planning on launching four more RFID-enable superstores this year and another five next year. My guess is that the early results are already in and they mirror the experience of Netherlands-based book retailer, BGN, which has reported sales increases in the neighborhood of 10 to 15 percent from its RFID-enabled store.
More significantly, I would encourage both retailers and advertisers to jump the curve and envision where the technology is headed. Yesterday, Technology Review published an informative article about how Microsoft is helping food companies run video ads on grocery carts. The technology that makes this feasible is RFID technology. In the future, look for innovative retailers to combined the two technologies (RFID and video grocery carts) to increase sales by creating something called ”swarm shopping.” Swarm shopping is based on the idea that shoppers are deeply influenced by the actions of past shoppers. Therefore, in the future, when you take your grocery cart down an aisle don’t be surprised to be greeted with a message such as: “Did you know that 67% of all shoppers who strolled down this aisle also purchased XXXX.” And, if that bit of information isn’t enough to entice you to clamor for the object, your electronic cart will be able to offer you an electronic coupon as a further enducement.
Of course, your cart will also be able to read the RFID tags of the other items in your cart and “helpfully” recommend complimentary items. For example, it might recommend some salty snacks to accompany your beer purchase or it might suggest a sauce to accompany your pasta.
It all sounds very manipulative—and to a degree it is—but if also improves the shopping experience and increases store sales and profits and does so in a subtle way, I think we can expect to the roll-out of this future to come to a store near us sooner rather than later.
Related Posts
The Future of the Grocery Store
Retailers are Beginning to Jump the Curve
Pump It Up: Retailers Use Google to Bolster Customer Loyalty
Time is Money … So Walk the Escalator
Stronger Than a Speeding Bullet
RFID Gets Untracked
Embracing Change
Jack Uldrich is a writer, futurist, public speaker and host of jumpthecurve.net. He is the author of seven books, including Jump the Curve and The Next Big Thing is Really Small: How Nanotechnology Will Change the Future of Your Business. He is also a frequent speaker on future technology and future trends, nanotechnology, robotics, RFID, innovation, change management and executive leadership to a variety of businesses, industries and non-profit organizations and trade associations.
