Item-level RFID biz to top $8.26 billion in 2018: study

-- Converting Magazine, 6/13/2008

It used to be thought that item-level RFID meant little more than tagging very low-cost retail items-something to do last of all. However, it has become big business and far more profitable than many other RFID sectors because it gives excellent payback to everyone, not just retailers, says a new study by Research and Markets.

The consultancy forecasts that item-level RFID business will rise from $251.79 million this year for systems including tags to $8.26 billion in 2018. Detailed forecasts are given in the study, including number of tag units sold over the next 10 years, average tag price, and tag value, in addition to systems value.

More than 100 case studies are provided, such as Marks & Spencer in the UK using over 100 million RFID tags to date to tag clothing and increase sales by reducing stockouts, in addition to American Apparel, doing similar work and reporting sales increases of 15 to 25% when all items are available on the store floor.